Rise in local bond yields pushes up forward premia
On Monday, the one-year annualised dollar-rupee forward premium rate was at 1.86% as against 1.76% a week ago. A year ago, the premium was at 4.22%. The sharp narrowing of the forward premium rates is owing to the higher quantum of rate hikes carried out by the US Federal Reserve vis-a-vis the tightening conducted by the RBI. Key Points
Economic TimesMidcaps and smallcaps will continue to drive the rally upwards: Deepak Shenoy
“ I continue to think local domestic money that is coming in mid and smallcaps will continue to fuel, it if it has to keep going ahead. From January onwards, results will show us how good the Diwali season is and if Diwali was really good in terms of earnings, we should see the consumer durables or the staple sector start to take more weight in the movements going forward.” Key Points
Economic TimesUK brings forward winter top-up vaccines amid new Covid variant fears
The UK health authorities began rolling out their winter vaccine schedule for the most medically vulnerable on Monday, brought forward from a planned early October rollout amid concerns around the new COVID variant BA.2.86. Key Points
The Tribune IndiaYes Bank expects continuous improvement in NIM: Prashant Kumar
Yes Bank slippages, both for the quarter sequentially and also YoY, have come down almost 25%. This year, the slippage is in the range of 2.5%. Going forward, we would be able to control the slippages between 1% and 1.5%, not more than that. Because continuously, our SMA-2 number, which is 61-90 days, are improving. Key Points
Economic TimesWhy Christy Mathai finds value in private sector banks now
Christy Mathai of Quantum AMC emphasizes value in private banks, FMCG, and autos despite high valuations. Caution is advised due to potential corrections in certain sectors like autos and durables amid competitive pressures. Mathai is looking at around 12% to 13% earnings growth in Long Term Equity Value Fund going into FY25. Key Points
Economic Times
In Arunachal, 9 Chinook-specific helipads built & 6 more under-construction to create 'air bridge'
All 7 valleys in state have Chinook helipads, ensuring connectivity in times of need due to poor road systems. New generation equipment also inducted to upgrade communication infra. Key Points
ThePrintRupee hits three-week low, forward premiums at lowest since 2011
The Indian rupee declined to a three-week low on Thursday, pressured by a strengthening U.S. dollar, while far forward premiums were hovering near the lowest level since 2011. Key Points
ReutersInfosys’ 2.3% constant currency growth was a positive surprise; not sure why guidance was cut: Mahantesh S
According to Mahantesh Sabarad, the guidance revision by Infosys is not expected to lead to a significant decline in EPS estimates, but it may delay expectations from the company. Analysts are likely to adjust their estimates, resulting in a similar target price. Sabarad does not anticipate major upgrades in EPS or target prices from analysts. The valuation of Infosys may be capped at 21-22 times forward earnings, and there may be a slight downgrade due to concerns about future delivery. Key Points
Economic TimesIndian companies took on larger forex risk in 2023 counting on RBI support
India's total imports and exports between January and November 2023 declined 8% and 5%, respectively, from a year earlier. December data has not been released. Key Points
Economic TimesGovernment gives time till May 31 for Goods Transport Agencies to opt for GST payment
Goods Transport Agencies (GTA) in India have until May 31 to exercise the option of paying Goods and Services Tax (GST) on a forward charge basis for the current fiscal year, according to the finance ministry. Under GST, GTAs can either pay 12% tax with input tax credit or 5% without, and can choose to pass on the liability to the service recipient under reverse charge mechanism. The extension applies to new businesses or businesses that cross the registration threshold during the fiscal year by 45 days from the GST registration application date or one month from the registration date. Key Points
Economic Times
PM Modi begins 2-day France visit; Bastille Day celebrations, defence in focus
PM Modi will be on two-day visit to France from Thursday, where he will attend the Bastille Day Parade as the guest of honour. He will also engage in discussions with French President Emmanuel Macron, focusing on areas such as defense, space, trade, and investment. Key Points
India TodayIT stocks' rally overdone, says Jefferies; Infosys among 3 top picks
Jefferies has taken a 'Hold' view on Tata Consultancy Services (TCS), HCL Technologies and LTI MIndTree while an 'Underperform' stance on Wipro and Tech Mahindra. Jefferies' estimates on the IT sector hinge upon the takeaways from its conversations with managements of seven domestic IT firms who have acknowledged that the demand uncertainty will linger, going forward. Key Points
Economic TimesRupee to rise slightly ahead of RBI decision, key US labour data
The Indian rupee is likely to open slightly higher on Friday, following a further pullback on the dollar index ahead of the U.S. non-farm payrolls report. Key Points
ReutersRupee caught between further rise in US yields, yuan recovery
The Indian rupee is likely to open little changed on Tuesday on the back of a recovery in the Chinese yuan and other Asian currencies despite a further rise in U.S. yields. Key Points
ReutersRupee to decline on poor risk appetite, weakness in Asian peers
The Indian rupee is expected to open lower on Wednesday on the back of a decline in Asian currencies and weak risk appetite after rating agency Fitch cut the U.S. credit rating. Key Points
Reuters
30 per cent recruitments mandatory for women in police force, says MP CM Shivraj Singh Chouhan
Taking to Twitter, CM Shivraj Singh Chouhan said, 'Without justice to half the population, neither the country can move forward nor the state can move forward. That's why I have decided that the recruitment of 30% daughters in the police department will be mandatory.' Key Points
FirstpostRupee to rise post what is seen as Fed's last rate hike
The Indian rupee is expected to appreciate slightly at open on Thursday helped by the dollar's losses after what analysts say is likely to be the last rate hike by the U.S. Federal Reserve. Key Points
ReutersIndian rupee looks to build on momentum on positive Asian cues
The Indian rupee will be looking to rise further versus the U.S. dollar on Tuesday, on back of rise in Asian currencies and positive risk mood. Key Points
ReutersRupee recovers, premiums inch up; US inflation data key
The Indian rupee managed to recover on Monday and far forward premium rose, tracking a fall in near-maturity U.S. yields after data showed U.S. payrolls rose less than expected. Key Points
ReutersRupee weighs moderation in current account deficit, higher US yields
The Indian rupee is likely to open little changed to the U.S. dollar on Wednesday amid a moderation in the current account deficit (CAD) and an uptick in U.S. yields. Key Points
Reuters
Uttar Pradesh forest minister's narrow escape from explosion in Bareilly
Uttar Pradesh forest minister came forward to help the injured lineman and he was sent to the hospital. His condition is said to be critical. Key Points
India TodayReliance net debt continues to rise from YoY perspective despite capex declining sharply QoQ: Probal Sen
Reliance Q3 numbers were fairly strong with performance in several segments offsetting weakness in the gas exploration and O2C segments. Net debt continues to rise despite declining capex. Retail showed a 23% YoY growth in revenue and a 30% improvement in EBITDA, but return ratios remain below 10% due to increased capital allocation. Optimism remains for Jio's ARPUs with traction expected from enterprise and fiber to home business, 5G investments, and tariff monetization. Stock price outlook is neutral with a fair price of Rs 2600-2700. Key Points
Economic TimesDrop in oil prices and US treasury yield good news for India but govt, RBI remain alert to inflation: Finm
The ministry said India can look forward to a longer economic and financial cycle over the medium term than in the past, thanks to the sustained focus on public investment in infrastructure and advances in digital public infrastructure. However, external headwinds could threaten these projections. Key Points
Economic TimesUS President Joe Biden to meet Chinese counterpart Xi Jinping in November: White House
While addressing a press briefing on Tuesday (local time), Karine Jean-Pierre said, We've been talking about the President, who said he was looking forward to meeting with President Xi. And so, I'm not going to get into details about this meeting that's going to happen in November next month. It's going to be in San Francisco. It's going to be a constructive meeting. The President's looking forward to it. Key Points
Economic TimesRupee to see little respite on Fed's higher-for-longer bets
The Indian rupee is likely to hover near its lifetime low on Friday, after U.S. inflation data reinforced expectations that the Federal Reserve will hold interest rates higher for longer. Key Points
Reuters
My presence at G7 Summit is meaningful: PM Modi ahead of his 6 days 3-nation tour
Prime Minister Narendra Modi will attend the G7 Summit, which will be held in Japan. Later, he will make a visit to Papua New Guinea and Australia on his six-day foreign trip. Key Points
India TodayMeta employee loses job after 8 years of service, says he is looking forward to rest and do nothing
A former Meta employee lost his job after spending 8 years at the company. In a LinkedIn post, he says that he is looking forward to 'taking overdue time to recharge and reimagine'. Key Points
India TodayCAD to remain moderate, eminently manageable, says RBI Governor Shaktikanta Das
Overall, our external sector indicators have improved significantly. Foreign exchange reserves have rebounded from USD 524.5 billion on October 21, 2022 and now stand in excess of USD 600 billion taking into account our forward assets, said Das while announcing the key decisions of the Monetary Policy Committee (MPC) meeting. Key Points
Economic TimesTed Lasso's Hannah Waddingham, Alesha Dixon & Julia Sanina to Co-Host Eurovision
The Eurovision Song Contest is an event that millions of people look forward to every year. This year, the UK is hosting the competition on behalf of Ukraine. The presenting trio for the two semi-finals on 9 and 11 May will be Hannah Waddingham, Alesha Dixon, and Julia Sanina Key Points
Hindustan TimesView: Budget gets bigger picture right on walking the fiscal tightrope
The biggest positive in the interim budget was the fiscal discipline displayed by capping the fiscal deficit for 2024-25 at 5.1%. The fact that the government has not curtailed capital expenditure and has, in fact, enhanced it to ₹11.11 lakh crore only builds on the foundation laid in the previous years and takes it forward. This is a budget that seeks to balance growth with fiscal prudence. Key Points
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Fall in forward premiums adds to Indian rupee's challenges
The Indian rupee, already under pressure from high U.S. Treasury yields and volatile oil prices, is now having to contend with a drop in forward premiums, owing to worries over dollar liquidity. Key Points
ReutersManufacturing, private capex and exports are drivers of corporate earnings over medium term: Saion Mukherj
Saion Mukherjee says: “As we see traction in manufacturing, our expectation is that we will also see a very strong pickup in private capex. So manufacturing, private capex, exports, would be the drivers of corporate earnings over the medium term. Of course, this would have a ruboff effect on consumption as we go forward.” Key Points
Economic TimesRupee flat, far forward premiums extend decline to 2-1/2-month low
By Jaspreet Kalra MUMBAI (Reuters) - The Indian rupee was largely flat on Wednesday as sustained dollar inflows helped ease the pressure from weakness in most Asian currencies. The rupee was at 82.90 Key Points
ThePrintCapitaLand India Trust invests in three Chennai industrial facilities
India Business News: CapitaLand India Trust (CLINT) has entered into a forward purchase agreement with Casa Grande Group to acquire three industrial facilities at OneHub Chennai. This investment further diversifies CLINT's portfolio and strengthens its industrial presence in Chennai. Key Points
Times Of IndiaIndia rupee to rise on drop in US yields, state poll outcome
The Indian rupee is likely to open stronger on Monday, aided by a drop in U.S. Treasury yields following comments from Federal Reserve Chair Jerome Powell and on the back of state election victories for India's ruling party. Key Points
Reuters
Why Helios’ Dinshaw Irani is avoiding the IPOs, FMCG, IT and paint stocks
“FMCG is one area which one needs to avoid. I do not think sustenance of 60-70 PEs for most of these stocks – I am talking about one-year forward PEs – is possible, given that even the rural markets are not firing and the growth rates are in low teens or even high single digits as such. So, that is one area that you need to avoid.” Key Points
Economic Times