Former Fed Chair Alan Greenspan has the credit for popularising the phrase 'quasi-recession'. Some economists think India is now a fit case for its use, after economic growth fell below the long-term trend for two consecutive quarters. But others point to a different pattern: Bulk consumption items are slowing down, but premium products are doing well. People are slow in taking loans, but have been aggressive in investing in mutual fund SIPs and insurance products. It's a paradigm shift somewhere!
STREET PULSE: Where we stand Asian stocks dipped in early trade after poor US economic data stoked global recession fears and further soured investor sentiment already hurt by heightened trade war concerns.
Read More  | SGX Nifty traded 42 points higher at 7 am (IST), signalling buoyancy ahead on Dalal Street. MSCI index for Asia-Pacific shares outside Japan traded a shade lower after losing 0.85% the previous day. Australian stocks lost 0.8% and Japan's Nikkei fell 0.3% |
| US stocks closed sharply lower. Dow fell 1.1%, or 285 points, the S&P500 shed 0.7% and the Nasdaq 1.1%. |
US crude oil futures dipped 0.04 per cent to $53.92 per barrel, adding to the previous day's losses. The contracts had shed more than 2 per cent on Tuesday after the weak US ISM data raised concerns about a weakening global economy.
Read More | LOOK WHO'S |  |
New Lease of Life... In a significant development, the NCLAT has set aside a lower court order to liquidate debt-ridden Sterling Biotech, allowing its promoters to take back control of the company once they make full payment to the lenders. The ruling may set a precedent that will have ramifications for companies willing to clear dues after they are admitted for insolvency resolution.
Read More | Recycling of old gold has increased 15-20% in Aug >>> |
| SBI says Oct-Nov crucial for economic turnaround >>> |
Long Queue for IL&FS Assets… Global infrastructure investment fund I Squared Capital, the National Investment and Infrastructure Fund, Singapore-based infrastructure investment platform Cube Highways and Edelweiss have shown interest in buying road assets worth about Rs 20,000 crore from the IL&FS group. Fourteen entities have submitted bids for 10 road assets with debt of Rs 17,700 crore, which accounts for nearly one-fifth of total IL&FS group debt.
Read More | WHO'S |  |
Further Downgrades?… India Inc faces further earnings downgrades. An analysis of estimates for both nominal GDP growth and revenue expansion shows that Dalal Street is factoring in significantly higher revenue growth than nominal GDP. That leaves room for more downgrades. Nominal GDP growth dropped to 7.9% in the June quarter, the lowest in 16 years, making analysts more circumspect. For 2019, consensus earnings growth for the Nifty and BSE500 index are 19% and 12%, respectively.
Read More | Trade deal to be tougher post election: Trump >>> |
| British lawmakers defeat PM's no-deal Brexit plan >>> |
NBFC Fund Squeeze... India's shadow banks are getting increasingly squeezed by a crisis of confidence at home, forcing them to cough up more for funds overseas. And that's just for the lucky ones. NBFCs have struggled to raise funds abroad this year, as defaults in India's credit market spread after a shock failure by major shadow lender IL&FS Group last year. They've signed $1.5 billion of foreign-currency loans so far in 2019, down from $2 billion in the same period last year.
Read More Meanwhile... As bond traders around the world rejoice in this year's dizzying debt rally, the mood is more tempered in India. Yields have barely budged despite the government's recent measures to lift Asia's third-biggest economy. The reason: traders are worried the weak GDP print may force the government to deliver a big revival package, which it has so far resisted. Fears of stimulus adding to already record borrowings led to benchmark sovereign notes capping their worst performance in 16 months in August.
Read More 
Buy
Sell
No comments:
Post a Comment