Only clear signs of FPIs' return can offer some certainty about a decisive turn of the tide in the market. The market hopes with a flood of money sloshing around globally, it is only a matter of time before FIIs hit the Indian shores in search of yields as interest rates have become negative or zero in much of the developed world. India stands out in among the emerging markets with strong forex reserves, and inflation and CAD largely in check. How fast that flow starts will depend on how quickly India can get out of the current health crisis without risking a second wave, and without the economy bearing much brunt. Now, that's not an easy ask.
STREET PULSE: Where we stand Nifty futures on the Singapore Exchange traded 211 points higher at 7am (IST), signalling some more gains ahead on Dalal Street. Elsewhere in Asia, stocks recovered to one-month high following Wall Street's lead overnight, as investors sought silver linings in a run of data that showed the world is in its worst recession in decades.
Read More  | South Korea's Kospi jumped 3.3 per cent, Taiwan's TWSE 3.08 per cent, Japan's Nikkei 2.7 per cent, Hong Kong's Hang Seng 2.26 per cent and CHina's Shanghai Composite 1.28 per cent. |
| US stocks ended higher in overnight trade. The Dow climbed 33 points, or 0.14 per cent; S&P500 rose 16 points, or 0.58 per cent, and the Nasdaq 139 points, or 1.66 per cent. |
| Oil prices rose on Friday with Brent gaining nearly 3% after President Donald Trump laid out guidelines on reviving a US economy. Brent prices rose by 75 cents, or 2.7%, to $28.57 a barrel, while WTI crude for May delivery, rose by 1 cent, or 0.1%, to $19.88 |
| The rupee tanked 43 paise to settle at an all-time low of 76.87 against the US dollar on Thursday, amid rising concerns over coronavirus-led economic slowdown. |
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US PLANS TO END LOCKDOWN... US President Donald Trump laid out new guidelines on Thursday for US states to emerge from a coronavirus shutdown in a staggered, three-stage approach. The push to states to lift restrictions came after Thursday's data showed a record 20 million Americans sought unemployment benefits amid shuttered stores and restaurants, pushing the unemployment rate to 8.2%.
Read More INDIA INC READIES TO RESUME WORK... At least eight publicly listed companies have taken steps to restart operations with a limited workforce after obtaining permission from the authorities, stock exchange filings showed. They included adhesive maker Pidilite Industries, dry cell maker Eveready Industries, fluorochemicals leader Navin Fluorine, pharma ingredients manufacturer Hikal, extruded ring snacks maker Prataap Snacks, carbon steel pipe maker Man Industries, and intermediate oils supplier Yasho Industries. The stocks gained 1-10% on Thursday on BSE.
Read More JOB/PAY CUTS UNDER PMO WATCH... EPFO and ESIC have been asked to collate data on job losses, salary cuts and delayed payment. Once the data is collated, a report will be presented to the Prime Minister's Office. The labour ministry initiative comes as stressed economic situation has raised fears of widespread layoffs/salary reductions in India's organised sector despite Prime Minister Narendra Modi's repeated appeals to employers to be considerate to their employees.
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SEBI VIGIL AGAINST FPI RAIDERS... Sebi on Thursday evening asked custodian banks to identify offshore funds whose 'beneficial owners' are from nations like Pakistan, Taiwan, North Korea Iran, Myanmar and a few other Asian countries, and give details by Friday morning. Earlier this week, custodian banks were told to give details of 'ultimate beneficial owners' of FPIs based in China and Hong Kong amid concerns that in a falling market, many listed Indian companies could face takeover threat from well-heeled investors who could be backed by the Chinese government.
Read More USFDA LET GUARD DOWN?... The USFDA may have dropped standards in hunt for chloroquine to fight coronavirus. Reuters quoted US government sources as saying that there is reason to be concerned about the quality of Resochin and its makers, located in India and Pakistan, which the US is using in the fight against COVID-19. Although some rules can be waived in an emergency, the FDA dropped its quality-control standards too far as it scoured the world for scarce supplies of chloroquine drugs, the sources said on the condition of anonymity.
Read More AUTO FIRMS CUT PAYS... Auto companies are set to cut salaries as they seek to reduce costs with the Covid-19 lockdown having worsened already bleak prospects, said people with knowledge of the matter, adding that they are trying to avoid sacking people. Bajaj Auto and TVS Motor have already resolved to cut salaries, at least temporarily. Commercial vehicle makers such as Ashok Leyland and Tata Motors, the hardest hit in FY20, may also do so shortly.
Read More Meanwhile... NBFCs SEND OUT SOS… Non-bank lenders with large exposure to construction finance and housing finance firms have written to the RBI governor, saying they will run out of cash by May-June if the moratorium is not extended to them. NBFCs are also worried that rating agencies will soon start downgrading them.
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