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ETMarkets Morning Podcast: Dalal Street awaits $2.5 bn bonanza & other top news this morning

Hi there! Welcome to ETMarkets Morning, the show about money, business and markets. I am Saloni Goel, and here is what we have to start your day.

>> Yet another top fund house all set to go public
>> Airtel posts record revenue for seasonally weak second quarter
>> Future Group won’t challenge SIAC stay on RIL deal
>> Dalal Street awaits $2.5 billion bonanza

But first, a quick glance at the state of the markets…

>> Nifty futures on the Singapore Exchange traded 46 points down at 7 am (IST), signalling possible weakness ahead on Dalal Street.

>> Asian stocks fell as concern lingered about the impact of the worsening pandemic on economic activity in some parts of the world. Shares dropped in Japan, Australia and South Korea this morning.

>> US stocks slipped overnight as President Trump acknowledged an economic relief package would likely come after the Nov. 3 election. The Dow fell 222 points, or 0.8% and S&P500 10.29 points, or 0.30%. However, the Nasdaq added 72.41 points, or 0.64%.

>> Oil prices slid more than 1 per cent on Wednesday, paring the previous day’s gains on a jump in US crude inventories. Brent futures fell 61 cents, or 1.5%, to $40.59 a barrel while WTI crude declined 66 cents, or 1.7%, at $38.91, after gaining 2.6% on Tuesday.

>> The rupee pared early losses and settled 13 paise higher at 73.71 against the US dollar on Tuesday, tracking positive domestic equities.

>> The dollar rebounded against major peers. The yen dipped 0.1% as did the offshore yuan and the euro. China’s yuan is in focus after the nation’s banks abandoned inclusion of a key factor used to calculate the currency’s daily reference rate.

>> Gold and silver prices in India edged lower on Tuesday, as elusive US stimulus package and a stronger US dollar put pressure on the yellow metal. On MCX, December gold futures fell 0.3% to Rs 50,679 per 10 gm, while silver futures plunged 1.12% to Rs 61,749 a kg. In international markets, gold fell 0.2% to $1,905.06 an ounce.

All in all, sentiment looked weak on Dalal Street this morning. On Tuesday, Nifty50 made a smart recovery and took out the immediate resistance at 11,800 level.

LET ME NOW GIVE YOU A HEADS-UP on some of the top news we are tracking at this hour.

… Indian equities could see inflows of about $2.5 billion or Rs 18,000 crore in November-December after global index provider MSCI confirmed it would implement new foreign ownership limit changes in its semi-annual review next month. With this, MSCI India’s weight in its emerging market index could increase to as much as 8.8% from the current level of 8.1%, said Morgan Stanley

… Future Group has decided not to legally challenge the Singapore International Arbitration Centre’s interim ruling that has put the sale of its retail business to RIL on hold as it has taken the view that the SIAC-appointed emergency arbitrator’s verdict cannot be enforced in India. This is in contrast to its earlier position when it was planning to move the Delhi High Court against the verdict.

… The Finance Ministry says it will seek the views of other ministries, including external affairs, on the law ministry’s opinion regarding whether India should appeal against the arbitration award in the Vodafone tax case. These will be placed before the attorney general for his take on the matter, an official said.

… Home, vehicle and rural loans are helping banks and non-bank lenders spare their blushes even as they remain risk-averse to unsecured and wholesale credit. Most banks and non-banking finance companies saw their home, vehicle and farm loans surpassing pre-Covid levels in the quarter ended September while the overall credit book shrunk for some lenders.

… Bharti Airtel narrowed its consolidated net loss to Rs 763 crore in the second quarter, posting record consolidated revenue boosted by the continued recovery of its India business. India’s No. 2 telco saw its sixth straight quarterly loss after higher finance costs and a one-time charge. Revenue rose 22 per cent to Rs 25,785 crore during the seasonally weak July-September quarter


… Finance Minister Nirmala Sitharaman says the Indian economy may contract or stagnate this fiscal but it will bounce back to be among the fastest growing in the world next year. Demand revival and the government’s focus on infrastructure, agriculture and related sectors, along with support to sovereign funds and pension funds will drive economic growth, she said.

Tata Motors posted a consolidated loss of Rs 307 crore for the September quarter as sales fell by about one-third at its JLR unit amid sluggish commercial vehicles sales in an Indian automobile market that’s seen a pickup in passenger car

Harley-Davidson is hitching a ride with local market leader Hero MotoCorp in a renewed attempt to capture the premium end of India’s two-wheeler market

Aditya Birla Mutual Fund, among India’s top five asset managers, is in exploratory talks to raise up to Rs 2,500 crore through an initial public offering, seeking to leverage a maturing equity culture

Global ports operator DP World has run into trouble with minority shareholders of Shreyas Shipping in India as they have objected to transactions involving DP World’s purchase of the company’s cargo and logistics businesses.

That’s it for now. For all the market news through the day, do track Have a great day ahead! Bye-bye Read from source….