To access the newsletter, click on the link: http://share.thomsonreuters.com/assets/newsletters/Indiamorning/MNC_IN_02202017.pdf If you would like to receive this newsletter via email, please register at: https://forms.thomsonreuters.com/india-morning/ FACTORS TO WATCH LIVECHAT:INDIAN REAL ESTATE MARKET Niranjan Hiranandani, co-founder of the Hiranandani Group, joins us at 9:30 am to discuss on a variety of topics including the future of high-end luxury houses, affordable housing, the 'thin capitalisation' concept unveiled in the latest budget and on smart cities. To join the conversation, click on the link: https://forms.thomsonreuters.com/communities/ INDIA TOP NEWS • Indian IT industry faces twin challenges of Trump, automation Automation and the new U.S. administration were the big unknowns at the Indian tech sector's annual shindig this week, with machines threatening to take away thousands of jobs and concerns over possible visa rule changes in the key American market.
• India may soon allow institutions to trade commodity futures- SEBI chief India could start allowing institutional investors to trade in its annual $1 trillion commodity futures market as soon as in a month, the head of the country's capital markets regulator said on Friday, as the government targets deepening of the market.
• Havells India to buy Lloyd Electric's consumer business for $231 mln Havells India Ltd, a leading maker of lights and fans, has agreed to buy a unit of Lloyd Electric and Engineering Ltd that sells air conditioners and televisions in a 15.5 billion-rupee deal, the companies said.
• Apple to start India manufacturing in coming months with iPhone SE -source Apple Inc will in the coming months start assembling its lower-priced iPhone SE models at a contract manufacturer's plant in the southern Indian technology hub of Bengaluru, an industry source with direct knowledge of the matter said on Friday.
• India cbank gov says looking beyond muted headline inflation -report The governor of India's central bank said it needs to look beyond recent muted headline inflation figures and focus on trends in core inflation, which excludes more volatile food and fuel prices.
• India still keen to buy Westinghouse reactors despite Toshiba meltdown India does not expect fallout from the financial meltdown at Toshiba Corp to halt plans to buy six nuclear reactors from the Japanese company's U.S. nuclear unit Westinghouse, a senior government official told Reuters on Friday.
• ArcelorMittal, SAIL's India joint venture talks at an impasse - sources A proposed joint venture between state-owned Steel Authority of India Ltd and ArcelorMittal SA to build an $897 million automotive steel plant in India has hit an impasse, with the two disagreeing on key terms, officials said.
• Chief minister wins stormy confidence vote in India's carmaking state The chief minister of India's southern state of Tamil Nadu won a confidence vote on Sunday after a brawl in the state assembly, triggered when the speaker rejected opposition calls for a secret ballot.
GLOBAL TOP NEWS • Trump administration drafts plan to raise asylum bar, speed deportations The Department of Homeland Security has prepared new guidance for immigration agents aimed at speeding up deportations by denying asylum claims earlier in the process.
• Japan export growth slows, Trump's trade policies cloud outlook Japan's exports rose in January at a slower pace than the previous month due to a decline in shipments to the U.S. and the Lunar New Year holidays and as concerns about growing trade protectionism cast doubts over the outlook.
• Kraft walks away from 'friendly' bid for Unilever U.S. food company Kraft Heinz Co withdrew its proposal for a $143-billion merger with larger rival Unilever Plc, the companies said on Sunday, raising questions about whether Kraft will turn its focus to another target.
LOCAL MARKETS OUTLOOK (As reported by NewsRise) • The SGX Nifty Futures were at 8,834.00, up 0.12 pct from its previous close.
• The Indian rupee is poised to open lower against the dollar, as growing political uncertainty in the euro zone keeps risk sentiment subdued.
• Indian government bonds will likely trade lower in early session ahead of a supply of state debt later today. The yield on the benchmark 6.97 pct bond maturing in 2026 is likely to trade in a 6.83 pct-6.89 pct band today. The paper had closed at 100.83 rupees, yielding 6.85 pct on Feb. 17.
GLOBAL MARKETS • The Dow Jones Industrial Average barely reached a seventh straight record high on Friday and the S&P 500 and Nasdaq also closed at a record as gains in Kraft Heinz helped offset selling in energy stocks.
• Asian share markets were mixed on Monday as political uncertainty globally kept the mood cautious, while the U.S. dollar recouped early losses ahead of a busy week for Federal Reserve speakers.
• The euro struggled for traction against the dollar and yen after suffering significant losses at the end of last week on renewed concerns about the upcoming French elections.
• U.S. Treasury prices gained on Friday as concerns over the French presidential election and weak data in Britain added to risk aversion, hurting stocks and boosting demand for safe haven U.S. debt.
• Oil prices rose, but gains were minimal as investors gauged whether an increase in U.S. drilling and record stockpiles would undermine efforts by producers to cut output and bring the market into balance.
• Gold prices held steady supported by a weaker dollar and lower equities, with U.S. markets closed for the Presidents Day holiday.
CLOSE FII INVESTMENTS EQUITIES DEBT PNDF spot 67.07/67.10 February 17 $1.20 bln $53.57 mln 10-yr bond yield 7.17 pct Month-to-date $379.64 mln $1.11 bln Year-to-date $373.25 mln $1 bln For additional data: India govt bond market volumes Stock market reports Non-deliverable forwards data Corporate debt stories [IN CORPD] Local market closing/intraday levels [IN SNAPSHOT] Monthly inflows [INFLOWS RTRS TABLE IN] ($1 = 67.01 Indian rupees) (Erum Khaled in Bengaluru)
