12:00 pm: Government to release June wholesale price inflation data in New Delhi.
LIVECHAT-MARKETS FOCUS Michael Howell, managing director at CrossBorder Capital, joins us to discuss the recent sell-off in EM currencies, which has set the cat among the pigeons, and how to navigate such troubled waters. With looming trade wars and a scenario of rising interest rates, world markets seem to be set for a difficult second half of 2018. To join the conversation at 0230 pm IST, click on the link: https://forms.thomsonreuters.com/communities/ INDIA TOP NEWS • India's trade deficit widens to more than 5-year high in June India's trade deficit widened to its highest in more than five years in June, the trade ministry said on Friday, driven largely by a surge in oil prices and a weaker rupee.
• Infosys retains revenue forecast as seeks recovery India's second-biggest IT firm Infosys Ltd retained its revenue outlook for the fiscal year to March, with its chief executive upbeat about demand for the company's services in the key markets of United States and Europe.
• India says twice-delayed strategic talks with U.S. to be held in September India will hold a top-level strategic dialogue with the United States in the first week of September, India's defence minister said on Friday, after the United States last month postponed the meeting for a second time this year.
• Indivior wins preliminary injunction against generic rival A U.S. court has granted Indivior a preliminary injunction blocking India's Dr. Reddy's Laboratories from selling cut-price versions of the British drugmaker's best-selling opioid addiction treatment in the United States, Indivior said on Friday.
• India's capital market regulator proposes tighter rules for auditors, valuers India's capital market regulator has proposed amendments to tighten laws governing auditors and other third-party individuals hired by listed companies for auditing financial results, among other things.
• India's social media monitoring plan worries Supreme Court A government plan to monitor social media could turn India into a "surveillance state", the Supreme Court was cited as saying on Friday as it asked the government to respond to such worries within two weeks, a lawyer involved in the case said.
GLOBAL TOP NEWS • China Q2 GDP growth cools as factory output weakens, trade row flares China's economic growth slowed as expected in the second quarter as the government's efforts to tackle debt risks crimp activity and an intensifying trade war with the United States threatens to knock exports.
• Trump and Putin to hold first summit talks as twitchy West looks on After months of exchanging long-distance compliments, Donald Trump and Vladimir Putin sit down for their first ever summit, a potential political minefield at home for the U.S. president but a geopolitical win for his Russian counterpart.
• China looks to get cozy with EU in annual talks as Trump tariffs bite The European Union will open an annual meeting with China, and will be looking to fend off overtures for an anti-U.S. alliance as China seeks a European counterbalance to U.S. tariffs.
LOCAL MARKETS OUTLOOK (As reported by NewsRise) • SGX Nifty nearest-month futures were little changed at 11,026.50.
• The Indian rupee is expected to edge lower against the dollar after the country’s trade deficit widened to its highest in more than five years.
• Indian government bonds are likely to open little changed, as steady crude oil prices and mixed inflation data provided little cues. The yield on the benchmark 7.17 percent bond maturing in 2028 is likely to trade in a 7.76 percent-7.82 percent band today.
GLOBAL MARKETS • U.S. stocks rose slightly on Friday, putting the S&P 500 at its highest closing level in more than five months, as gains in industrials and other areas offset a drop in financials after results from three of the big banks mostly disappointed.
• Asian shares were lower after data from China showed the world's second-largest economy slowed slightly in the second quarter, and as investors remain cautious over the impact of the heated Sino-U.S. trade war.
• Major currencies held around recent ranges thanks to a lull in China-U.S. trade skirmishing and as investors await key data from the world's two biggest economies to determine whether global growth is running out of puff.
• Treasury prices moved higher on Friday after the Federal Reserve reinforced views of strong U.S. economic growth in a report to Congress.
• Oil prices fell as concerns about supply disruptions eased and Libyan ports resumed export activities, while traders eyed potential supply increases by Russia and other oil producers.
• Gold prices nudged higher in early trade amid a softer U.S. dollar and slightly weaker Asian shares, after sliding to their lowest in seven months in the previous session.
CLOSE FII INVESTMENTS EQUITIES DEBT PNDF spot 68.44/68.47 July 13 2018 -$161.34 mln -$114.22 mln 10-yr bond yield 7.79 pct Month-to-date -$172.40 mln -$273 mln Year-to-date -$959.83 mln -$6.05 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 = 68.4900 Indian rupees) (Compiled by Yoganand KN in Bengaluru)
