Eros Share News (EROS)

Mon, 4th Jun 2012 04:26

GLOBAL MARKETS ROUNDUP

* USD/INR likely to open sharply higher as U.S.

non-farm payroll, China non-manufacturing PMI disappoint; pair

last closed at 55.54/55 on Friday, having hit a record high of

56.52 on Thursday.

* Asian shares tumbled on Monday, pushing the broader Tokyo

market to a 28-year low, as investors extended a rout of global

stocks because of worries about a nightmare scenario of

euro-zone breakup, U.S. economic relapse and a sharp slowdown in

China.

* The euro edged back towards a two-year low against the

dollar on Monday, failing to maintain gains. Speculation grew

that the U.S. Federal Reserve may take more monetary easing

steps.

* Brent crude oil prices fell for a fourth straight

day on Friday, dropping under $100 a barrel to a 16-month low,

as weak U.S. and Chinese economic data thrashed markets and sent

investors to perceived safer havens.



OVERNIGHT NEWS

* RBI deputy governor Subir Gokarn was quoted by media on

Friday saying the central bank has more room to cut rates after

the recent weak Jan-March GDP data and the fall in oil prices.

'The factors that are, perhaps, providing some more room,

one is, growth has slowed down somewhat more than expected,'

Bloomberg quoted Gokarn as saying. 'Second, oil prices have come

down somewhat more than expected. Things are working on both

sides. Inflation risks remain.'

* India's state-run oil refiners have agreed to a partial

rollback of last month's gasoline price increase, a move that

was expected after a public outcry over the steepest rise in the

country's history.



KEY EVENTS TO WATCH

* Finance Minister Pranab Mukherjee to inaugurate Annual

Conference of Chief Commissioners and Directors General of

Customs, Central Excise and Service Tax.

* RBI Deputy Governor Subir Gokarn at 'India All Access'

organised by Nomura in Mumbai. (0330GMT)



EXTERNAL COMMERCIAL BORROWINGS / MAJOR DEALS

* U.S. private equity firm Warburg Pincus LLC is set

to buy a majority holding in Indian financial services firm

Future Capital Holdings for $100-$125 million, two

sources with direct knowledge of the matter told Reuters on

Sunday.

* Bharti Airtelis in talks with banks to raise

short-term bilateral loans to refinance upcoming maturing debt.

The move is a further blow to the already sluggish Indian

syndicated loan market.

India's biggest mobile phone carrier needs around $400

million in two-year money to partially repay a $2 billion

18-month bridge loan due in June. Citigroup, HSBC, Intesa

Sanpaolo, JP Morgan and Standard Chartered are among those

interested in providing the lending. (IFR)

* Tadas Wind Energy, promoted by IL&FS Transport Networks

(India), has raised a 8.76 billion rupees ($156 million) loan

via IL&FS Financial Services as a bookrunner. (IFR)

* Viceroy Bangalore Hotels has raised a 2.06 billion rupees

loan to part finance a hotel at Race Course Road in Bangalore

and repay a short-term loan. (IFR)

* India's top car maker Maruti Suzuki is to invest

40 billion rupees ($716 million) to set up a new manufacturing

facility in the western Indian state of Gujarat, raising its

total capacity to 2 million units by 2015-16.



USD/INR NDFs (NY closing prices)

* For up-to-date prices, double click

Close Open High Low Volume

55.75-82 56.57 56.50 55.78 High



FII INVESTMENTS-EQUITIES (Net rupees)

June 1* -2.20 bln

Month-to-date** -6.31 bln

Year-to-date** 418.60 bln

* Provisional NSE data

** Source: SEBI (reporting date as of June 1, as submitted

by custodians)



FII INVESTMENTS-DEBT (Net Rupees)

Debt

May 31 25.21 bln

Month-to-date 25.21 bln

Year-to-date 217.01 bln

Source: SEBI (reporting date as of June 1, as submitted by

custodians)



GOVERNMENT SECURITIES TRADING (Net buy/sell, in rupees)

June 1

Foreign Banks -4.83 bln

Public Sector Banks -8.29 bln

Private Sector Banks 10.31 bln

Mutual Funds 1.83 bln

Others 8.05 bln

Primary Dealers -7.10 bln

Source: Clearing Corp of India Ltd



WEEKLY GOVERNMENT BOND AUCTIONS (In rupees)

MATURITIES DATE AMOUNT

10-Yr State Loans June 5 40.05 bln

91-Day T-Bills June 6 90 bln

182-Day T-Bills June 6 50 bln



LIQUIDITY, as of June 1

* The Reserve Bank of India said on Friday it accepted all

40 bids for 660 billion rupees at its three-day repo auctions,

through which it injects liquidity into the banking system. It

also accepted 9 bids for 45.50 billion rupees at the reverse

repo auction.

* Indian bank refinancings with RBI fall to 100.45 bln

rupees

* Indian banks' cash balances with RBI fall to 2.95 trln

rupees.



(Compiled by Subhadip Sircar)

Keywords: MARKETS INDIA/FX DEBT

(rafael.nam@thomsonreuters.com)(+91-22 6180-7425)(Reuters Messaging: rafael.nam.thomsonreuters.com@reuters.net)

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