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FACTORS TO WATCH
3:30 pm: Goods and Services Tax Network CEO Prakash Kumar at roundtable discussion on GST related issues in New Delhi.
LIVECHAT - FED WATCH
Reuters reporters and editors tracking the Federal Reserve take questions at 8 pm IST on the economics, politics, trade matters and rates policies facing America's central bank and others whose decisions drive markets day in and day out. To join the conversation, click on the link: https://refini.tv/2P8N0Wp
INDIA TOP NEWS
• RBI's Das says change in stance as good as additional 25 bps rate cut: reports
The Reserve Bank of India's change in monetary policy stance effectively equates to an additional 25-basis-point (bps) rate cut, Governor Shaktikanta Das was reported as saying.
• Rise in India government borrowing can weigh on corporate sector: RBI's Acharya
An increase in government borrowing runs the risk of flooding the debt market, while making it expensive for companies to borrow, according to outgoing Reserve Bank of India Deputy Governor Viral Acharya.
• Auditors to DHFL raise red flags around quarterly results
Dewan Housing Finance Corp Ltd filed its long-delayed audited results for the quarter ended March 31 late on Monday, and revealed that its auditors had raised several red flags around its numbers, raising fresh concerns about the future of the troubled lender.
• India government wants antitrust review of Big Four accountants: source
The Indian government wants the country's antitrust body to assess whether the so-called "Big Four" auditing firms and their affiliates are hurting competition in any manner, a senior government official told reporters.
• Kotak Mahindra Bank joins rivals in warning of challenges ahead
Kotak Mahindra Bank reported a 32.7% jump in its first-quarter profit on Monday, but its results fell marginally shy of estimates and it became the third private-sector Indian bank in a row to sound a cautionary note about the slowing pace of domestic growth.
• Indian panel recommends cryptocurrency ban
An Indian government panel has recommended banning all private cryptocurrencies and a jail term of up to 10 years and heavy fines for anyone dealing in digital currencies, which could signal the end of them in India.
• China's ByteDance plans to set up data centre in India
China's ByteDance said it plans to open a data centre in India, where it is facing concerns about consumer privacy and demands for a ban on its hugely popular video app TikTok.
GLOBAL TOP NEWS
• Trump agrees to prompt responses to license requests for Huawei sales U.S. President Donald Trump agreed at a meeting with the heads of top technology companies like Google on Monday to make "timely" decisions on requests by U.S. companies to sell to blacklisted Huawei Technologies, the White House said.
• China's new Nasdaq-style STAR Market plunges on second day of trading China's STAR Market kicked off its second day of trading with sharp falls in most listed shares a day after they posted average gains of 140%, underscoring the volatility of the country's new Nasdaq-style board.
• Apple in advanced talks to buy Intel's smartphone-modem chip business - WSJ Apple is in advanced talks to buy chipmaker Intel's smartphone-modem chip business, the Wall Street Journal reported on Monday, citing people familiar with the matter.
LOCAL MARKETS OUTLOOK
(As reported by NewsRise)
• SGX Nifty nearest-month futures were trading 0.1% higher at 11,352.50.
• The Indian rupee is expected to open lower against the U.S. currency amid a further decline in Asian currencies.
• Indian government bonds are likely to open little changed, as traders await fresh cues after comments by the central bank governor hurt bets of aggressive rate cuts. The yield on the benchmark 7.26% bond maturing in 2029 is likely to trade in a 6.38%-6.43% range today.
GLOBAL MARKETS
• The S&P 500 climbed toward a record high on Monday, supported by expectations of lower interest rates, while investors awaited quarterly earnings from marquee companies Facebook, Alphabet and Amazon later this week.
• Expectations of policy easing by major central banks such as the Federal Reserve propped up global stocks, while the pound sagged as Britain braced for a new prime minister who could pave the way for a no-deal exit from the European Union.
• Sterling was on the back foot as investors worried Boris Johnson, the frontrunner to become the UK's next prime minister, would trigger a "hard Brexit" from the European Union, widely seen as a major risk for the British economy.
• U.S. Treasury yields fell on Monday and the yield curve flattened as dovish global central bank policy supported demand for government debt, with no major new events to set market direction.
• Oil prices inched lower as the International Energy Agency (IEA) said it would act quickly if needed to keep the market supplied amid tensions in the Middle East and traders eyed a weaker demand outlook.
• Gold prices fell in early Asian trade as the dollar rose to a near one-week high on expectation of a smaller interest rate cut by the U.S. Federal Reserve at the end of this month.
CLOSE FII INVESTMENTS EQUITIES DEBT PNDF spot 6.418 July 22 - -$141.56 mln10-yr bond yield 68.97/69 pct Month-to-date -$1.20 bln $673.28 mln Year-to-date $10.14 bln -$727.48 mln
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 = 68.8930 Indian rupees) (Compiled by Swathi Nair in Bengaluru)