Govt issues 183 notices to e-commerce firms for violating country of origin provisions
The Department of Consumer Affairs has issued 183 notices in the last year to e-commerce companies violating provisions related to country of origin, according to a PTI report.
In a written reply to the Lok Sabha, Minister of State for Consumer Affairs, Food and Public Distribution Ashwini Kumar Choubey said the Legal Metrology (Packaged Commodities) Rules, 2011 under the Legal Metrology Act 2009 provides, in the case of imported products, for mandatory declaration of country of origin, on the digital and electronic network used for e-commerce transactions.
Rupee falls for second day, declines 17 paise against U.S. dollar
The rupee fell for the second straight day, due to a stronger dollar in the overseas market.
The currency fell by 17 paise to end at 74.43 against the U.S. dollar. Forex traders said foreign fund inflows and positive domestic equities helped limit the depreciation bias of the local unit, PTI reported.
Sensex reaches new peak, ends 152 points higher
Equity benchmark Sensex rose 152 points on Tuesday to end at a record high, led by gains in HDFC, Bharti Airtel and Infosys.
The index ended 0.28% higher at its lifetime peak of 54,554.66, while NSE Nifty advanced 0.13% to 16,280.10, PTI reported.
Comment | The sovereign right to tax is not absolute
An important bill introduced in Parliament last week aims to nullify the regressive 2012 amendment in the Income Tax Act. The 2012 amendment overturned the Supreme Court’s decision in Vodafone International Holdings v. Union of India and made the income tax law retroactively applicable on indirect transfer of Indian assets.
The proposed amendment, long overdue, is a welcome development. However, it is being presented as a domestic legal reform undoing a past mistake.
High cost of containers to impact India's exports
The Trade Promotion Council of India (TPCI) said on Tuesday that container freights is likely to push the overall cost of domestic goods in international markets, making it less competitive and hurt the country’s merchandise exports.
New records have been hit in container freight spot rates of all farriers and further rise is expected this month, PTI reported.
Tesla China shipments of locally made cars plunge in July: Bloomberg
Shipments of Tesla Inc’s China-made cars to the local market fell sharply last month, hit by negative publicity caused by several recalls of cars sold in the country.
Musk’s electric vehicle company reported domestic China shipments of only 8,621 units in July, down 69% from its June figures, according to a Bloomberg report.
Mahindra recalls 29,878 pick up vehicles over faulty pipe
Automaker Mahindra & Mahindra on Tuesday said it will recall 29,878 pick up vehicles to replace faulty fluid pipe over suspicion of improper assembly.
The company said it will proactively inspect and replace fluid pipe in some vehicles manufactured between January 2020 and February 2021, according to a PTI report.
Comment | Revisit the idea of ‘aging out’ India’s coal plants
As part of the Union Budget address for 2020-21, the Finance Minister, Nirmala Sitharaman, said that the shutting down of old coal power plants, which are major contributors to emissions, will aid the achievement of India’s Nationally Determined Contributions, an idea which has been endorsed by the Power Minister, R.K. Singh.
An analysis suggests that the total savings in generation cost from shutting down plants older than 25 years would be less than ₹5,000 crore annually, which is just 2% of the total power generation cost.
Over 2.07 crore unutilised vaccine doses still available with states, pvt hospitals: Centre
More than 2.07 crore balance and unutilised COVID-19 vaccine doses are still available with the states, UTs and private hospitals to be administered, the Union Health Ministry said on Tuesday.
Over 52.56 crore vaccine doses have been provided to states and UTs so far through all sources and a further 48,43,100 doses are in the pipeline, according to PTI.
Govt approves Bharat Biotech’s Ankleshwar plant to produce Covaxin: Union Minister
The government has given approval to Bharat Biotech’s Ankleshwar plant to product COVID-19 vaccine Covaxin, Union Minister Mansukh Mandaviya said on Tuesday.
The approval would help increase the availability of COVID-19 vaccines in the country, Mandaviya said, according to a PTI report.
Twitter has ‘prima facie’ complied with new IT Rules, Centre tells Delhi HC
The Central government on Tuesday, August 10, 2021, informed the Delhi High Court that Twitter had “prima facie” complied with the new Information Technology Rules, 2021, by appointing permanently a Chief Compliance Officer (COO), a Resident Grievance Officer (RGO) and a Nodal Contact Person (NCP).
Following this, the court directed the Centre to submit an affidavit highlighting the new development within two weeks. It posted the case for October 5.
Hinduja Group’s company to sell healthcare business to BPEA
Hinduja Group’s company Hinduja Global Solutions Ltd will divest its healthcare services business to funds affiliated with Baring Private Equity Asia (BPEA), for an enterprise value of 1.2 billion.
The company is looking at adopting a “string of pearls” acquisition strategy to strengthen its “triple A” play in analytics, automation, artificial intelligence and the cloud, according to a PTI report.
Jindal Steel’s Q1 profit rises 10 times
Jindal Steel and Power Ltd’s net profit for the June-ended quarter rose 10 times compared to last year, according to a PTI report.
The industrial company’s profit rose to ₹2,516 crore last quarter, while its total income jumped to ₹10,643.17 crore.
Asian markets rise as recovery hopes offset virus worries
Asian and European markets rose on Tuesday as long-term global outlook gave hope for recovery from virus worry and the Federal Reserve’s possibility of withdrawing its vast financial support.
Shanghai’s composite index was up 1% at 3,529.93 while Hong Kong’s Hang Seng index was up 1.2% at 26,605.62.
Hong Kong led the pack, rising as Chinese tech firms, that are reeling under intense regulatory crackdown, saw some buying interest, Reuters reported.
Coal India Q1 profit rises 52%
Coal India on Tuesday reported a 52% rise in net profit in the June-ended quarter.
Profit rose to ₹3,170 crore last quarter compared to ₹2,078 crore in the same period last year. The company’s total revenue from operations rose nearly 37% on a year-on-year basis.
Reliance is weighing bid for T-Mobile Netherlands: Bloomberg
Reliance Industries Ltd Chairman Mukesh Ambani is said to be weighing in bid for Deutsche Telekom AG’s Netherlands subsidiary, Bloomberg reported citing people familiar with the development.
Deutsche Telekom is seeking about 5 billion euros ($5.9 billion) in any sale, according to Bloomberg.
India’s exports rise over 50% between August 1-7
India’s exports rose over 50% to $7.41 billion between August 1 and 7, driven by healthy growth in the shipments of engineering goods, gems, jewellery and petroleum products, according to provisional data by the commerce ministry.
Imports grew over 70% during the week to $10.45 billion, leaving a trade deficit of $3 billion, PTI reported.
Japan’s SoftBank posts 39% fall in Q1 profit
Japan’s SoftBank Group Corp posted a 39% fall in first-quarter net profit on Tuesday, even though the company’s Vision Fund reported a profit of 236 billion yen ($2.14 billion).
Profit for the June-ended quarter was 762 billion yen ($6.9 billion), compared with 1.3 trillion yen in the same period last year, Reuters reported. ($1 = 110.3400 yen)
JSW Steel output grows 11% in July
JSW Steel on Tuesday posted a 11% jump in its crude steel output at 13.82 lakh tonne (LT) during July 2021, compared with 12.46 LT in same month last year, the firm said in a statement.
The company also said production of its flat-rolled products saw a marginal fall of 1% to 9.34 LT in July compared to 9.40 LT in the year-ago period. It registered a growth of 28% in output of its long-rolled products at 3.06 LT from 2.40 LT in the year ago month, a PTI report noted.
Hinduja Global Solutions to divest healthcare services business
Hinduja Group’s business process management entity Hinduja Global Solutions Ltd (HGS) will divest its healthcare services business to funds affiliated with Baring Private Equity Asia (BPEA), based on enterprise value of $1.2 billion (around ₹8,924 crore), according to a PTI report.
Post completion of this transaction, HGS will transfer all client contracts, employees, and assets, including infrastructure related to the healthcare services business, which has over 20,000 employees across four geographies – India, the Philippines, the US and Jamaica – and recorded revenues of approximately $400 million in FY2021.
Ather to offer its fast-charging connector to other EV two-wheeler makers
Electric scooter maker Ather Energy on Tuesday said it will offer its proprietary fast-charging connector to other EV two-wheeler manufacturers as well for faster adoption of these vehicles, a PTI report noted.
The company said this will pave the way for an interoperable two-wheeler fast charging platform in the country, and allow more original equipment manufacturers to build products on a common standard, thereby, lowering infrastructure investments.
Reliance Power posts ₹12 crore net profit in June quarter
Reliance Power on Monday posted a consolidated net profit of ₹12.28 crore in the June ending quarter of 2021, compared with a loss of ₹1.88 crore in the year-ago period, according to the company’s regulatory filing.
The firm’s total income fell to ₹2,062.59 crore in the first quarter of this fiscal, from ₹2,137.10 crore in the year-ago quarter, it said. And, its expenses were at ₹1,971.21 crore, lower from ₹2,054.83 crore a year ago, a PTI report noted.
Investment bankers to get biggest checks in decade as Wall St. bonuses jump
Most Wall Street workers can expect double-digit increases in bonuses this year compared to 2020, while investment bankers could see the biggest checks in roughly a decade, according to a report by compensation consulting firm Johnson Associates Inc.
Bankers who do underwriting work could enjoy a 30-35% increase in their 2021 bonus, while bankers who handle advisory work and equity sales and trading professionals could get 20-25% increases, a Reuters report noted.
Asset managers, hedge fund and private equity workers could see increases of 10-15%.
Rupee opens on weak note, slips in early trade
Indian Rupee opened on a weak note at 74.40 against the U.S. dollar on Tuesday, after closing at 74.26 on Monday.
In Tuesday’s early trading, the rupee depreciated further to 74.46, registering a fall of 20 paise over its previous close.
According to Forex traders, foreign fund inflows and positive domestic equities will limit the depreciation bias of the local unit, a PTI report noted.
Reliance New Energy Solar to invest $50 million in battery storage firm Ambri
Reliance New Energy Solar Ltd. (RNESL), a wholly owned subsidiary of Reliance Industries Ltd. (RIL), has announced an investment of $50 million to acquire 42.3 million shares of preferred stock in Ambri Inc., an energy storage company based in Massachusetts, USA.
This is part of a $144 million investment that RNESL, strategic investors Paulson & Co. Inc., Bill Gates, and a few other investors, have committed to make in Ambri.
Fed officials say tapering is near, advancing discussion on rate hike
Two Federal Reserve officials said on Monday that the U.S. economy is growing rapidly and that while the labour market still has room for improvement, inflation is already at a level that could satisfy one leg of a key test for the beginning of interest rate hikes, Reuters reported.
Atlanta Federal Reserve Bank President Raphael Bostic said he is eyeing the fourth quarter for the start of a bond-purchase taper but is open to an even earlier start if the job market keeps up its recent torrid pace of improvement. Moreover, he and Richmond Fed President Tom Barkin both said they believe inflation has already achieved the Fed’s 2% threshold, according to their separate assessments.
Economic activity nears level seen pre-pandemic: Nomura
India’s economic activity reached its highest level, in the first week of August, since the onset of the COVID-19 pandemic last year, as per a business resumption index.
The Nomura India Business Resumption Index rose to a record high of 99.4 for the week ended August 8, from 94.0 in the previous week, near the pre-pandemic level of 100, and surpassing the pre-second wave peak of 99.3 in February 2021.
upGrad raises $185 million; enters unicorn club
upGrad, a higher edtech firm, became the latest unicorn in the Indian market when it received a total of $185 million from Temasek and International Finance Corporation at a valuation of $1.2 billion on Monday.
July equity MF inflows surge to ₹22,583 crore
The strong inflows in new fund offers helped equity mutual funds (MFs) to log a staggering net investment of ₹22,583 crore in July, making it the fifth consecutive monthly infusion, amid a stock market rally.
The net inflow stood at of ₹5,988 crore in June, as per data from the Association of Mutual Funds in India.
Oil steadies after hitting three-week low on pandemic restrictions
Oil prices rose on Tuesday, edging up from a three-week low in the previous session, but gains are likely to be limited on worries that rising COVID-19 cases and restrictions in China will dent fuel demand, a Reuters report noted.
Brent crude oil futures increased by 0.4%, to $69.34 a barrel, while U.S. West Texas Intermediate crude oil futures advanced by 0.7%, to $66.91 a barrel.
Earnings announcements expected today
Several companies are expected to release their quarterly earnings report on Tuesday, including Ashoka Buildcon, Balaji Telefilms, Brookfield India Real Estate Trust REIT, Computer Age Management Services, Century Plyboards, Chalet Hotels, Coal India, Cochin Shipyard, Deepak Fertilisers, Eveready Industries, Godrej Agrovet, Infibeam Avenues, IRB Infrastructure Developers, Jindal Steel & Power, Krishna Institute of Medical Sciences, Lupin, Manappuram Finance, Max Financial Services, Power Grid Corporation of India, Pricol, Reliance Infrastructure, Siemens, Spencers Retail, Tata Teleservices (Maharashtra), Whirlpool of India, Wonderla Holidays, and Zomato.
Indian benchmark indices open higher, rise in early trade
Indian indices opened higher on Tuesday. BSE Sensex opened at 54,461.31, up 58.46 points, while Nifty opened at 16,274.80, up 16.55 points.
In Tuesday’s early trade (at 9:29 A.M.), Sensex gained 256.2 points or 0.47% over its previous close to reach 54,659.05, while Nifty rose 63.35 points or 0.38% over its previous close to reach 16,320.60.
On Monday, the 30-share BSE index rose 125.13 points or 0.23% to close at 54,402.85, while the broader NSE Nifty advanced 20.05 points or 0.12% to 16,258.25.
Asian stocks on backfoot as concern over Delta variant saps confidence
Asian stocks started off on a weak footing on Tuesday after a largely soft performance on Wall Street and as persistent concerns over the spread of the Delta variant of the coronavirus dented sentiment and triggered falls in metals and oil prices, a Reuters report noted.
MSCI’s broadest index of Asia-Pacific shares outside Japan declined 0.4% in early trading, with Korea’s KOSPI index down 0.56% while China’s blue-chip index CSI300 shed 0.33%.
Japan’s Nikkei was UP 0.9% while Australia’s benchmark S&P/ASX200 was 0.2% higher on the back of strong earnings results.
Low rates bet tops virus fears on Wall Street
The Nasdaq rose, while the S&P 500 and the Dow fell on Monday, with those betting on low long-term interest rates gaining an upper hand against those who fear surging coronavirus cases will hamper a recovery that can help economically sensitive stocks, a Reuters report noted.
The S&P 500 closed at 4,432.35, down 4.17 points or 0.09%, the Dow Jones Industrial Average fell 106.66 points or 0.30% to close at 35,101.85, and the Nasdaq Composite ended at 14,860.18, up 24.42 or 0.16%.
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