The Enforcement Directorate (ED) on Thursday said it has unearthed a “secret underground office” which was being operated by erstwhile Unitech founder Ramesh Chandra and visited by his sons Sanjay Chandra and Ajay Chandra when on parole or bail.
Separately, The Reserve Bank of India (RBI) has appointed Ajay Kumar as its Executive Director with effect from August 20, 2021.
Gold falls ₹265, silver drops ₹323
Gold on Thursday dipped ₹265 to ₹46,149 per 10 grams, in line with a fall in international precious metal prices and rupee appreciation, according to HDFC Securities.
In the previous trade, gold closed at ₹46,414 per 10 grams.
Silver also tumbled ₹323 to ₹61,653 per kg, from ₹61,976 per kg in the previous trade, PTI reported.
The rupee appreciated 13 paise to 74.11 against the dollar in the opening trade on Thursday.
Fed's Powell likely to give few hints on bond-buying taper timeline
Federal Reserve Chair Jerome Powell's highly anticipated speech to the Jackson Hole economic conference on Friday will likely offer few new hints about when the U.S. central bank may start reducing its massive asset purchases, analysts said, according to a Reuters report.
But Powell could tackle the sensitive task of explaining why tapering the $120 billion in monthly purchases of Treasuries and mortgage-backed securities doesn't mean an imminent interest rate hike, advancing an effort by Fed policymakers to keep traders from pushing up borrowing costs more than the central bank may feel is warranted or healthy for an economy with millions still unemployed.
Sensex makes slim gains, Nifty soars to new high
Equity benchmarks Sensex and Nifty ended on a flat note on Thursday as monthly derivatives expired amid a weak trend in global markets and sustained foreign fund outflows.
After trading range-bound through the session, the 30-share BSE Sensex ended just 4.89 points or 0.01 per cent higher at 55,949.10.
Similarly, the broader NSE Nifty advanced 2.25 points or 0.01 per cent to its fresh closing peak of 16,636.90.
Reliance Industries was the top gainer in the Sensex pack, rising over 1 per cent, followed by M&M, HCL Tech, Axis Bank, ICICI Bank and HUL.
On the other hand, Bharti Airtel, Maruti, SBI, PowerGrid, NTPC and Tata Steel were among the laggards, PTI reported.
Union Min asks auto component cos to take steps to implement localisation initiatives
Union Minister Mahendra Nath Pandey on Thursday asked the domestic auto component industry to take measures to implement localisation initiatives on the ground and enhance investments in R&D activities.
The heavy industries minister, speaking at the annual session of the ACMA (Automotive Component Manufacturers Association), also asked the companies to invest in upskilling the workforce, PTI reported.
Few companies opting for restructuring amid demand recovery: CRISIL
Very few corporates have opted or are looking for debt restructuring under RBI’s Resolution Framework 2.0, with the recovery in demand and growing confidence in economic growth, according to a CRISIL report.
The report added barely 1% of eligible companies in its rating portfolio have opted or are contemplating restructuring under the resolution. The finding is based on analysis of over 4,700 companies rated by the agency, PTI reported.
ED reveals in SC secret underground office of Unitech founders, says Chandras operating from jail
The Enforcement Directorate (ED) on Thursday said it has unearthed a “secret underground office” which was being operated by erstwhile Unitech founder Ramesh Chandra and visited by his sons Sanjay Chandra and Ajay Chandra when on parole or bail.
ED, which has been investigating money laundering charges against the Chandras’ and Unitech Ltd, said that both Sanjay and Ajay have rendered the entire judicial custody otiose as they have been freely communicating, instructing their officials and disposing of their properties from inside the jail, PTI reported.
India offers huge opportunities for vehicle manufacturers: Nissan COO
Nissan Motor Corp COO Ashwani Gupta said on Thursday that India offers huge opportunities for vehicle manufacturers and electrification, that could transform the country's automotive industry.
Gupta encouraged Indian firms to adopt digitalisation in a variety of areas, including businesses, processes and consumer experience to transform the industry by letting individual innovations become ‘disruptions’, PTI reported.
Central banks should not mandate ‘green’ investments: Raghuram Rajan
Former Reserve Bank of India Governor Raghuram Rajan said on Thursday the onus of promoting sustainable investments should live with governments and not central banks, which already have significant other policy commitments, Reuters reported.
Central banks should steer clear of politically driven and legislated areas such as ‘green’ investments, as their mandates of providing financial and monetary stability are already quite wide, Rajan said at the Reuters Global Markets Forum on Wednesday.
China rolls out support measures to struggling firms in retail, catering, foreign trade sectors
China on Thursday issued several support measures for struggling firms in the offline retail, accommodation and catering, and foreign trade sectors, to aid with the slowing economic recovery.
The government supported insurers to step up insurance on export orders likely to be cancelled before shipment shipment, China’s Commerce Ministry said in a statement on its website, Reuters reported.
RBI appoints Ajay Kumar as Executive Director
The Reserve Bank of India (RBI) has appointed Ajay Kumar as its Executive Director (ED) with effect from August 20, 2021.
Mr. Kumar will look after the Department of Currency Management, the Foreign Exchange Department and the Premises Department, the RBI said in a release.
Before being promoted as ED, he was heading the New Delhi Regional Office of the RBI as its Regional Director.
Global oil majors submit bids to buy BPCL
Global oil majors including billionaire Anil Agrawal’s Vedanta group, Apollo Global, and I Squared Capital, may be joining the race to acquire Bharat Petroleum Corporation Limited (BPCL), according to a document need to complete India’s biggest privatisation.
The companies had submitted initial bids to buy out the government’s entire 52.98% stake in India’s third-biggest oil refiner and second-largest fuel retailer, PTI reported.
Chip shortage big opportunity for domestic auto component companies: SIAM chief
Semiconductor shortage is a big challenge for the automobile industry, but could be big opportunity for domestic auto component manufacturing industry, SIAM President Kenichi Ayukawa said on Thursday, according to PTI.
Speaking at the Automotive Component Manufacturers Association of India (ACMA) annual session, Ayukawa, who is also the Managing Director and CEO of Maruti Suzuki India, said the demand for the technology-based equipment has increased manifold in various sectors alongside the automotive segment.
U.S. SEC probes Deutsche Bank arm over investment sustainability
U.S. markets regulator Securities and Exchange Commission (SEC) said on Wednesday it is investigating DWS, the asset management arm of Deutsche Bank, for how it used sustainable investing criteria to manage its assets, Reuters reported citing an unnamed source.
The news, first reported by the Wall Street Journal, sent DWS shares down 11.3%.
COVID-19 second wave increased bank’s asset quality risks: Moody’s
The second wave of COVID-19 infections has increased asset risks for Indian banks, according to Moody’s Investors Service.
However, the country’s economic recovery, a tightening of loan underwriting criteria and continued government support will prevent a sharp spike in problem loans, PTI reported citing the credit rating agency.
Twitter rival Koo touches 1 crore users
Twitter rival Koo’s userbase has touched 1 crore mark and is said to be eyeing a massive headroom for growth as it aims to reach 10 crore users over the next one year, co-founder Aprameya Radhakrishna said.
Radhakrishna believes that despite the significant surge in its user base, the platform "has not even scratched the surface" when it comes to the growth potential offered by the market, where less than 2% of internet users actually use microblogging platforms to express themselves, PTI reported.
Vijaya Diagnostic IPO to open on Sep 1
Healthcare chain Vijaya Diagnostic Centre on Thursday said it has fixed a price band of ₹522-531 a share for its ₹1,895-crore initial share-sale. The three-day initial public offer (IPO) will open for subscription on September 1 and conclude on September 3, PTI reported.
The IPO is entirely an offer for sale of 35,688,064 equity shares by the promoter Dr S Surendranath Reddy and investors -- Karakoram Ltd and Kedaara Capital Alternative Investment Fund-Kedaara Capital AIF I, the report noted.
U.K. accounting watchdog plans to bolster audit firm governance
Britain’s accounting watchdog plans to strengthen “significantly” its audit firm governance code, it said on Thursday, after a number of issues around audits of U.K. firms in recent years.
The Financial Reporting Council’s code applies to the Big Four accounting firms - Deloitte, EY, KPMG and PwC - and to other firms auditing FTSE 350 companies, a Reuters report noted. In future it will also apply to firms which audit other types of public interest entities, the FRC said.
SpiceJet expects to restart Boeing MAX service by next month
SpiceJet Ltd said on Thursday it has agreed to a settlement with Boeing Co’s MAX aircraft lessor Avolon, paving the way for the 737 MAX jets to return to service.
The airline said it expects to start operations of MAX aircraft around the end of September, subject to regulatory approvals. About 30 airlines and 175 countries have allowed the 737 MAX to return to service following a nearly two-year safety ban, a Reuters report noted.
India’s new LNG plant starts next year, to boost import capacity by 12%
India will boost liquefied natural gas (LNG) imports from next year as private firm Swan Energy starts its floating terminal, raising the country’s capacity to ship the super chilled fuel by 12% to 47.5 million tonnes per annum.
Yahoo shuts down news sites in India
Yahoo has shut down its news websites in India due the new foreign direct investment (FDI) rules that limit foreign ownership of media companies that operate and publish digital content in India.
This includes Yahoo News, Yahoo Cricket, Finance, Entertainment and MAKERS India. This, however, will not affect users’ Yahoo e-mail, and search experiences in India.
Copper falls on investor caution ahead of Fed symposium
Copper prices declined on Thursday, as investors reduced their risk exposure ahead of a key U.S. Federal Reserve meeting that could unveil policy tightening plans in the world’s largest economy, Reuters reported.
Three-month copper on the London Metal Exchange fell 0.6% to $9,304 a tonne, while the most-traded October copper contract on the Shanghai Futures Exchange eased 0.7% to 68,790 yuan ($10,611.97) a tonne, the report noted.
India’s GDP growth likely touched a record in April-June: Reuters poll
Indian economic growth likely touched a record high in the quarter through June, reflecting a very weak base last year and a rebound in consumer spending, according to a Reuters poll.
The poll of 41 economists showed gross domestic product rose 20.0% in the three-month period, compared with a record contraction of 24.4% in the same quarter a year earlier, the news agency reported.
Revenue Secretary says open to ‘tinkering’ tax rates on automobiles
Centre is open to discussing a change in tax rates on automobiles, the Revenue Secretary said on Wednesday, indicating receptiveness over negotiation on a long-standing request from automakers for lower taxes.
S.Korea lifts interest rates from record low as debt concerns grow
The Bank of Korea raised its policy rate for the first time in almost three years on Thursday, becoming the first major Asian central bank to shift away from pandemic-era monetary settings as surging household debt created new threats for the economy, Reuters reported.
The BOK’s monetary policy board raised the benchmark interest rate 25 basis points to 0.75%. The BOK maintained its economic outlook at 4% for this year but upgraded its consumer inflation forecast to 2.1% from 1.8% previously, signalling conditions are building for further policy tightening, the report noted.
ACMA calls for long-term stable, technology agnostic roadmap to allow localisation of technologies
Automotive Component Manufacturers Association of India (ACMA) on Thursday called for a long-term stable and technology agnostic roadmap to allow localisation of technologies, saying it is critical for the survival and competitiveness of the industry amid dropping vehicle sales, PTI reported.
ACMA President Deepak Jain highlighted that, factors such as high domestic taxation, increasing fuel costs, steep rise in commodity prices are adversely impacting affordability of vehicles, and in turn the viability of the component sector.
Barclays to invest more than $400 million to expand India operations
Barclays Plc will invest more than ₹30 billion ($403.99 million) in its India unit to expand its operations in the country, the British lender said on Thursday.
With the investment, Barclays Bank PLC India’s total invested capital in Asia’s third-largest economy will increase to more than ₹83 billion, a Reuters report noted. Barclays said the investment would help grow its corporate and investment banking, and private clients businesses in the country.
Rupee surges 13 paise to 74.11 against U.S. dollar in early trade
The Indian rupee appreciated 13 paise to 74.11 against the U.S. dollar in opening trade on Thursday, tracking a positive trend in domestic equities.
At the interbank foreign exchange, the rupee opened at 74.22 against the dollar, then surged higher to 74.11, up 13 paise over its previous close, a PTI report noted.
Binance can’t be supervised properly, says U.K. financial watchdog
The world’s biggest crypto exchange Binance is not capable of being supervised properly and poses a significant risk to consumers, Britain’s Financial Conduct Authority (FCA) said in a document published on Wednesday.
The FCA had said in June it had banned Binance from conducting any regulated activity and issued a warning to consumers about the platform. The FCA’s document expands on its reasons for banning Binance’s U.K.-based Binance Markets Limited arm, a Reuters report noted.
Oil prices fall as virus concerns return
Oil fell on Thursday for the first session this week as renewed concerns about demand recovery amid rising COVID-19 infections cut short a three-day rally, Reuters reported.
Brent crude futures dropped 0.5%, to $71.88 a barrel, while U.S. West Texas Intermediate crude futures fell 0.7%, to $67.86.
Airtel board to meet on Aug 29 to consider fundraising options
Telecom operator Bharti Airtel’s board will meet on August 29 to consider various capital raising options, including equity and debt, a PTI report noted.
The fundraising options entail equity or equity-linked or debt instruments, the company said in a regulatory filing but did not divulge into the quantum of capital raising under consideration.
Procter & Gamble Q4 net profit down 29% to ₹49 crore
FMCG firm Procter & Gamble Hygiene and Health Care Ltd on Wednesday reported a 29.2% decline in its net profit at ₹48.98 crore for the quarter ended June 2021, compared with ₹69.21 crore in the year-ago period, PTI reported.
However, revenue from operations rose 23.96% to ₹786.59 crore as against ₹634.53 crore in the April-June period last year. Revenue from operations for the full fiscal stood at ₹3,574.14 crore.
Centre raises family pension for bank staff
The Centre on Wednesday approved a proposal of the Indian Banks’ Association (IBA) to increase the family pension for bank employees to 30% of the last salary drawn, besides lifting the cap on pension.
The move will result in a payout of up to ₹30,000-35,000 per family.
Pandemic made consumers reimagine their buying behaviours: Accenture study
About 71% of over 2,000 Indian consumers who participated in a survey said post pandemic they have reimagined their buying behaviours and re-evaluated what was important for them in life, as per an Accenture report.
Inflation to remain within 4%-6% range, says Bajaj
Inflation would remain within the range of 4% to 6% in the coming year and the Union government was taking periodic steps to contain it, Revenue Secretary Tarun Bajaj said on Wednesday.
“The Reserve Bank of India (RBI) has come out with guidance on inflation and it has said that inflation, which is little bit up, will cool down in sometime. And we also feel that once the crops come out, inflation should come down,” Bajaj said in a press conference in Mumbai.
Indian benchmark indices open flat
Indian indices opened flat on Thursday. BSE Sensex opened at 55,988.41, up 44.2 points, while Nifty opened at 16,627.95, down 6.7 points.
On Wednesday, the 30-share BSE index ended 14.77 points or 0.03% lower at 55,944.21 after touching its all-time high of 56,198.13 in early trade, while the broader NSE Nifty ended 10.05 points or 0.06% higher at its new closing record of 16,634.65.
Asian shares retreat from rally after sharp rebound
Asian shares stepped back on Thursday after a sharp rebound this week, though a solid Wall Street performance overnight contained losses in the region as rising vaccinations offset some of the worries over persistently high COVID-19 cases worldwide, a Reuters report noted.
In early trading MSCI’s broadest index of Asia-Pacific shares outside Japan dropped 0.22%, with declines in Chinese blue chips off 0.81%, Hong Kong down 0.31% and Australia shedding 0.49%. Japan’s Nikkei gained 0.04%. Korea’s Kopsi fell 0.31%.
Wall Street hits records on economic optimism
Wall Street stocks rose on Wednesday, with investors more optimistic a day after the U.S. House of Representatives passed the $3.5 trillion budget framework, Reuters reported.
The benchmark S&P 500 and the Nasdaq closed at all-time record highs, while the Dow made gains. It was the S&P 500’s 51st record high close this year, the report noted.
The Dow Jones Industrial Average rose 39.24 points, or 0.11%, to 35,405.5, the S&P 500 gained 9.96 points, or 0.22%, to 4,496.19 and the Nasdaq Composite added 22.06 points, or 0.15%, to 15,041.86.
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