The Economic Times daily newspaper is available online now.

    Market Movers: Crude price falls 1% on Iran waiver talk; China's $109 bn booster & more

    Synopsis

    A lowdown on top macro triggers that may move market on Monday.

    markets5
    Here’s a lowdown on top macro triggers that may move market on Monday. This report was compiled from agency feeds.

    Oil Price Falls on Iran waiver, Saudi output talks
    Brent crude oil prices fell by more than 1 percent on Monday after Washington said it may grant waivers to sanctions against Iran’s oil exports next month, and as Saudi Arabia was said to be replacing any potential shortfall from Iran. International benchmark Brent crude oil futures LCOc1 were at $83.25 per barrel at 0115 GMT, down 91 cents, or 1.1 percent, from their last close. US WTI crude futures CLc1 were down 57 cents, or 0.8 percent, at $73.77 a barrel.

    China's $109-bn booster to fight Trump
    China's central bank said on Sunday that it was cutting the reserve requirement ratios (RRRs) by one per cent from October 15 which will inject a net $109.2 billion in cash into the banking system, amid a deepening trade war with the US that has increased pressure on growth in the world's second-largest economy. The reserve cut is the fourth by the People's Bank of China (PBOC) this year. Investors across Asua waited with bated breath as China’s markets prepared to reopen following a week-long holiday.

    Dollar up as yuan falls
    The dollar edged higher on Monday as China followed an easing in domestic policy by allowing its yuan to fall, though the drop was not as sharp as some had feared. Moves were limited by a lack of liquidity with Japan on holiday and the U.S. bond market on a break. A sudden and steep rise in Treasury yields had underpinned the dollar for much of last week.

    More steps to cut CAD, raise $ reserves soon
    Finance Minister Arun Jaitley Saturday said there are some more steps on the anvil to narrow the current account deficit (CAD) and bolster forex inflows. The minister said the government has already cut the borrowing target for the current fiscal by Rs 70,000 crore and allowed oil companies to raise $10 billion in one year. The Department of economic affairs secretary Subhash Chandra Garg has also said that the rupee is expected to revert to a more reasonable value soon and if needed the government is ready with a second round of measures to increase dollar reserves.

    Assembly election dates in 5 states announced
    Setting the stage for the high-stakes battle between the BJP and the Congress in at least in three states ahead of the Lok Sabha polls next year, the Election Commission on Saturday announced the schedule for Assembly elections in five states, including Telangana, between November 12 and December 7. Voting will be held in a single phase in Madhya Pradesh and Mizoram and Rajasthan and Telangana on November 28 and December 7 respectively while Chhattisgarh will have a two-phased elections on November 12 and 20.

    Unchanged repo rate could help realty revival
    The Reserve Bank of India's (RBI) decision to keep the repo rate unchanged will give a much needed boost to the real estate sector which is witnessing signs of revival in the past six months, industry experts said. The apex bank Friday kept the repo rate unchanged at 6.50 per cent, despite global and domestic macro-economic headwinds of rising interest rates in the US, rising crude prices, threat of crude oil fuelled inflation, weaker currency and FII outflows.

    World Bank sees accelerating growth in India
    Growth in India is firming up and projected to accelerate to 7.3 per cent in the 2018-19 fiscal and 7.5 per cent in the next two years, the World Bank said Sunday. The global lender said that the Indian economy appears to have recovered from the temporary disruptions caused by demonetisation and the introduction of the Goods and Services Tax (GST). However, domestic risks and a less benign external environment may impact the macro-economic outlook, it said.

    Pvt investments in infra plunge to 25% in FY18
    The share of private investments in the infrastructure sector has fallen to a decadal low of around 25 per cent in FY18 steeply down from a high of 37 per cent in FY08, says a report. Private investments, which averaged 37 per cent between fiscals 2008 and 2013, fell by 600 basis points (bps) between 2013 and 2017 to 31 per cent, fell a further 600 bps to 25 per cent in FY18, as a plethora of stalled projects and stressed assets dampened investor interest and risk appetite.


    POLICIES & MORE
    • Initial public offerings, bonus, rights issues and ESoPs will be eligible for concessional rate of 10 per cent long-term capital gains (LTCG) tax even if the Securities Transaction Tax has not been paid earlier.
    • The UIDAI has said that the Supreme Court order restricting use of Aadhaar will have no bearing on enrolment and update services being carried out at banks, post offices and government premises. The move comes as service providers may still use offline verification tools that leverage the unique ID without authentication.
    • Weak demand and stagnant new work made India’s services sector expand at a slower pace in September compared with August, a private survey showed on Thursday. The Nikkei/IHS Markit Services Purchasing Managers’ Index declined to 50.9 in September from 51.5 in August.
    • As many as 348 infrastructure projects, each worth Rs 150 crore or above, have shown cost overruns to the tune of over Rs 3 lakh crore owing to delays and other reasons, a report said.


    Top Video
    Royal Enfield Interceptor 650 first ride review

    Autocar show: Royal Enfield Interceptor 650 First Ride Review

    The Royal Enfield Interceptor 650 and the Continental GT 650 aim to offer twin cylinder performance at an unbelievable price point. Just how impressive are these two machines? Rishaad Mody gives you the first impression.


    Top Quote
    'OMC Stocks Still Look Weak, May Tumble 10-15% from Here'


    Fundamentals

    Rupee Down: The Reserve of India’s decision to keep interest rates steady on Friday hit forex market hard, as the rupee fell below the 74 mark against the dollar. However, the currency recovered some of the lost ground to settle at 73.77, down 18 paise.






    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more


    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more
    The Economic Times

    Stories you might be interested in