Morning News Call – India, June 3

Black Lives Matter
 June 3 (Reuters) - To access a PDF version of this newsletter, please click
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here FACTORS TO WATCH 10:30 am: S&P Global Ratings' Asia-Pacific Chief Economist Shaun Roache at
Asia Society webinar in Mumbai. PROMOTION LIVECHAT - REUTERS GLOBAL MARKETS FORUM Reuters stocks correspondents in London and New York looks at the major
factors moving bourses on both sides of the Atlantic. To join the conversation
at 7.30 pm IST, click on the link: refini.tv/2P8N0Wp INDIA TOP NEWS • IndiGo to cut costs, phase out older planes to tackle coronavirus IndiGo, India's biggest airline, plans to cut up to 40 billion rupees in
costs and speed up the return of older planes to leasing companies as it
grapples with the fallout from the coronavirus pandemic. • Indian carmakers offer teaser loans as RBI softens stance, sources say Maruti Suzuki, Hyundai and Mercedes Benz are offering Indian car buyers "teaser loans", a move that sources said followed a softening of the central
bank's stance due to a coronavirus-induced economic slump. • India launches $6.7 billion plan to boost electronics manufacturing India launched a $6.65 billion plan on Tuesday to boost electronics
manufacturing, saying it would start by offering five global smartphone makers
incentives to establish or expand domestic production. • Indian app highlights backlash against Chinese business India's top trending free app on Google's mobile app store, with more than 5
million downloads since late May, is called "Remove China Apps" and does exactly
what it says on the label. • India approves emergency use of remdesivir to treat COVID-19 patients India's government said on Tuesday it has approved Gilead Sciences Inc's
antiviral drug remdesivir for emergency use for five doses in treating COVID-19
patients. • Coronavirus brings Asia's booming online lending sector to juddering halt The spring started out rosy for the Indian arm of ClearScore, a company that
offers online credit scores and loans. Within weeks, the coronavirus pandemic
had taken hold, drastically changing the picture for the online lending industry
in Asia. • India's Modi gets Trump invite to attend G7 summit - ministry India's Prime Minister Narendra Modi has received an invitation from U.S.
President Donald Trump to attend the next Group of Seven summit, India's Foreign
Affairs Ministry said on Tuesday. GLOBAL TOP NEWS • Protesters defy curfews in major U.S. cities to march against police
brutality Tens of thousands of people took to the streets of major U.S. cities on
Tuesday for an eighth consecutive night of protests over the death of a black
man in police custody, defying pleas by mayors, strict curfews and other
measures meant to curtail them. • U.S. launches trade probe into digital taxes, plowing ground for new
tariffs The United States is investigating digital services taxes being adopted or
considered by Britain, Italy, Brazil and other countries, the U.S. Trade
Representative's office said on Tuesday, a move that could lead to new punitive
tariffs and heighten trade tensions. • China is using Huawei to drive a wedge in the UK-US special relationship -
senator China is using telecoms giant Huawei to try to drive a wedge between Britain
and the United States, Republican senator Tom Cotton told British lawmakers on
Tuesday. LOCAL MARKETS OUTLOOK (As reported by NewsRise) • SGX Nifty nearest-month futures were trading 0.8% higher at 10,067.30. • The Indian rupee is expected to trade higher against the U.S. currency
after upbeat risk appetite dragged the dollar index to its lowest level in about
three months. • Indian government bond yields will likely trade largely unchanged in early
session amid hopes that the central bank may announce a heavy open market
operation to absorb additional supply in the debt market. The yield on the
benchmark 6.45% bond maturing in 2029 is likely to trade in a range of
5.96%-6.02% today. GLOBAL MARKETS • A late-session rally pushed Wall Street to solid gains on Tuesday as
market participants looked past widespread social unrest and pandemic worries to
focus instead on easing lockdown restrictions and signs of economic recovery. • Australian shares rose, boosted by energy and financial stocks, as
prospects of a swift global economic recovery from the coronavirus-induced
collapse in world growth widened investor appetite for riskier assets. • The dollar fell against most Asian currencies as prospects of more
government stimulus and a global economic recovery emboldened investors to step
up holdings of riskier assets. • Longer-term U.S. Treasury yields were higher on Tuesday as investors
looked for more bonds to be issued in response to the ongoing economic
crisis. • Oil rose to a near three-month high amid optimism that major producers
will extend production cuts as the world recovers from the coronavirus
pandemic. • Gold prices dipped as equity markets rallied on economic optimism and
hopes for further stimulus measures boosted risk-on sentiment. CLOSE FII INVESTMENTS EQUITIES DEBT PNDF spot 75.33/75.36 June 2 6,933.09 173.12 10-yr bond yield 6.0% Month-to-date 8,138 319 Year-to-date (32,207) (105,095) (FII investment numbers are in Indian rupees. Source: National Securities
Depository Limited) 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 = 75.29 Indian rupees) (Compiled by Pooja Kesavan) 

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