need2know: 11 macro triggers that should matter for market today

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


Fixed-term Employment Extended to All Sectors
The government has extended the facility of hiring workers on fixed-term employment to all sectors to improve the ease of doing business. It has also agreed to the trade unions demand that no permanent employee be moved to fixed term employment. Fixed-term employment was defined as a workman who is employed on a contractual basis for a fixed period. Thus the services of the workman will be automatically terminated as a result of non-renewal of the contract between the employer and the workman concerned. The fixed-term worker would be entitled to all benefits such as wages, hours of work, allowances and others statutory benefits like permanent workmen.

China Won't Cede a Single Inch, Ready for Bloody Fight: Xi
China will not cede a "single inch" of its territory to others and is ready to wage a "bloody battle" to assume its due place in the world, a belligerent President Xi Jinping, now enjoying a life-long tenure, has asserted. Xi said "since modern times, rejuvenation of the great Chinese nation has become the biggest dream of our nation". Besides the border dispute with India, China claims rights over the disputed islands in East China Sea under the control of Japan and vast stretches of the South China Sea where it is firmly asserting its control.

Binani Cement RP Moves NCLT Over Rs 2,400-cr ‘Fraudulent’ Transactions
In a fresh twist to the ongoing takeover battle over Binani Cement, resolution professional (RP) Vijaykumar V Iyer has moved the National Company Law Tribunal (NCLT), Kolkata, alleging fraudulent transactions of about ?2,400 crore involving the “corporate debtor” (Binani Cement) that are “undervalued, extortionate, preferential.” In his March 13 application, the RP asked the court to take action and “appoint an appropriate investigation agency to investigate the directors of Binani Cement and the counter parties.”

Export Duty on Sugar Scrapped to Trim Surplus, Lift Prices
The government on Tuesday scrapped the 20% export duty on sugar in a bid to boost overseas sales of the commodity and lift its domestic price. The country is facing surplus production of the sweetener. A finance ministry notification said the estimated revenue implication of the move is Rs 75 crore for a year at current export volumes. In order to reduce the closing stock of 2017-18, the industry aims to export 1.5-2 million tonnes of sugar till October 2018, when the new sugar year begins.

US BPO Bill Impact to be Limited on India
India’s backoffice industry says there could be a marginal increase in costs if a proposed bill by a US Senator against outsourcing call centre jobs is passed but not impact its business as the proportion of call centre work done by the country’s firms has reduced significantly. Over the last decade, most of the voice work has shifted to the Philippines with Indian companies focusing on the so-called integrated service offerings — a mix of chat, email response and voice. This bill, when it is passed, will impact pure call centres,” KS Vishwanathan, who leads the business process management (BPM) initiatives at Nasscom, said.

India's External Vulnerability Indicators Stretched: UBS
India remains vulnerable in its external position, but this does not pose any concern about the country's macro stability and is quite manageable, says a report by UBS. According to the global financial services major, although improving, India's external vulnerability indicators remain "stretched". As per the report, India's external debt increased $86 billion between FY2012-13 and September 2017 quarter, while forex reserves rose $108 billion during the same period, indicating that external buffers are being created.

India, US to Bilaterally Discuss Steel Import Curbs
India will bilaterally discuss import curbs on steel with the United States, Trade Minister Suresh Prabhu said on Tuesday, amidst growing concerns of an escalating trade war over tariffs. Prabhu told reporters that the US was committed to the World Trade Organisation, even as Washington has raised concerns about the functioning of the WTO and asked for reforms.

LIC Saves the Day for HAL IPO
Life Insurance Corporation of India (LIC) has saved the day for the Rs 42-billion initial public offering (IPO) by Hindustan Aeronautics (HAL). LIC’s Rs 3000-crore bid helped HAL reach the minimum 10% dilution threshold required for listing, reports Business Standard. The country’s largest defence public sector undertaking’s share sale was subscribed 98%, the bare minimum required for the issue to go through.


Top Video
Goldman Sachs Cuts India's FY19 Growth Outlook to 7.6%

PNB fraud fallout: Goldman Sachs cuts India's FY19 growth outlook to 7.6 pct

Investment bank Goldman Sachs downgraded its forecasts for India's economy on Tuesday in the wake of a more than $2 billion fraud at Punjab National Bank (PNB), warning it could spark tighter regulation of the banking sector that would constrain credit growth. In a note to clients, Goldman Sachs lowered its real gross domestic product (GDP) forecast on India for the year to March 2019 to 7.6 per cent from 8 per cent earlier. (Text: Reuters)

Top Quote
"FPIs May Be the New Investors in G-Secs"

FUNDAMENTALS
Rupee Down: The Indian rupee ended at 65.20 a dollar on Tuesday, down 0.02% from its Monday’s close of 65.18.

Bonds Down: Government bonds (G-Secs) eased further on sustained selling pressure from banks and corporates. The 7.17% 10-year benchmark bond maturing in 2028 fell to Rs 96.95 from Rs 97.00 previously, while its yield edged up to 7.62% from 7.61%. The 6.79% G-Secs maturing in 2027 declined to Rs 93.44 from Rs 93.51, while its yield moved up to 7.80% from 7.79%. The 6.68% G-Secs maturing in 2031 dropped to Rs 90.10 from Rs 90.14, while its yield edged up to 7.89% from 7.88%. The 7.80% G-Secs maturing in 2020 dipped to Rs 101.73 from Rs 101.7650, while its yield rose to 6.90% from 6.88%. The 8.27% G-Secs maturing in 2020 moved down to Rs 102.74 from Rs 102.77, while yield gained to 6.91% from 6.89%

Call Rates Up: The overnight call money rates ended higher to 6.00% from yesterday's closing level of 5.80%. It resumed higher at 6.05% and moved in a range of 6.10% and 5.75%.

Liquidity: The Reserve Bank of India, under the Liquidity Adjustment Facility, purchased securities worth Rs 3460 crore in 6-bids at the overnight repo auction at a fixed rate of 6.00% as on Tuesday, while it sold securities worth Rs 20,812 crore in 49-bids at the 1-day reverse repo auction at a fixed rate of 5.75% as on yesterday.