ET Markets
Stock Analysis, IPO, Mutual Funds, Bonds & More

Market Movers: Trade deficit widens; $2-bn PSU selloff on cards; oil prices stabilise & more

Here’s a lowdown on top macro triggers that may move market on Friday.

Last Updated: Nov 16, 2018, 08.52 AM IST|Original: Nov 16, 2018, 08.03 AM IST
ThinkStock Photos
Good morning! Here’s a lowdown on top macro triggers that may move market on Friday. This report was compiled from agency feeds.

Trade deficit widens in Oct
India's exports rose by 17.86 per cent to $26.98 billion in October mainly due to the low base effect even as trade deficit widened to $17.13 billion, according to the commerce ministry data. The exports on monthly basis were down compared to $27.95 billion in September. Imports during October also rose by 17.62 per cent to $44.11 billion, leading to widening of trade deficit to $17.13 billion.

lot at stake
$2bn share sale of ONGC, IOC & OIL in pipeline

The government is considering a plan to sell shares worth $2 billion in Oil and Natural Gas Corp (ONGC), Indian Oil Corp (IOC) and Oil India (OIL) to help meet this year’s divestment target. This would be on top of the proceeds generated from a likely Rs 10,000-crore share buyback by these firms. The finance ministry is planning the mix of share sales and buybacks by state oil companies with about a fourth of the Rs 80,000-crore asset-disposal target.

Fitch keeps India rating unchanged
Refusing to upgrade India's credit rating for the 12th year in a row, Fitch Thursday retained its sovereign rating for the country at 'BBB-', the lowest investment grade with a stable outlook, saying a weak fiscal position continues to constrain the ratings and there were significant risks to macroeconomic outlook. Fitch had last upgraded India's sovereign rating from BB+ to BBB- with a stable outlook on August 1, 2006.

Trade war tensions ease, markets up
Wall Street’s major indexes reversed an early drop after The Financial Times reported that US Trade Representative Robert Lighthizer told a group of industry executives the next tranche of tariffs on Chinese imports was on hold. Wall Street momentarily pared gains after a spokesperson for Lighthizer denied the report, saying plans for the tariffs had not changed. But stocks resumed their upswing and rose further in the last half-hour of trading.

Oil prices stable on expected OPEC cuts
Oil prices were stable on Friday, supported by expected supply cuts from OPEC but held back by record US production. US WTI crude oil futures were at $56.5/ per barrel at 0132 GMT, up 12 cents from their last settlement. Brent crude oil futures were up 7 cents at $66.69 a barrel. Morgan Stanley warned a cut by the Middle East dominated producer cartel may not have the desired effect.

Car sales in negative territory in Q2
The Indian passenger vehicle market fell into negative category in the quarter ended September with sales falling 3.6 per cent year-on-year to 870,804 when Maruti Suzuki sales dropped 1 per cent to 449,834. This came after the industry grew by a whopping 22 per cent to 873,501 units in April-June quarter, led by a 3 per cent out-performance by the most dominant player.
carsale growth

FMCG grows 16.5 per cent in value terms in Q3
The FMCG sector grew 16.5 per cent in terms of value in the third quarter of 2018 because of increase in private consumption, expansion in rural income and moderate inflation levels of about 4 per cent, according to Nielsen’s quarterly report. For the last quarter of 2018, the research firm expects the growth in the FMCG sector to drop to as much as 12-13 per cent due to macro-economic factors such as below average rainfall, ban on plastics in some states, and floods in Kerala.

  • Prime Minister Narendra Modi’s government has sought Tata Sons Ltd.’s help to rescue struggling Jet Airways India Ltd, reports Bloomberg.
  • The Indian consumer spent more cash this Diwali even after many migrated to digital transactions. Cash in circulation has almost doubled during the Diwali week ending November 09 to Rs 49,420 crore from Rs 28,170 crore in the Diwali week last year, according to the latest data released by the Reserve Bank.
  • All (NBFCs) of them have been able to meet their commitment as far as roll overs are concerned,” said SBI Chairman Rajnish Kumar at an event.
  • The Finance Ministry is planning to come out with a share sale offer of two recently listed insurance companies -- GIC and New India Assurance.

Elections are not going to be trend deciders: Atul Suri, Marathon Trends PMS


'Despite IL&FS shock, I am double overweight on India'


Rupee up: The rupee vaulted 34 paise to close at a two-month high of 71.97 against the US dollar on Thursday on robust foreign fund inflows amid low crude oil prices.

10-yr bond yields down: India 10-year bonds' yields rose 0.01 per cent to 7.75 per cent on Thursday, November 14, from 7.74 per cent in the previous trading session, reports Bloomberg.

Call rates: The overnight call money rate weighted average was 6.34 per cent on Thursday, according to RBI data. It moved in a range of 5.10-6.55 per cent.

Also Read

Market Movers: Wockhardt, Prestige soar; 124 stocks giving ‘sell’ signals

Market Movers: What changed for D-Street while you were sleeping

Market Movers: What changed for D-Street while you were sleeping

Market Movers: What changed for D-Street while you were sleeping

Market Movers: What changed for D-Street while you were sleeping

Add Your Comments
Commenting feature is disabled in your country/region.

Other useful Links

Copyright © 2020 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service