Top Business News of the Day: Oil prices fall, FM's statement on printing currency notes, and more

Bombay Stock Exchange (BSE), in Mumbai. File   | Photo Credit: PTI

 

5:14 P.M.

Sensex slips 123 points; Nifty ends below 15,850

Equity benchmark Sensex declined over 120 points on July 26, with SBI being the top loser shedding over 1%, followed by Reliance Industries, Tech Mahindra, M&M, and L&T.

The 30-share BSE index ended 123.53 points or 0.23% lower at 52,852.27, while the broader NSE Nifty slipped 31.60 points or 0.20% to 15,824.45.

5:11 P.M.

Second wave of COVID-19 to cause lasting damage on Indian economy: Moody's

The second wave of COVID-19 may have a more lasting damage on the Indian economy and exports will once again be the foundation for recovery, Moody's Analytics said in its report titled 'APAC Economic Outlook: The Delta Roadblock'.

Moody's added that social distancing is weighing on the current quarter, but economic recovery will resume by the year-end.

5:08 P.M.

Growth rate may be reassessed but long-term prospects remain robust: Kumar Mangalam Birla

India’s economic growth rate may be reassessed in the current fiscal following the deadly second wave of COVID-19 infections, but long-term prospects for the country continue to remain robust, Aditya Birla Group Chairman Kumar Mangalam Birla said.

The silver lining, however, was the lesser severity of disruptions to production and supply chains during the second wave of the pandemic than during the first wave, said Birla in the latest annual report of group firm UltraTech Cement Ltd, according to a PTI report.

Moreover, a pick-up in vaccination would support faster normalisation of mobility levels and of related economic activities, the veteran industrialist added.

4:33 P.M.

Govt's net tax collection rises 86% in Q1

The government's total tax collection in the April-June quarter grew about 86% to more than ₹5.57 lakh crore, Parliament was informed on Monday.

Out of the total amount, collection of net direct tax stood at ₹2.46 lakh crore and of indirect tax was at ₹3.11 lakh crore, PTI reported.

3:55 P.M.

Over 16,000 companies delisted from official records between April 2020-June 2021

Official government data released on Monday showed that a total of 16,527 companies were struck off from official records between April 2020 and June 2021, persuant to the provisions of Section 248 of the Companies Act, 2013.

Under Section 248, a company can be taken off the official records subject to certain conditions moderated by the Registrar of Companies.

To a question on whether the government is planning to amend the Insolvency and Bankruptcy Code (IBC) to prevent promoters from delaying the resolution process and to ensure its time-bound completion, Minister of State for Corporate Affairs Rao Inderjit Singh replied in the negative.

3:30 P.M.

Bank bad loans declined to ₹8.34 lakh crore in March: Minister

Bank non-performing assets (NPA) or bad loans declined by ₹61,180 crore to ₹8.34 lakh crore at the end of March 31, 2021, according to Minister of State for Finance Bhagwat K. Karad.

The decline was a result of the various steps taken by the government, according to the minister.

Scheduled commercial banks (SCB) were carrying bad loans worth ₹8.96 lakh crore on their balance sheet at the end of March 2020, PTI reported.

3:10 P.M.

China stocks slump on intense regulatory crackdown

Chinese shares slumped on Monday as the government imposed heavy regulatory restrictions on private for-profit tutoring firms.

The intense sell-off caused sub-indexes tracking education and related sectors to decline sharply. The CSI Education Index was down 9% and the Hang Seng Tech Index plunged 4.22%, Reuters reported.

The crackdown on China’s $120 billion private tutoring industry follows Beijing’s announcement on Friday of new rules barring for-profit tutoring in core school subjects to ease financial pressure on families.

3:01 P.M.

Editorial: RBI's official digital currency

India has been reassuringly clear and consistent about its stance on introducing an official digital currency. “The RBI is currently working towards a phased implementation strategy and examining use cases which could be implemented with little or no disruption,” T. Rabi Sankar, Deputy Governor, RBI, said in a speech few days ago.

While the clarity is welcome, the details and the timeline of such an implementation is crucial, according to The Hindu’s Editorial.

2:38 P.M.

Byju's buys Singapore-based Great Learning in $600 million deal

Edtech giant Byju’s said on Monday it has bought Singapore-based education platform Great Learning in a deal valued at $600 million, comprising cash, stock and earnout.

The company has also earmarked an additional $400 million of investment in the professional and higher education segment, it said in a statement.

Byju’s is currently the most valued private internet startup in India, and has spent over $2 billion in acquisitions in a period of six months.

2:19 P.M.

Russia to raise oil exports from western ports in August

Russia is set to increase oil exports from its western outlets in August, according to a preliminary schedule seen by Reuters on Monday.

The oil exports will increase to 6.465 million tonnes in August from 6.02 million tonnes in the revised July plan. Additionally, combined oil loadings on a daily basis from Primorsk, Ust-Luga and Novorossiisk ports will rise 7% in August from July, according to Reuters.

 

2:14 P.M.

FM says no plan to print currency notes to overcome economic crisis

Finance Minister Nirmala Sitharaman said on Monday the government has no plans to print currency notes to overcome the current economic crisis triggered by the COVID-19 outbreak.

This comes as several experts and economists have suggested the government to opt for printing more currency notes to support the economy deeply affected by the pandemic, PTI reported.

The country’s real Gross Domestic Product (GDP) is estimated to have contracted by 7.3% during 2020-21, according to a written reply by the FM to Lok Sabha.

2:00 P.M.

South Korea to tighten tax evasion rules on crypto investors

South Korea said it will toughen tax evasion rules applicable to cryptocurrency investors, as it looks at fresh revenue to cover rising welfare costs, according to the country’s financial ministry.

The government proposed revising tax codes so that tax authorities will be able to seize crypto assets held by tax dodgers even if their assets are stored in digital formats, Reuters reported.

The revision is one pillar of the government’s once-a-year review of its tax system, which seeks to revise a total of 16 tax codes.

 

1:15 P.M.

Oil prices fall as coronavirus, China floods threaten demand

Oil prices fell on Monday as rising COVID-19 cases in several parts of the world and the disastrous floods in China raised concerns of fuel demand.

Brent crude futures for September fell 0.6% to $73.66 a barrel while U.S. Texas Intermediate crude fell to $71.62 a barrel, Reuters reported.

12:35 P.M.

ICICI Bank shares hit 52-week high

Shares of ICICI Bank on Monday gained over 1% and touched 52-week high on the bourses after the company's June quarter net profit zoomed 52%. The stock rose by 1.29% to Rs 685.40, its 52-week high, on the BSE. At the NSE, it gained 1.30% to Rs 685.45, its 52-week high.

ICICI Bank's June quarter net profit zoomed 52% to Rs 4,747.42 crore, driven majorly by lower provisions but reported an increase in stress from the retail loans segment.

-- PTI

12:15 P.M.

Copper hits near 6-week peak on China floods

Copper hit its highest in nearly six weeks on Monday, as investors sold equities for more attractive assets, with prices further supported by supply worries and hopes of more metals’ demand for rebuilding infrastructure after floods in China.

Three-month copper on the London Metal Exchange increased 0.9% to $9,600.50 a tonne by 0530 GMT, after rising as much as 1.6% to $9,665 a tonne, its highest since June 16.

Floods in central China, especially in the industrial and transport hub city of Zhengzhou in Henan province, have raised supply concerns and demand for rebuilding damaged infrastructure, which will consume industrial metals.

-- Reuters

11:25 A.M.

Cryptocurrencies surge

Cryptocurrencies surged on Monday as short sellers bailed out in the wake of a strong week. Bitcoin rose as far as 12.5% to hit $39,850, its highest since mid-June during the Asia session, while ether hit a three-week peak of $2,344.

Last week, cryptocurrency enthusiast and Tesla boss Elon Musk said the carmarker would likely resume accepting bitcoin once it conducts due diligence on its energy use. It had suspended such payments in May.

Twitter boss Jack Dorsey also said last week that the digital currency is a “big part” of the social media firm's future and, on Sunday, London's City A.M. newspaper reported - citing an un-named “insider” - that Amazon is looking to accept bitcoin payments by year's end.

-- Reuters

10:55 A.M.

Musk expects 'at least temporary relief' for EVs in India

Electric vehicle (EV) maker Tesla may set up manufacturing unit in India if it first succeeds with imported vehicles in the country, according to company CEO Elon Musk.

He, however, said at present import duties in India are “the highest in the world” and is hoping for “at least a temporary tariff relief for electric vehicles”. Interacting on twitter with followers who asked him to launch Tesla cars in India, Musk said, “We want to do so, but import duties are the highest in the world by far of any large country!”

Currently, India imposes 100% import duty on fully imported cars with CIF (Cost, Insurance and Freight) value more than $40,000 and 60% on those costing less than the amount.

10:20 A.M.

Rupee opens slightly lower

Rupee opened at 74.46 per dollar on Monday, slightly lower than its Friday closing of 74.40.

9:50 A.M.

Earnings expected this week

After last week’s earnings announcements from firms such as ICICI Bank, ITC, and Reliance Industries Limited, earnings for the June ending quarter from many companies, including Axis Bank, DLF, Kotak Mahindra Bank, Larsen & Toubro, Maruti Suzuki India, SBI Life Insurance, Sun Pharma, Tata Motors are expected this week.

9:30 A.M.

Benchmark Indian indices open flat

Indian indices opened flat on Monday amid volitility. BSE Sensex opened at 52,985.26, up 0.02%, while Nifty opened at 15,849.30, down 0.04%.

9:12 A.M.

Asian shares struggle

Asian shares struggled to rally on Monday as strong U.S. earnings sucked out funds out of emerging markets and channelled them into Wall Street. Asian stock index Hang Seng opened in red at 26,825.73 points, while Nikkei opened in green at 27,990.47 points.

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Printable version | Sep 20, 2021 5:54:53 AM | https://www.thehindu.com/business/business-live/article35532271.ece

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