INDIA
1)India’s foreign exchange (forex) kitty decreased by $462 million to $590.321 billion for the week ended November 10, data released by the Reserve Bank of India (RBI) showed on Friday, November 17.
2)The Consumer Price Index-based inflation (CPI) stood at 4.87% in October, as compared with 5.02% in September, according to data from the Ministry of Statistics and Programme Implementation. Core Inflation came at 4.25%
3)Food and beverage inflation was steady at 6.24% in October, as compared with 6.3% in September. Core inflation eased to 4.62% from 4.97% a month ago.
4)The wholesale price index (WPI)-based inflation rate has been in the negative zone since April and was at (-) 0.26 per cent in September, 2023. WPI Core inflation stood at -1.0%, as compared to -1.2% previously.
5)For October 2023, the merchandise trade deficit (physical goods) widened sharply to $31.46 billion, compared to just $19.37 billion in September 2023. That is a spike in the merchandise trade deficit by 62.42% in just one month. On a sequential basis, the exports were lower by -2.61% at $33.57 billion.
6)Overall combined trade deficit for October 2023 was still higher YoY by 17.63% YoY from $-14.52 billion in October 2022 to $-17.08 billion in October 2023.
7)India’s outward foreign direct investment (FDI) commitments fell by 12.14 per cent to $1.88 billion in October this year compared to over $2.14 billion in September, according to Reserve Bank of India (RBI) data. These were worth around $2.66 billion in the same month last year.
8)Issues of commercial paper fell to nearly a one-year low in October due to rising rates caused by tight liquidity conditions, according to market participants. Commercial paper worth Rs 74,804 crore was issued in October, the lowest since October last year.
9)The government plans to tap the offer-for-sale (OFS) route for disinvestments in listed public sector enterprises during the rest of the fiscal year instead of initiating fresh strategic sales, a government official said.
10)Goldman Sachs raises Indian shares to “overweight” on growth, earnings momentum. Goldman Sachs upgraded Indian shares to “overweight” from “marketweight”, citing strong economic growth prospects, steady domestic mutual fund inflows and a potential supply chain shift from China.
11)The Union government on November 16 slashed windfall tax on crude petroleum to Rs 6,300 per tonne from Rs 9,800. The special additional excise duty (SAED) on diesel was also halved to rupee 1 from Rs 2 per litre, according to the notification.
12)S&P Global expresses confidence in India’s economic trajectory, projecting a robust GDP growth between 6% and 7.1% annually from 2024 to 2026.
13)Deal activity in October declined by 41 per cent to USD 2.156 billion against USD 3.651 billion in September this year, a consultancy firm’s report said on Thursday.
14)RBI’s economic activity index nowcasts GDP growth for Q3 FY24 at 6.3% and the central bank expects the momentum of the change in GDP sequentially to be higher in Q3, with festive demand remaining ebullient.
15)RBI’s data in its monthly bulletin for September showed, outward remittances under the scheme increased by 25.09% to $9.23 bn in the second quarter (02) of 2023-24 (FY24) from $7.32 bn in Q2 of 2022-23 (FY23)
16)RBI issued regulatory measures towards consumer credit and bank credit to Non-Banking Financial Companies (NBFCs) increasing risk weights by an additional 25 percentage points to 125%. Risk weights for credit card receivables will be raised to 125% from 100%
17)Commercial banks will see an increase in risk weights for consumer credit exposure by 25% to 125%, excluding specific categories like housing loans, education loans, vehicle loans, and loans secured by gold and gold jewelry. Risk weights for credit card receivables will be raised to 150% for SCBs from 125%
18)The RBI has introduced new rules for credit information companies (CICs) to enhance transparency and improve grievance redressal for consumers. Key provisions include mandatory disclosure of credit scores, enhanced grievance redressal mechanisms, regular data updates, transparency in data sharing, fair data correction procedures, and unbiased credit scoring models. These rules will empower consumers with better access to their credit information and a more effective mechanism to address discrepancies or errors.
19)Inflows from foreign portfolio investors (FPI) in debt so far in November have risen to a 27-month high, which experts attribute to the impending inclusion of Indian government bonds in a global bond index. According to NSDL data, investment by FPIs in debt as of November 13 was at Rs 9,208 crore, compared to Rs 6,382 crore in the previous month.
WORLD
1)U.S. President Joe Biden signed on Thursday a stopgap spending bill to avert a government shutdown, a day after the Senate passed it, the White House said.
2)US annual inflation rate slowed to 3.2% in October from 3.7% in September, while core consumer price inflation edged down to 4% from 4.1%.
3)US PPI declined by 12% on year in October compared to 2.2% in September, while the core PPI rose by 2.4% on year in October compared to 2.7% in September
4)US Industrial Production declined by 0.7% on year in October, following a revised 0.2% contraction in September. US Manufacturing Production dropped by 1.7% on year in October, following a revised 0.9% contraction in September
5)US initial jobless claims rose by 13,000 to 231,000 on the week ending November 11 compared to 218,000 in the previous week.
6)US export prices fell 4.9% on year in October, following an upwardly revised 4.3% drop in the previous month while import prices decreased to -2% in October from -1.50% in September of 2023.
7)The Labor Department reported that its producer price index — which measures inflation before it hits consumers — dropped 0.5% in October from September, the first decline since May and biggest since April 2020. On a year-over-year basis, producer prices rose 1.3% from October 2022, down from 2.2% in September and the smallest gain since July.
8)The average rate for a 30-year fixed mortgage has fallen for the third consecutive week, reaching 7.44%, the lowest level in eight weeks. This decline to levels not seen since the 7.31% rate comes as a potential boon for homebuyers facing high prices amidst a tight housing supply
9)UK annual inflation eased to 4.6% in October, down from 6.7% in September while core inflation slowed to 5.7%, down from 6.1%
10)UK producer price index fell to 0.6% on year in October, shifting from an upwardly revised 0.2% increase in September.
11)Eurozone economy grew 0.1% annually in the third quarter of 2023, slower from 0.5% growth in the second quarter.
12)Japan’s GDP Growth Rate shrank 0.5% on quarter for Q3 compared to 1.1% in Q2. Japan balance of trade turned to deficit of 662.55 bn yen in October, compared to surplus of 72.1bn in September.
13)Japan economy contracted 2.1% on an annualized basis during the third quarter of 2023, after a downwardly revised 4.5% growth in Q2.
14)Japan’s balance of trade turned to deficit of 662.55 bn yen in October, compared to surplus of 72.1bn in September.
15)The People’s Bank of China (PBOC) launched a total of 1.45 trillion yuan via a one-year medium-term lending facility (MLP) to the banking system and left the interest rate unchanged at 2.50%.