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Morning News Call - India, November 13

To access a PDF version of this newsletter, please click here http://share.thomsonreuters.com/assets/newsletters/Indiamorning/MNC_IN_11132019.pdf If you would like to receive this newsletter via email, please register at: http://solutions.refinitiv.com/MNCIndiaSubscriptionpage FACTORS TO WATCH • 11:00 am: NITI Aayog CEO Amitabh Kant at an event in New Delhi • 3:15 pm: RBI Deputy Governor M.K. Jain at World Congress on Rural and Agricultural Finance in New Delhi. • 5:30 pm: Government to release October consumer price inflation data in New Delhi. GMF: LIVECHAT - EQUITIES WATCH Join our Reuters equities correspondents in London and New York for a discussion on the stock markets and company earnings at 7:30 pm IST. To join the conversation, click on the link: https://refini.tv/2P8N0Wp INDIA TOP NEWS • Situation critical: Vodafone's future in India in doubt after court ruling Vodafone said its future in India could be in doubt unless the government stopped hitting operators with higher taxes and charges, after a court judgment over licence fees resulted in a 1.9 billion euro group loss in its first half. • India's September industrial output falls at the fastest pace in six years India's industrial output fell at the fastest pace in over six years in September, adding to a series of weak indicators that suggests the country's economic slowdown is deep-rooted and interest rate cuts alone may not be enough to revive growth. • India to invite foreign firms to invest in state-owned oil companies International energy firms will be invited to participate in India's privatisation of state-owned oil companies, the country's Oil Minister Dharmendra Pradhan said late on Monday. • India's electricity demand falls at fastest pace in at least 12 years India's power demand fell 13.2% in October from a year ago, posting its steepest monthly decline in over 12 years, government data showed, reflecting a deepening growth slowdown in Asia's third-largest economy. • IOC expects diesel demand to recover in six months India's diesel demand is expected to recover in the next six months as a longer-than-usual monsoon season that affected transportation and industry has ended, the chairman of top domestic refiner Indian Oil Corp (IOC) said on Monday. GLOBAL TOP NEWS • Trump says China trade deal 'close' but dashes hopes for signing details President Donald Trump on Tuesday dangled the prospect of completing an initial trade deal with China "soon," but offered no new details on negotiations in a campaign-style speech touting his administration's economic record. • Hong Kong readies for more chaos as violence spreads citywide Hong Kong prepared for more clashes as anti-government protesters planned to paralyse parts of the Asian financial hub for a third day, with transport, schools and many businesses closing after violence escalated across the city. • NZ keeps interest rates unchanged, dashing easing expectations New Zealand's central bank kept interest rates unchanged, saying aggressive easing earlier this year meant current policy settings were appropriate, but left the door open for more monetary stimulus. LOCAL MARKETS OUTLOOK (As reported by NewsRise) • SGX Nifty nearest-month futures were 0.3% lower at 11,915.00. • The Indian rupee is expected to open lower against the dollar after the nation’s industrial output contracted by the most in almost seven years. Losses in Asian currencies amid U.S. President Donald Trump’s threat of more tariffs on Chinese goods will further weigh on the rupee. • Indian government bonds are likely to open little changed, before the release of the October retail inflation data due after market hours today. The yield on the benchmark 6.45% bond maturing in 2029 is likely to trade in a range of 6.55%-6.60%. GLOBAL MARKETS • The benchmark S&P 500 stock index eked out a slim gain on Tuesday as President Donald Trump said the United States is close to signing an initial trade deal with China but offered no new details about negotiations. • Asian stocks and Wall Street futures fell, as growing worries that U.S.-China trade talks are stalling and concern about intensifying unrest in Hong Kong hurt demand for risky assets. • Against other currencies, the U.S. dollar was only a touch weaker after U.S. President Donald Trump said in a speech overnight that a trade deal with China was "close," but failed to provide any further details. • U.S. Treasury yields held below three-month highs on Tuesday after President Donald Trump reiterated that the United States is close to signing a trade deal with China, and before consumer price inflation data on Wednesday. • Oil prices dipped as prospects for a trade deal between the United States and China dimmed, weighing on the outlook for the global economy and energy demand. • Gold prices were flat as investors stayed cautious after a much-awaited speech by U.S. President Donald Trump gave no details on the signing of a trade deal with China. CLOSE FII INVESTMENTS EQUITIES DEBT PNDF spot 71.48/71.51 November 11 5,334.01 (169.65) crore crore 10-yr bond yield 6.53% Month-to-date 11,768 crore 5,504 crore Year-to-date 80,321 crore 38,360 crore (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 = 71.35 Indian rupees) (Compiled by Nayyar Rasheed in Bengaluru)