I am pleased to attach the Economy / Market Snapshot covering all the major events in September, 2016.
Indian markets fell by 2% last week considering the tension between the India / Pakistan relationship. India carried out surgical strikes taking everyone by surprise. Global markets also showed little weakness last week; The first presidential debate between Hilary and Trump concluded last week with Hilary securing a better position than Trump. FII’s were net buyers in the market last month but have to see how they will view the current tense scenario and October can be a crucial month to assess the direction of the market – will the market scale the all time high or it is time for a fall. Auto sector alone went up last month with FMCG, Banks and IT losing ground. L & T Technology Services was listed with gains but ICICI Pru Life was listed at a discount.
Gold and Silver prices went up; similarly Crude prices went up by 6% resulting in increase of petrol and diesel prices in India. Implementation of GST is confirmed now to be effective from 1st April 2017 and a number of actions are being taken now by the Government. The Cauvery water dispute continues to be a major issue with imminent confrontation between the Supreme Court and the Karnataka Government. This may affect the business climate in Bangalore which is not a good news for India and Bangalore. While the Tamil Nadu Chief Minister is in the hospital for more than a week now, her case in the Supreme Court will also be decided in October.
Indian won the 500th Test match and currently playing the 250th Test in India.
- India carried out surgical strikes on terror launchpads across the LoC of POK.
- Rajnath Singh takes stock of country’s security, asks forces to be on alert.
- Militants attack Army’s HQ in Uri, 18 army soldiers were killed, all four terrorists eliminated.
- US lawmakers introduce bill to designate Pakistan a terrorist state.
- PM to review the Most Favoured Nation (MFN) status to Pakistan.
- SAARC summit postponed after 5 nations pulls out including India.
- President Pranab Mukherjee signs the GST bill after 16 states ratify it.
- GST council met to finalize the rules of conduct and business for the council.
- Govt plans Rs 4,000-crores overhaul of 80 check posts for GST; an app to link Centre and state
governments check posts in the works.
- Cabinet Committee on Economic Affairs(CCEA) clears Rs 2,256 crores project for Central Board of
Excise and Customs(CBEC)’s GST integration.
- Exemption threshold fixed at Rs 10 lakhs for NE states and Rs 20 lakhs for other states.
- Assessees below Rs 1.5 crores to come under State, while above Rs 1.5 crores either under Centre or
State. Govt appoints Arun Goyal as Additional Secretary of GST council.
- Centre, states agree on timetable for April 1 roll out.
- Cabinet approves merging Railway Budget with the General Budget.
- India, France sign $8.9-billion Rafale deal for 36 fighter jets.
- ISRO: GSLV-F05 carrying advanced Weather Satellite INSAT-3DR and PSLV-C35 with 8 satellites were
- India successfully test fires surface-to-air missile Barak-8.
- Government integrates DigiLocker with driving licence and vehicle registration certificates.
- PM Modi chairs meeting to review Indus Water Treaty.
- Afghanistan President Ashraf Ghani’s was on a 2-day visit to India; India extends $ 1 billion
- Govt announces 3rd Smart Cities list, made 27 new additions to the Smart Cities Mission.
- Mormugao, Indian Navy’s most advanced guided missile destroyer, launched in Mumbai.
- Centre approves the renaming of Gurgaon as “Gurugram”.
- Bharat Bandh called by 10 trade unions on September 2 which evoked a mixed response.
- AIR resumes Balochi broadcast; launches website and app of its radio service.
- Mother Teresa was formally canonized by Pope Francis at Vatican City; IndiaPost releases postage
stamp on Mother Teresa.
- Protests erupt and normal life hit in Karnataka over SC’s order to release water to TN.
- Retailers across Tamil Nadu and Puducherry shut shop in protest against Karnataka violence.
- Karnataka legislative assembly passes resolution against releasing water to TN.
- Uma Bharti convenes meeting with Karnataka, TN govts.
- Arunachal CM Pema Khandu along with 43 Congress MLAs join the People’s Party of Arunachal
- Shivpal Yadav replaces Akhilesh Yadav as new SP UP chief.
- Amar Singh named as Samajwadi Party National General Secretary.
- Patna High Court imposes ban on Bihar’s anti-liquor law.
- WB returns land ownership to 9117 farmers in Singur and cheques to 800 farmers who have not taken
money, following the SC verdict.
- Centre announces financial package for Andhra Pradesh that includes full funding of Pollavaram
irrigation project, tax concessions and a special assistance.
- Heavy rain triggers flood-like situation in Andhra pradesh.
- Rahul Gandhi granted relief in criminal defamation case filed against him by a RSS functionary.
- Navjot Singh Sidhu launches his own party, Awaaz-e-Punjab.
- Directorate General of Civil Aviation (DGCA) and more airlines banned passengers from carrying
Samsung Galaxy 7 in switch on mode on flights.
- Supreme Court cancels Shahabuddin’s bail, who was out of jail after 11 years, sends him back to jail.
- The UN Charter translated into Sanskrit.
- The 1st of the 3 presidential debates between Donald Trump and Hillary Clinton drew more than 84
- World leaders adopt the ‘New York Declaration for Refugees and Migrants’ at the United Nations.
- Congress overrides Barack Obama’s veto of 9/11 bill that allows family members of 9/11victims to
sue Saudi Arabia.
- Permanent arrest warrant issued against Pervez Musharraf in murder case of Lal Masjid deputy cleric.
- North Korea conducts fifth and largest nuclear test; fires three ballistic missiles off east coast.
- Malaysia confirms debris found in Tanzania in June is from MH370.
- BCCI invites all former India captains for ‘500th Test’ which was played against New Zealand in
Kanpur from September 22.
- BCCI names Ajay Shirke as the Secretary, MSK Prasad as head of selection committee, Venkatesh
Prasad as chairman of the junior selection committee.
- SC slams BCCI for non-adherence of Justice Lodha reforms; BCCI misses 1st deadline to implement
Lodha reforms as it adjourns its Special General Meeting on technical grounds.
- India wins their 500th Test match by 197 runs, take 1-0 lead against NZ.
- R Ashwin breaks Waqar Younis’ record, becomes second fastest to take 200 Test wickets in his 37th
- Paralympics: Mariyappan Thangavelu (high jump) and Devendra Jhajharia (javelin throw) had won
gold, with the veteran javelin thrower setting a new world record.
- Deepa Malik (shot put) and Varun Singh Bhati (high jump) bagged silver and bronze respectively.
- Switzerland’s Stan Wawrinka and Germany’s Angelique Kerber claim their first US Open title in men’s
and women’s singles respectively.
- Sania Mirza and Czech’s Barbora Strycova win the women’s doubles titles at Toray Pan Pacific Open.
- Sania Mirza tops the latest WTA women’s doubles ranking following her win.
- Govt appoints Chetan Ghate, Pami Dua, Ravindra Dholakia-members to Monetary Policy Committee.
- US Fed keeps interest rates steady, signals one hike by end of the year.
- India likely to post its first current account surplus in 9 years in the latest quarter.
- August CPI falls to 5.05%; July IIP shrinks by 2.4%.
- World Bank President Jim Yong Kim heads for a second five-year term.
- Mukesh Ambani tops Forbes’ ‘100 richest Indians’ list followed by Sun Pharma’s Dilip Shanghvi and
Patanjali’s Balkrishna at 48th position.
- India slipped down by 10 positions to 112th spot on World Economic Freedom Index.
- India’s foreign exchange reserves went down to $369.60 billion as on September 16 as against
$371.27 billion as on September 9.
- SEBI allows Commodity exchanges to trade Options.
- Mukesh Ambani unleashes Reliance Jio, from September 5 to December 31, it will be free for all; aims
for 100 million customers.
- China’s green car subsidy scandal spreads, 20 more car makers, including Nissan and Hyundai named.
- Hyundai car workers start first full strike in 12 years in South Korea.
- Mahindra to buy out Peugeot’s stake in two-wheeler joint venture.
- Indian banks moving past asset quality problems, outlook stable: Moody’s.
- Axis Bank buys 13.67% in Asset Care and Reconstruction Enterprise (ACRE) from IFCI Ltd.
- Bank Of India sells 18% stake in insurance JV to its partner Dai-ichi Life.
- Yes Bank sells United Breweries shares pledged with it by Vijay Mallya to Heineken International.
- SEBI questions the legality of equity crowdfunding platforms serving startup companies.
- FPIs infuse Rs 6,800 crores in capital markets in September.
- RBI allows 100 % foreign investment in Crompton Greaves Consumer Electricals.
- Patanjali to venture into garments and a ‘swadeshi’ jeans will be launched by next year.
- Freecharge partners with Axis Bank, launches UPI payment.
- Mahindra forays into fruits, juices retailing business under the Saboro brand.
- Alibaba market value, at the NYSE, has surpassed all other Asian listed firms, totalling over $266 B
ABB India opens solar inverter manufacturing factory.
- Adani unveils world’s largest solar plant at Kamuthi, Tamil Nadu which is built at a cost of around Rs
4,550 crores and will generate 648MW of electricity.
- India’s coffee exports up 18.15% in April-August.
- India’s mineral production was Rs 17,339 crores in July.
- Zee Entertainment forays into radio industry with the acquisition of UAE’s Hum 106.2 FM radio.
- DLF exits cinema business, sells 7 screens to Cinepolis for Rs 64 crores.
- US firm Liberty Media buying Formula One auto racing series.
- Anil Ambani: Reliance Communication has “virtually merged” with Reliance Jio.
- Samsung issues global recall of Galaxy Note 7.
- Vodafone India receives Rs 47,700 crores as equity infusion from its parent Vodafone Plc.
- Lupin arm gets US regulator’s tentative nod for anti-bacterial drug.
- Glenmark gets USFDA nod for Diclofenac Sodium gel used for treatment of skin lesion.
- India Jumps 19 places to 35 in World Bank’s Logistics Performance Index.
- Wipro bags 3-year IT deal from Norway’s NSB.
- HP to buy Samsung’s printer business in $1.05 billion deal.
- Indian e-commerce market could reach USD 28 billion by FY2020.
- Flipkart crosses 100 million customers after six months it touched the 75 million user mark in March
- Wal-Mart in talks to invest up to $1 billion in Flipkart.
- Google launches ‘Allo’ messaging app for Android and IOS.
- Marriott Buys Starwood, Becoming World’s Largest Hotel Chain.
- Indian markets down by 2% due to tension on the India – Pak relations and Global weakness
- FII net buyers of Rs 9500 crores in September in the Equity market.
- FMCG down by 4%, Banks down by 2.5% and IT down by 2%; Auto up by 1.5% and Pharma neutral
- Nasdaq up; London Up, Dow neutral; Shanghai down but Hong Kong up up
- Gold up by 1.5%, Silver up by 6%; Crude up by 6%; Petrol prices increased in India
- INR to US $ at 66.61
|Indices||30-Sep||31-Aug||% 1M||01- Jan||% since
|Crude Brent $||50.02||47.16||6.05%||37.28||34.16%|
|Crude Nymex $||48.04||45.06||6.60%||37.09||29.51%|
|NIFTY SECTORAL INDICES|
|Sectors||BANK NIFTY||CNX IT||CNX AUTO||CNX FMCG||CNX PHARMA|
|% since Jan||13.18%||-7.90%||20.42%||6.72%||-4.33%|
|INDIAN TRADE( USD MILLION)|
|Government Bond 10Y||6.82%|
|Forex Reserves $ M||370770|
|INSTITUTIONAL TRADING ACTIVITY|
|Particulars||FII (Rs.crore)||MF (Rs.crore)|
|Total 1 M||20051||61122|
|Total Since Jan||57994||291359|