Stock Analysis, IPO, Mutual Funds, Bonds & More
Tune in now for Markets news, views & cues
ETMarkets Morning Podcast (ETMarkets.com)

An NCD offering 9.7% return; A way for super-rich to avoid surcharge & more

05:04 Min | July 16, 2019, 8:18 AM IST
Tune in! Your daily digest of market news, views and cues.
Hello There! Good Morning. This is Tanisha Sharma from ETMarkets.com, and here is all the news you need to start your day

The Headlines:

> India's exports, imports shrink in ominous signs

> Disquiet in C-suites may force India Inc to take extra tax load

> NCDs offer up to 9.7% to woo investors

> Suzlon all set to default on $172 million FCCB

And We have more. Stay with us.

Let’s first have a quick glance at how the markets are looking like...it does look like a promising start is on the cards today.

> Asian shares inched up on Tuesday as traders awaited US retail sales data and corporate earnings to gauge the health of the economy. Australian shares were up 0.1 per cent but Japan’s Nikkei dipped 0.36 per cent.

> US stocks once again closed at a fresh all-time highs,as earnings season kicked off and investors digested economic data from China. The Dow rose 0.1 per cent while the Nasdaq climbed 0.2 per cent for new all-time highs. The S&P500 finished little changed in the positive territory.


Nifty futures on Singapore Exchange traded 12 points down at 7 am (IST), signalling a tepid start for Dalal Street


The rupee on Monday advanced 15 paise to 68.54 against the US dollar, tracking gains in domestic equities and weakness in the greenback overseas.

LET ME NOW quickly GO OVER the top news we are tracking this morning.

India’s exports shrank for the first time in nine months in June as global trade tension hit shipments and the country braced for the impact of the US withdrawing some benefits. Exports shrank 9.71% to $25.01 billion while imports declined 9.06%, narrowing trade deficit to $15.28 billion from $16.6 billion a year ago, government data showed. Exports to China fell by a sharp 14.1%

The increase in effective tax rate to 43% for those earning Rs 5 crore and more has spread disquiet in India Inc’s C-suite, raising the possibility of salary reviews, as the rise in tax will invariably push senior compensation levels higher with top talent demanding some offset. Latest data show 144 executives of BSE500 companies on an average earn Rs 11.4 crore annually. To compensate for this, salaries will have to be increased by one-fourth to ensure that take-home pay remains intact.

Investors seeking higher returns than bank fixed deposits could consider allocating a small portion of debt portfolio to NCDS of Shriram Transport Finance. The Tranche 1 of the issue is offering up to 9.7 per cent return, with senior citizens getting an additional 25 basis points. The issue opens for sale on July 17. Investment tenures are of 30 months with annual interest payment option, and 42, 60 and 84 months, with monthly, annual and cumulative interest payment choices.

China's economic growth slowed to 6.2% in June quarter, its weakest pace in at least 27 years, as demand faltered in face of US pressure. Analysts expect Beijing to roll out more support measures for the economy in the weeks ahead.


>> Suzlon Energy is staring at a default on redemption of its foreign currency convertible bonds worth $172 million, or Rs 1,200 crore, due on Tuesday and has told bondholders they will have to wait until banks accept its proposed one-time settlement plan

>> Shares of DHFL crashed 30% after reports that the troubled mortgage lender may find it difficult to remain a going concern, but the company said the reports were based on selective quotes from a regulatory filing.

>> Billionaire Gautam Adani-controlled Adani Port Special Economic Zone is raising up to $650 million in another overseas five-year bond sale is to refinance high-cost debt

>> Vodafone Idea is said to have repaid a sizeable chunk of the almost Rs 4,300 crore of loans due to be cleared in this financial year using a portion of its Rs 25,000 crore rights issue proceeds

>> Aditya Birla Fashion and Retail has acquired 51% stake in Finesse International Design, which runs bespoke apparel retail brand Shantanu & Nikhil, for Rs 60 crore


Oil prices fell for a second day on Tuesday as more production facilities returned to operation in the US Gulf after Hurricane Barry swept through over the weekend, while Chinese economic data dimmed the outlook for crude demand. Brent crude futures slipped 10 cents to $66.38 a barrel while WTI crude fell by 10 cents to $59.48

Other useful Links

Follow us on

Download et app

Copyright © 2019 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service