MARKETS: Sensex erases gains, ends 262 pts lower; banks, metals, FMCG drag. 15,000 Indians to be evacuated from 24 countries in 1st week starting May 7. India plans to airlift almost 15,000 stranded citizens across the world from 24 different countries starting from May 7.
The exercise is being touted as one of the largest ever undertaken by any country. According to an internal plan prepared by the Ministry of External Affairs and reviewed by Business Standard, while priority is the Gulf region, where 70 percent of non-resident Indians live, India will also bring back stranded citizens from London, Singapore, San Francisco, New York, Washington, Kuala Lumpur, Chicago in the first week itself. ALSO READ: Coronavirus LIVE: After Delhi, Andhra Pradesh now hikes liquor price by 50% Coronavirus LIVE: Vistara announces leave without pay; India cases 46,476. Day 1 of lockdown 3.0: India limps back, but industry still in limbo.
15,000 Indians to be evacuated from 24 countries in 1st week starting May 7. Govt to bring back Indians stranded abroad from May 7 in 'phased manner' The Union government will facilitate the return of Indians stranded abroad and the process will begin from May 7 in a phased manner.In a statement, the Home Ministry said only asymptomatic people would be allowed to travel and it would be arranged by aircraft and naval ships, and the facility will be available on a payment basis.
After their arrival in India, medical examination will be conducted on everyone and they will be subsequently put under quarantine for 14 days, either in a hospital or in an institutional facility, the ministry said. "The government of India will be facilitating the return of Indian nationals stranded abroad on compelling grounds in a phased manner. The travel would begin from May 7," it said. The government has prepared the standard operating protocol (SOP), and the Indian embassies and high commissions are preparing a list of distressed citizens, according to the ministry. Govt may soon allow firms to delay EPF contributions or pay in installments. The Union government is contemplating granting relief to companies by allowing them to delay or pay in installments their contribution to Employees’ Provident Fund (EPF) of their staff, apart from enabling more firms to make use of the EPF subsidy scheme.
At a meeting with the Confederation of Indian Industry (CII) on April 30, Employees’ Provident Fund Organisation (EPFO) chief executive officer Sunil Barthwal told employers that if they get into an agreement with their workers to revise the wage contract, they need deduct EPF contributions only on the basic pay of up to Rs 15,000, even if their basic pay is above this ceiling. While on one hand this will allow companies to lower their wage bills, employees can get higher salary in hand. Employers hailed the clarification from the EPFO brass for its potential to alleviate the cash crunch due they have been facing due to the national lockdown which had continued from March 25 till May 3. Railways to pay 85% of train fare for workers, says govt after controversy. The Indian Railways will bear 85 per cent of the train fare of migrant workers and the rest will be paid by their states, said the government on Monday after a controversy over people stranded in the lockdown being asked to pay for being taken home.
Lav Agarwal, joint secretary in the health ministry, gave a clarification after the Congress party offered to pay for the train tickets of migrant workers. "We have given the permission to run special trains on states' request. We are dividing the cost in 85-15 per cent (railway: states) as per the norms. Covid-19 vaccine by end of 2020, says Trump as drug search intensifies. US President Donald Trump on Sunday expressed confidence that a vaccine for coronavirus could be available by the end of this year.
"I think we'll have a vaccine by the end of the year. We'll have a vaccine much sooner rather than later," Trump said at a Fox News virtual town hall. The search for a vaccine for coronavirus infection has already intensified around the globe.The European Union has pledged to set up an international medical program with an initial pledge of raising $8 billion to find a vaccine and treatment for the pandemic. In Britain, clinical trials have begun of a potential Covid-19 vaccine developed by scientists at Oxford University's Jenner Institute. Other developers across Europe have also stepped up their works on their own experimental shots against the disease caused by the new coronavirus. Government faces headwinds at home and abroad. Even as global opinion takes serious note of growing religious intolerance in India, the government’s hopes for solace at home are likely to be meagre.
Policymakers everywhere are struggling to choose between opening up the economy and continuing a lockdown. However, India’s job is tougher because of the weight of the informal sector in the economy and limited fiscal headroom. PAT dip, rights issue: Brokerages' interpretation of RIL's Q4FY20 numbers. The fourth quarter ended March 2020 (Q4FY20) has truly been exceptional for Reliance Industries (RIL) that saw its profit before tax (PBT) dip 33.5 per cent to Rs 9,223 crore - pulled down by the performance of its petrochemicals business amid higher expenses.
Net profit attributable to the owners of the company, after exceptional items, was 38.7 per cent lower at Rs 6,348 crore and was the biggest-ever fall since June 2014 quarter, when RIL started declaring consolidated numbers. While announcing its results for Q4FY20 post-market hours on Thursday, the Mukesh Ambani-controlled company also unveiled a mega Rs 53,125 crore rights issue. Here is how leading brokerages have interpreted the announcements. Jefferies. Economic cost of lockdown is quite severe; market to remain volatile. The wheels of the economy would start to turn again.
Finally, the government has come up with certain relaxations post the completion of the second phase of the lockdown on May 3. This essentially kick-starts the withdrawal of lockdown in a phased and a systematic manner by categorising the districts into three zones - red, orange and green – depending upon the spread of coronavirus. Lockdown 3.0: Now, you can hail an Uber cab in green or orange zones. Uber is resuming services in the green and orange zones in India, subject to social distancing norms specified by the government, and will continue to run its Uber Essentials and UberMedic services in the Red Zones as well.
For green zones, “If you are booking a car or an auto ride, to maintain social distancing, we recommend not more than two riders should travel at a time, besides the driver. No one should also be seated right next to the driver,” the Uber India Team said in a blog post on Monday. Similarly, Uber is resuming services in the orange zones outside of the containment areas. “ Please follow local government guidelines on the exact number of riders permitted to travel at a time in the car, besides the driver.
Trump admin pushing to rip global supply chains from China: Report. By Humeyra Pamuk and Andrea Shalal The Trump administration is "turbocharging" an initiative to remove global industrial supply chains from China as it weighs new tariffs to punish Beijing for its handling of the coronavirus outbreak, according to officials familiar with U.S. planning.
President Donald Trump, who has stepped up recent attacks on China ahead of the Nov. 3 U.S. presidential election, has long pledged to bring manufacturing back from overseas. Now, economic destruction and the massive U.S. coronavirus death toll are driving a government-wide push to move U.S. production and supply chain dependency away from China, even if it goes to other more friendly nations instead, current and former senior U.S. administration officials said. "We've been working on [reducing the reliance of our supply chains in China] over the last few years but we are now turbo-charging that initiative," Keith Krach, undersecretary for Economic Growth, Energy and the Environment at the U.S. The U.S. After Facebook, Silver Lake to invest Rs 5,656 cr in Reliance Jio Platforms. American private equity firm Silver Lake has invested Rs 5,655.75 crore in Mukesh Ambani-owned Reliance Industries’ Jio Platforms.
The deal comes less than two weeks after Facebook made an investment of $5.7 billion to buy a minority stake in Jio. The investment by Silver Lake values Jio Platforms at an equity value of Rs 4.9 trillion and an enterprise value of Rs 5.15 trillion, and represents a 12.5% premium on the equity valuation of the Facebook investment announced on April 22, 2020 – said Reliance Industries in a statement. “I am delighted to welcome Silver Lake as a valued partner in continuing to grow and transform the Indian digital ecosystem for the benefit of all Indians.
Silver Lake has an outstanding record of being a valuable partner for leading technology companies globally. Silver Lake is one of the most respected voices in technology and finance. Railway board in a huddle as Congress offers to pay for travel of migrants. After a decision by the Congress party to bear the cost of train travel by the migrant workers, the Centre government is likely to come out with an announcement making the travel on Shramik Special trains free for migrant labourers. According to an official source close to the development, there are plans to make the journey free for migrant labourers. On Monday, Congress president Sonia Gandhi said in a letter to the state units that every Pradesh Congress Committee shall bear the cost of rail travel for every needy worker and migrant labourer. At present, labourers are being charged sleeper class fares and an additional Rs 50 for a pre-decided source to destination journey.
Hitting hard at the government's decision to charge stranded migrant labourers, Sonia Gandhi termed the current crisis at par with the partition of the country. Coronavirus LIVE: Bihar govt to pay fare of migrants, students, says Nitish. MARKET LIVE: Sensex plunges 2,000 points; financials, auto stocks worst-hit. At 27.4, India's manufacturing activity falls to record low in April: PMI. India's manufacturing activity contracted at its sharpest pace on record in April as a lockdown to combat the rapid spread of the coronavirus led to a slump in demand and massive supply chain disruptions, a private sector survey showed on Monday.
Asia's third-largest economy is taking a huge hit from the ongoing nationwide lockdown, which started on March 25, and its gross domestic product is expected to shrink for the first time since the mid-1990s this quarter, a Reuters poll showed last month. That was despite the government announcing a spending package of Rs 1.7 trillion ($22.4 billion) and a significant easing in monetary policy by the Reserve Bank of India. The Nikkei Manufacturing Purchasing Managers' Index , compiled by IHS Markit, plunged to 27.4 last month from March's 51.8, by far its lowest since the survey began in March 2005 and its first time below the 50-mark separating growth from contraction in nearly three years. Covid-19 lockdown: Petrol sales fell by 61% in April, diesel by 57% Petrol and diesel sales in April fell by 61 per cent and 57 per cent, respectively, from a year earlier, two industry sources told Reuters, though declines eased slightly later in the month when some transportation and industrial activity resumed.
State-owned oil marketing companies — Indian Oil Corp These retailers' petrol and diesel sales in the first half of April declined by 61 per cent and 64 per cent, respectively, as a nationwide lockdown to curb the spread of coronavirus brought economic activity to a standstill. Overall, fuel sales during the month fell 50 per cent from a year earlier, according to provisional industry data provided by two Reuters sources who did not wish to be named. India's overall refined fuel demand includes consumption of fuel oil, bitumen and liquefied petroleum gas (LPG).
Aviation turbine fuel (ATF) sales in April declined by about 92 per cent, showed the provisional industry data. Covid-19 crisis: Angry undergrads suing colleges for billions in refunds. E-commerce firms gearing up for businesses, to make products available. E-commerce companies say they are witnessing a steady growth in traffic after the home ministry on Friday extended a national lockdown but allowed the online sales of essential and non-essential products in zones that have almost controlled the coronavirus outbreak.
Govt working to identify key sectors for making India a manufacturing hub. The commerce and industry ministry is working to identify certain key sectors -- like capital goods, leather and chemicals -- with a view to establish India as a manufacturing hub, according to sources. Several meetings have taken place with stakeholders, including industry chambers, to identify those sectors which have the potential to become global winners and make India a strong manufacturing hub, sources said. Work relaxation amid lockdown fails to convince migrants to stay put. ATF price slashed 23%, costs one-third of 'frozen' petrol, diesel rates. Jet fuel (ATF) prices have been slashed by a steep 23 per cent in line with a slump in international oil prices and it now costs about one-third of petrol and diesel whose rates continue to be frozen for the 50th day on Sunday.
Aviation turbine fuel (ATF) price has been cut by Rs 6,812.62 per kilolitre, or 23.2 per cent, to Rs 22,544.75 per kl in the national capital, according to a price notification by state-owned oil marketing companies. A salute from the sky: IAF copters shower petals to honour corona warriors. The Indian Air Force (IAF) helicopters across India on Sunday showered petals on hospitals and places of national importance to show honour and express their gratitude towards the coronavirus warriors who are battling the pandemic. Non-stop, 1200 passengers: 10 things you should know about 'Shramik Train'
The Indian Railways on Sunday issued guidelines regarding the operation of 'Shramik special trains', deployed to transport migrant workers, pilgrims, students, and other persons stranded at different places in the country amid lockdown to their respective destinations. Zonal Railways will run these trains as per the demand of state administration. Apart from maintaining 90 per cent occupancy, the railways also said that local state government authority shall handover tickets of such trains to passengers cleared by them and collect the ticket fare and hand over the total amount to Railways. Stocks up, warehouses shut: Weal and woes of Amazon Inc during Covid-19.
Covid-19: Zuckerberg endorses Silicon Valley lockdown, Musk sees 'fascism' Silicon Valley billionaires Elon Musk and Mark Zuckerberg offered dueling views on lockdown measures designed to slow the spread of the coronavirus on Wednesday, with Facebook's Zuckerberg endorsing the measures while Tesla's Musk condemned them as anti-democratic. Scrappage scheme would give demand a boost: Ashok Leyland MD & CEO. Glenmark gets DCGI nod for clinical trials of potential Covid-19 drug. Lupin gets inspection closure report from USFDA for Pithampur plant.
Motor, health segments see substantial fall in March for non-life insurers. Just Dial soars 9% as board approves buyback at Rs 700/ sh via tender offer. UPL shares gain 11% on biz update, expectation of net debt reduction. Pharma index set to post its biggest monthly gain in 21 years amid Covid-19. TikTok hits 2 bn downloads; becomes most installed app amid Covid-19 crisis. Tesla posts third quarterly profit in a row, but Elon Musk is not happy.
Job losses, attack on press freedom: Journalism hit hard by coronavirus. SoftBank sees a net loss of around $8.4 billion on WeWork writedown. Veteran actor Rishi Kapoor, 67, dies of cancer in Mumbai. Tata Sons to infuse more capital into five firms impacted by coronavirus. Coronavirus LIVE: Govt says no confirmed treatment yet; India tally 33,610. HUL Q4 consolidated net profit slips 3.56% YoY to Rs 1,515 crore. Core sectors contract 6.5% in March, hit by coronavirus lockdown. RIL consolidated Q4 PAT at 6,348 crore; announces Rs 53,125 cr rights issue. F&O expiry: Sensex soars 997 pts on Covid-19 drug hopes; auto, IT stks gain. India's jewellery demand dips 41% to 11-year low in March quarter: WGC. RIL announces salary cuts; Mukesh Ambani to forgo entire compensation.
India needs Rs 65,000 cr to save the poorest and their livelihoods: Rajan. MARKET LIVE: Sensex surges 1,000 pts; Nifty tests 9,800; Tata Motors up 19% Coronavirus LIVE: Air India set to resume partial services from mid-May. Ruchi Soya enters top 200 most valuable firms' club; m-cap tops Rs 10K cr. IIT Guwahati collaborates with Hester Biosciences for Covid-19 vaccine. CBSE says will hold Class 10, 12 board exams, give 29 subjects priority. Hexaware Q1 profit rises 26% to Rs 175 cr; suspends full-year guidance. Salaam, Irrfan: Actor of subtleties leaves a giant hole in cinema. Top court orders Income Tax refund of Rs 733 crore to Vodafone Idea. US GDP shrinks 4.8% in first quarter as pandemic decimates economy. States get Centre's nod to bring stranded people home, told how to.
Google Meet adding 3 mn users a day, app usage up 30-fold since Jan: Pichai. Amazon India launches special fund to help SMB partners in logistics. IOL Chemicals & Pharmaceutical's stock more than doubles from March lows. Strides Pharma commences export of Favipiravir tablets; stock surges 15% Deepak Nitrite rallies 10% on heavy volumes, inches toward record high. HDFC extends rally, jumps 5%; stock surges 15% in three days. Amid Covid-19, Indians got better internet speed last week as load reduced. Actor Irrfan Khan, 53, dies of colon infection at a Mumbai hospital. MARKET LIVE: Sensex at day's high, up 500 points; metals, auto stocks gain. Coronavirus LIVE: Karnataka tally at 532; Singapore reports 690 new cases. Rating downgrade by Moody's, negative outlook by Fitch likely, warns Nomura.
Moody's slashes India's growth estimate to 0.2% for 2020 from 2.5% Covid-19 impact: SpiceJet says pilots will not be paid for April and May. Rising costs, political unrest, Covid-19: Triple whammy for tea industry. 42% CFOs have no contingency plans for second coronavirus wave: Report. TV ratings agency needs reforms for credibility, says telecom regulator. Gilead disputes report of anti-viral drug remdesivir failing Covid-19 trial. Banks borrow Rs 2,000 crore from RBI under mutual fund liquidity window. No evidence to back plasma therapy as Covid-19 treatment: Health ministry. Coronavirus LIVE: Govt says plasma therapy in trial stage; India toll 934. Google Cloud plans to acquire enterprise cloud software firm D2iQ: Report. NITI Aayog building sealed for 48 hrs after staffer tests Covid-19 positive. India's rating could come under pressure if fiscal outlook worsens: Fitch. L & T Construction bags contract for Eastern Dedicated Freight Corridor Project.
Crisil revises ratings outlook on Hindalco to stable from positive. Retiree investors in wound-up Franklin schemes fret over repayment timeline. Signal from PM Modi to CMs: Covid-19 lockdown may continue beyond May 3. Sebi slashes fees on trading, filing documents to boost market activity. IEX plans to acquire 15% stake in Reliance ADAG platform ICEX. Oil prices fall as world's limited storage tanks fill up amid demand shock. Panacea Biotec hits 52-week high; stock rallies 64% in 4 days. Chemical shares in focus; Aarti Industries, Vinati Organics surge over 9% Just Dial zooms 10% as board to consider share buyback proposal. OMCs gain as crude oil prices extend fall; HPCL, BPCL advance 1% IndusInd Bank hits 10% upper circuit on operationally strong Q4 earnings. Best of BS Opinion: Unemployment rate, Covid-19 lockdown, and more. Yes, we may not be alone: The Pentagon releases video footage of UFOs.
Oxford University hoping to get the Covid-19 vaccine ready by September. Axis Bank to buy 29% in Max Life Insurance, raise its total stake to 30% RIL to consider rights issue, announce Q4 nos on April 30. What to expect?