Tag: US Markets

India in 6th place among top 10 global manufacturers

India in 6th place among top 10 global manufacturers

04/04/2016 00:54

According to a report by United Nations Industrial Development Organization (UNIDO), India has occupied sixth place in a ranking of the world’s top ten manufacturing economics which is topped by Asian powerhouse China.

Previously, India was ranked as the ninth largest manufacturer in the world.

Data from UNIDO’s Yearbook shows that the Manufacturing Value Added (MVA) in India climbed by 7.6 per cent in 2015, compared to the previous year.

“India is now the sixth largest manufacturer in the world”, the UNIDO report said.

The quarterly index of industrial production (IIP) for Asia’s third biggest economy showed that manufacturing output climbed by 1 per cent in the fourth quarter of 2015 compared to the same period a year ago.

Meanwhile, global manufacturing growth slowed to 2.8 per cent in 2015 reflective of a weakening world economy.

“This slowdown could be due to reduced manufacturing growth rates recorded by major developing and emerging economies”, the report added.

After China, which is the world’s biggest manufacturer, the US, Japan, Germany and Korea are ranked second, third, fourth and fifth on the list of the largest global manufacturing countries, with Indonesia in tenth place.

In a bid to bolster India’s manufacturing prowess, the NDA government in 2014 unveiled its flagship ‘Make in India’ program to help make India a global manufacturing and investment hub by easing rules of doing business in the country including accelerating key structural reforms.

Advertisements

Bears continue to dominate D-Street as global rout continues

11/02/2016 11:36

Tracking weak global cues, Indian equities continued to trade in the negative territory during the late morning deals on Thursday as across-the-board selling by funds and retail investors continued on worsening global stock sell-off amidst an ongoing commodity rout, worries over a China slowdown and renewed fears over the US economy.

At 11:18 hours, the 30-share barometer index of Bombay Stock Exchange, Sensex was at 23538.16, down by 220.74 points or 0.93 per cent while the NSE Nifty was at 7146.3, down by 69.4 points or 0.96 per cent.

On the domestic front, markets saw selling pressure mainly in the metal and oil & gas sector stocks. Meanwhile, investors keenly eyed the Q3 earnings numbers of SBI, Tata Motors, Coal India, BHEL, Hero MotoCorp, ONGC, Bank of India, Indian Bank, J&K Bank, Oriental Bank of Commerce, Punjab & Sind Bank, United Bank of India and Union Bank, to be announced today.

Major show spoilers were Oil And Natural Gas Corporation Ltd. (Rs. 205.20,-4.11%), Bharat Heavy Electricals Ltd. (Rs. 124.50,-2.77%), Maruti Suzuki India Ltd. (Rs. 3602.20,-2.19%), Mahindra & Mahindra Ltd. (Rs. 1159.55,-2.09%), Coal India Ltd. (Rs. 308.00,-1.93%), among others.

The top gainers of the BSE Sensex pack were State Bank of India (Rs. 162.50,+2.23%), Tata Motors Ltd. (Rs. 295.85,+1.37%), Dr. Reddy’s Laboratories Ltd. (Rs. 2925.00,+1.32%), Bharti Airtel Ltd. (Rs. 314.25,+1.11%), Axis Bank Ltd. (Rs. 393.80,+0.15%), among others.

The market breadth, indicating the overall strength of the market, was weak. On BSE, out of the total 2333 shares traded, 534 advanced while 1695 shares declined and 104 remained unchanged.

On the global front, financial markets in China and Japan are closed today for public holidays. Hang Seng slumped over 4 per cent as it reopened after a three-day holiday, signaling a deepening contagion that has struck global equities.

Sensex opens on a dull note; down over 450 points

Sensex opens on a dull note; down over 450 points

20/01/2016 09:58

Indian markets were trading on a dull note during the morning trading session with Nifty slipping below the crucial 7,350 mark mirroring steep decline in the Asian equities after crude oil fell to its lowest since September 2003 on oversupply glut worries. All 30 stocks in the Sensex pack were trading in red with Adani Ports, ONGC, Tata Steel and Axis Bank leading the decline. Axis Bank was trading lower on caution ahead of the quarterly results due today.

At 9:49AM BSE SENSEX was at 24025.29, down by 454.55 points or by 1.86 per cent while the NSE Nifty was at 7308.2, down by 126.9 points or by 1.71 per cent.

The BSE MIDCAP was at 10010.27, down by 228.17 points or by 2.23 per cent while the BSE SMLCAP was at 10283.5, down by 242.42 points or by 2.3 per cent.

The top gainers of the BSE Sensex pack were Sun Pharmaceutical Industries Ltd. (Rs. 797.00,+0.36 per cent), among others.

The top losers of the BSE Sensex pack were Tata Steel Ltd. (Rs. 228.80,-3.85 per cent), Oil And Natural Gas Corporation Ltd. (Rs. 209.90,-3.72 per cent), State Bank of India (Rs. 176.30,-3.71 per cent), Reliance Industries Ltd. (Rs. 1006.50,-3.56 per cent), Axis Bank Ltd. (Rs. 379.30,-3.51 per cent), among others.

The Market breadth, indicating the overall strength of the market, was weak. On BSE, out of total 1798 shares traded, 203 shares advanced, 1545 shares declined while 50 were unchanged.

Among the sectoral indices on BSE, BSE Realty index was at 1161.84, down by 36.26 points or by 3.03 per cent led by Prestige Estates Projects Ltd. (Rs. 176.80,-4.48 per cent), Indiabulls Real Estate Ltd. (Rs. 49.55,-3.88 per cent), DLF Ltd. (Rs. 92.40,-3.80 per cent), Housing Development & Infrastructure Ltd. (Rs. 65.50,-3.68 per cent), Unitech Ltd. (Rs. 5.52,-3.66 per cent).

Asian stocks retreated after gaining in the previous session as further slide in global crude oil prices weighed on investor sentiment. US crude futures fell below $28 per barrel while Brent crude was trading below $29 a barrel. Chinese stocks which had surged over 3 per cent in the previous session were trading with marginal losses. Among other markets in the region, Nikkei was down 2.2 per cent, Hang Seng eased 3 per cent while Straits Times was down nearly 2 per cent.

What Lies In Store for the Global Economy In 2016

What Lies In Store for the Global Economy In 2016

Every New Year brings with it various economic events which tend to catch people by surprise. No matter how carefully you consider the data presented, it is not always possible to make an accurate prediction. For example, there weren’t many people who foresaw the slump in oil prices that began in the 2014 summer. Neither were they able to predict the sharp fall of the Chinese economic growth.

 

However, there are still other events that you can make a reasonable prediction based on careful consideration of economic data. As such, here are a few economic trends that might come to the fore in 2016 and thereby shape global economy.

 

The State of the Chinese Economy

For the last few years, China kept stunning the world with its economic growth rates. Sometimes, they were three times more than what the United States enjoyed. Of course, the capital investment directed by the government had a major role to play in this matter. When the global financial crisis stuck, China remained more or less unfazed thanks to the huge boost provided by the government

Unfortunately, most of this investment was made possible by growing the debt instead of profits. Now, China will have to shift the wealth from the powerful to the common Chinese household. Suffice to say, that will neither be politically easy nor fast. This trend is likely to be a recurring theme in 2016 and more.

 

The American Economy will affect the Global Economy

It may come as a surprise to many but it is a fact that the performance of the US economy is currently the best in its class. After all, the rest of the developed world is experiencing a slower growth compared to America, especially with the decline that China is experiencing.

More importantly, the largest trade deficit in the world currently belongs to the United States. In other words, the other major economies in the world such as China, Japan and Germany are depending on the demand in the United States in order for their economies to experience growth. This situation is likely to continue through 2016 where the global economy leans on the consumer in America.

 

The Indian Economy Can Experience Major Growth

The International Monetary Fund believes that the Indian economy is poised to grow at a rate of 7.3% in 2016. That will be faster than even what the Chinese can muster up with the inflated numbers produced by its government. It is likely that 2016 will become a turning point. India may not be as technologically advanced as China but it may turn out to become the fastest growing economic in the large sector.

India has also been affected by the same issues that have slowed down economies in other emerging markets. However, demographics have proven to be India’s advantage. In the coming decade, the Indian workforce may grow up to be bigger than even the Chinese.

 

Of course, nothing can be said to be certain about the future of the global economy. Europe might end up on the edge of an economic crisis, for example. One can only hope for the best.