Chinese electronics component makers are offering Indian companies price reductions up to 5% amid the US-China trade conflict and decreased American demand. This concession, driven by hefty US tariffs on Chinese goods, could boost Indian manufacturers' profits.
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L&T Chairman SN Subrahmanyan advocates for a 90-hour work week and working on Sundays, expressing that excessive work hours are key to global competitiveness. His remarks, citing China's intensive work culture, have sparked backlash on social media.
India is expected to maintain a growth rate of 6-8% while controlling inflation in the coming years, said Union minister Ashwini Vaishnaw. Focus areas include simplifying tariffs and customs laws to boost exports. Inclusive growth remains central, supported by manufacturing and services. India's talent pool and trust in policies attract companies to shift operations there.
Sun Pharma, India's largest pharmaceutical company, is set to acquire Checkpoint Therapeutics for $355 million. This strategic acquisition will enhance Sun Pharma's specialty portfolio, including UNLOXCYT, an FDA-approved treatment for advanced skin cancer, expanding its global presence in oncology treatments.
Industry and law firms have suggested increasing the FDI cap for R&D and security agencies, liberalizing regulations for agriculture, and streamlining investment rules from China. These suggestions were discussed in a DPIIT consultation to make the overall investment regime in India more attractive, ahead of the Union Budget on February 1.
The Indian government's Production Linked Incentive (PLI) schemes across 14 sectors have yielded Rs 1.46 lakh crore in investments, generating over Rs 12.50 lakh crore in sales and 9.5 lakh jobs as of August 2024. Over Rs 4 lakh crore in exports have been achieved, with incentives exceeding Rs 6,753 crore disbursed in the last fiscal year.
The National Highways Authority of India (NHAI) has pre-paid loans amounting to Rs 56,000 crore during the current fiscal year, resulting in an interest cost saving of around Rs 1,200 crore. The total debt of NHAI has reduced from Rs 3.35 lakh crore to approximately Rs 2.76 lakh crore.
RailTel Corporation's shares jumped 9.6% after securing a Rs 25.15 crore contract from HPCL for MPLS/Internet services over five years. Despite recent gains, RailTel stocks have seen a YTD decline of 16.80%. Currently trading at Rs 328 with a 6.10% increase, the stock shows neutral momentum with an RSI of 52.
Moody's Ratings anticipates that ongoing US trade policy uncertainty, particularly tariffs, will negatively impact business and consumer confidence across Asia, including India, potentially slowing regional growth. While India may show some resilience due to its domestic market, significant investment shifts will take time. The tariff pause offers a window for trade negotiations, but broader de-globalization trends persist.
Key drivers for equity markets this week include corporate earnings from blue-chip companies like HDFC Bank, ICICI Bank, and others. Additionally, Donald Trump’s swearing-in for a second term as US President and trading activities of foreign investors will impact the market. Investors' focus will also be on the upcoming Budget.
US asset management giant Capital Group has acquired a 5% stake in Sammaan Capital through a Rs 1,300 crore Qualified Institutional Placement (QIP) round. Along with other prominent investors like BlackRock and Marshall Wace, Capital Group's Smallcap World Fund's investment signifies a significant institutional presence in the Indian mortgage financing company.