The MeT expects monsoon to recover from the week. Monsoon rainfall has been 9 percent lower than normal so far in June, but in some states such as Gujarat the rainfall deficit was as high as 93 percent.
Companies in the consumption and rural agricultural space watch this event closely.
The Organisation for Petroleum Exporting Countries (OPEC) met on Friday and agreed to boost supply.
The modest increase will come into affect from next month and would translate into a nominal output rise of around 1 million barrels per day (bpd), or 1 percent of global supply. Consequently crude prices will stabilise and ease the pressure on the India’s import bill
Tariff war, Migrant issue
Geopolitical tensions will keep global markets on the edge.
Tariff counter-attacks by the United States and China will continue in the foreseeable future, leading to escalation of trade tensions globally.
Extending the tariff beyond China, the US also imposed an up to 541.15 percent import duty on large-diameter pipes imported from India. In a retaliatory action, India increased customs duty on 29 products, including pulses and iron and steel products imported from the United States. Will this mean that India looks for other export market?
US and Europe are also expected to take a call on the tough issue of migrants this week. German Chancellor Angela Merkel will hold talks with leaders of the other parties in her coalition government on refugee policy and euro-area reforms in Berlin on Tuesday.
RBI monetary policy minutes
The minutes of the RBI’s monetary policy showed that all six members of the policy committee agreed to raise interest rates to counter oil-driven price pressures and expectations of higher inflation in the future.
This could indicate that another interest rate hike of 50 basis points in this fiscal year (uncertainty on factors such as higher core inflation, inflation expectations, oil prices, closing output gap, strengthening growth trends and capacity utilization)
Varroc Engineering, Aurangabad-based auto component maker’s IPO will open on June 26. A Rs 1,955-crore IPO has a price band of Rs 965-967. The offer consists of an offer-for-sale to the tune of 20,221,730 equity shares by promoters and existing investors.
The issue closes on 28.
- Domestic Industry output data for May to be announced. It was 4.7% for April 2018.
- Central banks of New Zealand and Indonesia will meet to discuss monetary policy on Thursday.
- US personal spending data to be released on Friday.
- China manufacturing and non-manufacturing PMI due on Saturday.