Last week the stock markets got a reprieve from the downward trend, the RBI-govt spat came out in the open, Indian jumped 23 places in the Ease of Doing Business rankings, credit measures were announced to help MSMEs and global factors came into play.
India jumped to 77th place in the World Bank’s ease of doing business index, becoming the top ranked country in South Asia for the first time and third among the BRICS.
The government – RBI tiff eased after the latter said autonomy of the central bank was essential.
Prime Minister Modi announced a slew of measures to address MSME credit and liquidity concerns.
The stock markets rose due the rising rupee, falling crude oil prices, a US waiver from Iran sanctions and decent corporate results. In October the stock markets registered a fall of 8%. The rupee ended at a one-month high at 72.42 a dollar.
Oil prices were down almost 6% to $73 a barrel after reports that the US has agreed on giving waivers to eight nations including India to continue importing Iranian crude after it reimposes sanctions on the OPEC producer on November 5.
On the macro front, eight core industrial output grew at a slower pace in September at 4.3% compared to 4.7% in August due to fall in output of cement, steel, refinery products, and natural gas.
Here are the key global and national events that are likely to impact economy and businesses this week.
- Focus will soon shift to state elections. Five states will vote between Nov 12 and Dec 7. Counting for all will happen on December 11.
- Mid-term Elections in the US will be held on Nov 6. They are important as they will be a referendum on Donald Trump, even though it is an off-year election with no presidential contest.
- US sanctions on Iran come into effect from Monday
- Reserve Bank of Australia November policy decision Nov 6
- Federal Reserve policy makers to meet on Nov 8
- Trump plans to meet Russian President Vladimir Putin on the sidelines of Armistice Day celebrations Nov 11.