Economy News

S&P says India's Fiscal, Econ Reforms to Determine Credit Rating

The fiscal and economic reforms taken by India's new government in the next two to three months will have "significant implications" on India's sovereign credit rating, Standard & Poor's Ratings Services said on Friday.

May 17, 2014

People walk past the Bombay Stock Exchange (BSE) building in Mumbai (Reuters)

Sensex Hits Record High above 25,000; BJP to Face Key Investor Tests

The BSE Sensex and Nifty surged to record highs while the rupee strengthened to an 11-month peak against the dollar on Friday as the opposition Bharatiya Janata Party led by Narendra Modi swept to a resounding majority in the world's largest election.

May 17, 2014

Stronger Yen Hits Japan Shares, Lower Yields Pressure Dollar

Asian shares were under pressure on Friday, with Japanese stocks skidding as the yen rose against the dollar, which has struggled in recent days on the back of lower U.S. Treasury yields.

May 16, 2014

A customer hands a bundle of Indian Rupee currency notes to a teller at a financial institution in Mumbai (Reuters)

State Banks to Seek Market Funds on Modi Growth Hopes

State banks plan to tap capital markets for billions of dollars after a new government takes office, executives and bankers say, betting on a revival in credit demand and giving them a chance to shore up battered balance sheets.

May 16, 2014

Rupee Hits Near 10-month High, Biggest Gain in Three Weeks

The rupee strengthened to its highest level in about 10 months on Thursday, while also posting its biggest single-day gain in nearly three weeks on the back of sustained dollar inflows into domestic shares ahead of election results.

May 15, 2014

Japan Q1 Growth Fastest in more than 2 years Before Tax Hike

Japan's economy grew in the January-March quarter at the fastest pace in more than two years as consumers rushed to spend before a sales-tax hike and business investment rose in a sign of confidence in the prospects for future growth.

May 15, 2014

Asian Shares Tread Water, Bonds Supported

Asian shares pared early losses on Thursday but held below the previous session's one-month highs, while expectations of credit easing by the European Central Bank knocked yields on U.S. and European bonds.

May 15, 2014

Asian Shares Edge up, Euro Pressured

Asian shares inched up on Wednesday, while the euro wobbled close to five-week lows on heightened speculation of more European Central Bank stimulus next month.

May 14, 2014

Asia Sidesteps Ukraine Woes, Vote Hopes Spur Indian Stocks

Asian shares and the dollar rose on Tuesday as tensions in Ukraine were eclipsed by a strong night on Wall Street, with Indian equities rallying hard on hopes an election victory for the business-friendly opposition party would spur a revival in the region's third-biggest economy.

May 13, 2014

SEBI 'Keeping Close Watch' after Shares Surge - Source

The Securities and Exchange Board of India (SEBI) is keeping a close watch on markets after shares rallied to record highs on speculation that exit polls would show the opposition Bharatiya Janata Party and its allies winning a majority in the election, a senior official with direct knowledge of the matter told Reuters.

May 13, 2014

Labourers carry EVMs at an election material distribution centre on the eve of the final phase of general election in Kolkata

New Government Set to Inherit Wobbly Economy

India is on the cusp of political change that is widely expected to infuse a new life into an economy that is struggling to break away from a tale of weak growth and high inflation.

May 12, 2014

more-data-needed-to-be-confident-on-economic-pick-up-raghuram-rajan

RBI Chief Stresses his Independence from Government

The head of the Reserve Bank of India (RBI) said on Friday that he - and not the government - was responsible for setting monetary policy, asserting his independence in taking a hawkish stance on inflation amid an election hinging on how to revive economic growth.

May 10, 2014