To access a PDF version of this newsletter, please click here here If you would like to receive this newsletter via email, please register at: here FACTORS TO WATCH No major events scheduled for the day. LIVECHAT-BONDS FOCUS Yoruk Bahceli, Reuters' bonds correspondent, answers questions on European govvies. To join the conversation at 5:00 pm IST, click here refini.tv/2P8N0Wp INDIA TOP NEWS • India plans new law to protect foreign investment - sources India is planning a new law to safeguard foreign investment by speeding up dispute resolution, aiming to attract more capital from overseas to boost stuttering domestic growth, two officials with direct knowledge of the matter told Reuters. • India plans cuts to imports from Malaysia, Turkey in Kashmir row India is planning to cut some imports from Turkey and widen curbs on palm oil from Malaysia to oil, gas and other products, government officials said, targeting the two Muslim-majority countries for their criticism of India's policy towards Kashmir. • Under fire in India, Amazon offers small business owners $1 billion olive branch Amazon.com Inc CEO Jeff Bezos said his company will invest $1 billion to bring small businesses online in India, reaching out to some of his fiercest critics in a goodwill visit that saw him donning traditional Indian attire and fly a kite with children. • India's exports decline for fifth straight month in December, trade deficit narrows India's merchandise exports shrank 1.8% in December, falling for the fifth straight month, while the trade deficit narrowed to $11.25 billion from a year ago, helped by lower oil imports, the Trade Ministry said in a statement said on Wednesday. • India has not closed door on China-backed Asian trade deal - foreign minister India has not closed the door on a China-led regional economic pact, even though Asia’s third-largest country pulled out of the deal last November, Foreign Minister Subrahmanyam Jaishankar said on Wednesday. SINO-U.S. PHASE 1 TRADE DEAL • U.S. and China tiptoe around holes in new trade agreement The United States and China signed an initial trade deal on Wednesday that will roll back some tariffs and boost Chinese purchases of U.S. products, defusing an 18-month row between the world's two largest economies but leaving a number of sore spots unresolved. • U.S.-China trade deal touts financial sector wins, but there's a sense of deja vu • China's 'market condition' caveat on U.S. agriculture purchases adds to trade deal doubts • China to buy rare earths from U.S. as part of trade pact • FACTBOX -What's in the U.S.-China Phase 1 trade deal GLOBAL TOP NEWS • U.S. House sends Trump impeachment charges to Senate for trial The Democratic-led House of Representatives voted on Wednesday to send two formal charges against President Donald Trump to the Senate, clearing the way for only the third impeachment trial of a U.S. president to begin in earnest next week. • Putin shake-up could keep him in power past 2024 as cabinet steps aside Russian President Vladimir Putin proposed constitutional changes on Wednesday that would give him scope to extend his grip on power after leaving the presidency, and picked a new prime minister after Dmitry Medvedev and his cabinet stepped down. • China's December home price growth hits slowest annual pace in almost 1-1/2 years China's new home prices grew at their weakest pace in 17 months in December, with broader curbs on the sector continuing to cool the market in a further blow to the sputtering economy. LOCAL MARKETS OUTLOOK (As reported by NewsRise) • SGX Nifty nearest-month futures were little changed at 12,356.00. • The Indian rupee is expected to open little changed against the dollar amid mixed Asian cues following the signing of the phase-one trade deal between the U.S. and China. • Indian government bonds are likely to open higher, on hopes that the central bank may announce another round of its so-called special open market operation today. The yield on the benchmark 6.45% bond maturing in 2029 is likely to trade in a range of 6.59%-6.65% today. GLOBAL MARKETS • The Dow ended above 29,000 for the first time on Wednesday and the S&P 500 also closed at a record high after the United States and China signed a Phase 1 trade agreement and pledged to resolve a tariff dispute that has roiled Wall Street for over a year. • World stocks inched ahead to a record high after the United States and China signed an initial deal to defuse their 18-month trade war, though financial markets were wary as a number of thorny issues remained unresolved. • The U.S. dollar gave a little ground to riskier Asian currencies, as investors hoped the Sino-U.S. trade deal could herald warmer relations between the world's two biggest economies and help to revive global growth. • U.S. Treasury yields declined on Wednesday as investors took stock of an initial U.S.-China trade deal and repositioned around new data showing producer prices barely rose in December. • Oil prices rose, propelled higher by the long-anticipated signing of an initial trade deal between Washington and Beijing that sets the stage for a potentially huge increase in energy supplies from the United States to China. • Gold prices held steady as investors remained concerned about existing tariffs and unresolved issues after Washington and Beijing signed a partial trade deal. CLOSE FII INVESTMENTS EQUITIES DEBT PNDF spot 70.82/70.85 January 15 (331.14) crore 425.36 crore 10-yr bond yield 6.62% Month-to-date 405 crore (7,986) crore (FII investment numbers are in Indian rupees. Source: National Securities Depository Limited) For additional data: India govt bond market volumes Stock market reports Non-deliverable forwards data Corporate debt stories [IN CORPD] Local market closing/intraday levels [IN SNAPSHOT] Monthly inflows [INFLOWS RTRS TABLE IN] ($1 = 70.71 Indian rupees) (Compiled by Siddharth Athreya V in Bengaluru)
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