New Delhi: Investors are fleeing equities. Stock markets across the world slumped on fears that the global economy is faltering.
Overnight, Wall Street suffered the worst sell-off in two years on fears that the US is staring at another recession. The benchmark stock market indices - Dow Jones, S&P 500 and Nasdaq tumbled by over 4% each.
The sell off on Wall Street is sending shock waves in Asian markets. Stock markets in Japan and South Korea lost over 3% each in opening deals as investors sold stocks of companies that depend on the global economy for a majority of their revenues.
The panic has also gripped the commodity market too. Brent crude fell below $110 to $107 a barrel on speculation that demand for the commodity might contract.
Diesel car manufacturers have a reason to worry. In a debate on the price rise, Finance minister Pranab Mukherjee said the government can consider doing away with diesel subsidies for passenger car owners.
The finance minister also said that the government is moving towards decontrolling diesel prices completely. Read more...-
The government is expected to clear a new financing tool that would help infrastructure project developers access funds at a cheaper rate. The product is expected to provide funding support of around Rs 15,000 crore. Read more...
GVK Power and Infrastructure is likely to sell a stake in the seven oil & gas blocks it owns in the western coast of India. It is the main investor in these blocks with a 74% stake, while BHP Billiton holds the rest.
Finally, in a surprise move, Pakistan’s central bank has reduced its policy rate by 50 basis points to 13.5%. The move came as a surprise to market participants and economists as they were expecting the central bank to maintain a tight monetary policy until inflationary pressures subside. Read more to find out why Pakistan’s central bank thinks otherwise. Read more...