&w=3840&q=100)
Rupee recoups early losses to close stronger; ends higher at 85.68/$
The domestic currency closed 2 paise higher at 85.68 against the dollar on Wednesday, according to Bloomberg. The rupee has depreciated by 0.27 per cent against the greenback in the current financial year, and has witnessed 0.08 per cent depreciation in the current calendar year.
A vigilance is warranted as the US Dollar Index strengthens and long-term US and Japanese bond yields surge, potentially sparking risk-off sentiment in global markets, according to Anindya Banerjee, head of currency and commodity, Kotak Securities. "We anticipate dollar-rupee to trade within a 85.50–86.50 range on the spot market, with an upward bias."
Donald Trump said he would not offer extensions on country-specific levies, which will be effective in August. He slapped a 50 per cent levy on imports of copper, sending the commodity futures to their largest intraday gain in many decades. Drug companies could face a tax as high as 200 per cent.
Even as he reiterated that a deal with India is close, US President Donald Trump said the South Asian country will face an additional 10 per cent levy for its participation in Brics.
The rupee gained on Tuesday on expectations of an announcement of the US-India mini trade deal, but no such update came through overnight, according to Anil Kumar Bhansali, head of treasury and executive director at Finrex Treasury Advisors LLP.
The dollar index gained on the tariff announcement. The measure of the greenback against a basket of six major currencies was up 0.5 per cent at 97.56. Most Asian currencies traded lower, while equity markets across the region posted mixed trends.
Investors eye the FOMC Minutes, API crude oil stock change, and consumer credit change from the US, as well as inflation data from China.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mint
29 minutes ago
- Mint
Moutai Posts Worst Growth in Years as Chinese Cut Back on Liquor
(Bloomberg) -- Kweichow Moutai Co. delivered its worst six-month growth in sales or profit in years as China's top distiller struggles with weak consumer demand for premium beverages. First-half revenue increased 9.2% from a year earlier to 91.09 billion yuan ($12.7 billion), while net income climbed 8.9% to 45.4 billion yuan, the company reported Tuesday. Those are the slowest semiannual increases since at least 2016, according to data compiled by Bloomberg. The distiller, which has targeted sales growth of about 9% for the year, has seen flagship liquor Feitian's wholesale price — the fee Moutai distributors charge alcohol retailers — continue to slide and even reach a record low this year, as consumers pulled back on spending amid economic uncertainty in China. Wholesale prices for Feitian 2024 and Feitian 2025 in original packaging have declined by 16% to 17% year-to-date, according to Bloomberg Intelligence analyst Ada Li. In a further blow to liquor prices, China's government in May issued a notice reminding officials to cut wasteful spending on travel, food and office space. The austerity drive could further risk tanking demand for liquor at government banquets and corporate events. The company even replaced its signature liquor with blueberry juice at a buffet during its annual shareholders meeting that month, local media reported. To address falling prices, Moutai distributors in some provinces have adopted supply restrictions to channels including e-commerce platforms, according to a local media report. Still, Moutai's earnings have been largely shielded from the volatility in wholesale prices as it sells its sorghum-based liquor, known as baijiu, to distributors at a fixed price of 1,169 yuan per 500 milliliter bottle. Smaller baijiu makers have been more exposed. Sichuan Swellfun Co.'s profit slumped 57% and sales fell 13% in the first half, according to a preliminary earnings report. Jiugui Liquor Co. has warned first-half net income dropped by at least 90% and revenue to shrank by 43%. 'A strong rebound in baijiu is unlikely through year-end, as new anti-extravagance rules dampen demand and wholesale prices amid destocking and tight inventory controls,' said Bloomberg Intelligence's Li. Still, the fallout from the latest austerity push may be less severe than a crackdown in 2012, thanks to more adaptable producers and already-reduced government demand, she added. Moutai shares have been under pressure due to the wholesale price weakness. The stock dropped 5.7% so far this year, compared with a 5.3% gain in the Shanghai Shenzhen CSI 300 Index. An index of China-listed liquor makers has fallen 8.8% this year. --With assistance from Foster Wong. More stories like this are available on
The Print
43 minutes ago
- The Print
Indian refiners can do without Russian oil, but with trade-offs
US President Donald Trump last week announced an additional 25 per cent tariff on US imports from India — raising the overall duty to 50 per cent — as a penalty for the country's continued imports of Russian oil. Russian crude supports high distillate yields – the share of crude converted into fuels like petrol, diesel, and jet fuel through distillation. Replacing Russian crude, which accounts for up to 38 per cent of India's refinery intake, with alternatives will shift yields, resulting in lower middle distillates (diesel and jet fuel) and higher residue outputs, according to global real-time data and analytics provider Kpler. New Delhi, Aug 10 (PTI) Indian refiners, the world's biggest user of Russian oil, can operate without supplies from Moscow from a technical standpoint, but the shift would involve major economic and strategic trade-offs, analysts said. Since the steep tariffs are likely to hit the USD 27 billion of non-exempt exports that India does to the US, there has been chatter around stopping or curtailing oil imports from Russia. 'Indian refiners can operate without Russian crude from a technical standpoint, but the shift would involve major economic and strategic trade-offs,' Kpler said in a report, 'US Tariffs on Indian Imports: Implications for Energy Markets & Trade Flows'. India turned to purchasing Russian oil sold at a discount after Western countries imposed sanctions on Moscow and shunned its supplies over its invasion of Ukraine in February 2022. Consequently, from a mere 1.7 per cent share in total oil imports in 2019-20 (FY20), Russia's share increased to 35.1 per cent in FY25, and it is now the biggest oil supplier to India. In terms of volume, India imported 88 million tonnes from Russia in FY25, out of the total shipment of 245 million tonnes. In July, India received 1.6 million barrels per day of crude from Russia, ahead of China's nearly 1 million bpd and Turkey's around 5,00,000 bpd. Kpler said deep discounts and strong compatibility with India's refining systems led to a surge in imports of Russian Ural crude oil. 'Russian crude supports high distillate yields (diesel and jet fuel) and is ideally suited to India's advanced refining infrastructure. It has enabled both state-owned and private refiners to operate above nameplate capacity while maintaining strong margins. 'A reversal of this will result in a mild yield shift (lower middle distillate yields, higher residue yields) and probably a small reduction in primary throughput rates, as margins will no longer command a sizeable premium against regional benchmarks, considering existing discounts on Russian oil,' Kpler said. The Indian government has issued diplomatic but firm responses to the US tariffs, emphasising the importance of maintaining energy security. 'Should Russian oil become inaccessible, India could face an additional USD 3-5 billion in annual import costs (based on a USD 5 per barrel premium on 1.8 million bpd). If global prices rise further (a scenario in which Russian crude exports are being curtailed, in the absence of sufficient buying interest from India), the financial burden could increase significantly,' the report said. This may prompt the government to cap retail fuel prices, which could strain fiscal balances. A spike in the import bill could even lead to a reduction in overall crude purchases. India's limited storage capacity further constrains its ability to manage such disruptions. While Russian flows to India continue under a 'business-as-usual' stance, the escalating US rhetoric has reopened conversations about supply diversification, with some Indian refiners reportedly booking increased volumes of Middle Eastern crude. According to Kpler, replacing 1.8 million barrels per day (bpd) of Russian crude would require a multi-regional approach. The Middle East remains the most viable option operationally, grades such as WTI Midland from the US could contribute 2,00,000-4,00,000 bpd. These (US crude) are lighter and yield less diesel, a disadvantage for India's distillate-heavy demand. Long-haul freight and cost considerations will also restrict scalability, it said. West Africa and Latin America (LatAm) crudes offer moderate potential. 'A balanced replacement strategy may involve 60-70 per cent of substitute volumes from the Middle East, with US and African/LatAm crudes serving as tactical fillers. Nevertheless, none match Russian barrels in cost, quality, or reliability (some of the Russia-to-India barrels have already been contracted under term agreements),' it noted. According to Kpler, Indian refiners can technically adapt to the loss of Russian barrels, but with significant economic consequences. 'Replacing 1.7-2.0 million bpd of discounted, medium-sour crude would erode refining margins and misalign product yields. Lighter substitutes like WTI or West African grades produce more gasoline and naphtha, reducing diesel output and hurting both domestic and export economics.' Even Middle Eastern grades, while closer in quality, are priced tightly to official selling prices (OSP), leaving limited arbitrage opportunities. 'In addition to higher feedstock costs, Indian refiners would face elevated freight and credit charges,' it said. 'The transition is commercially painful, even if technically feasible.' PTI ANZ BAL BAL This report is auto-generated from PTI news service. ThePrint holds no responsibility for its content.
Time of India
43 minutes ago
- Time of India
This 130-year-old US photography brand may soon go out of business; company says: 'These conditions raise substantial doubt about...'
Popular photography brand, Eastman Kodak Co ., has raised "substantial doubt" about continuing its operations in the coming days. The 130-year-old company has suggested that it may soon go out of business. The company stated that it may not be able to meet its debt obligations, a disclosure that also reportedly caused its shares to fall by over 13% recently. Based in Rochester, New York, Kodak reported having $155 million in cash and cash equivalents as of June 30, which includes $70 million held within the United States. The company's financial struggles follow a move last year (which was first reported by The Wall Street Journal) that ended its retirement income plan to reduce its debt burden. What Kodak said in its regulatory filing In its regulatory (as seen by The Independent), Kodak said: 'Kodak has debt coming due within 12 months and does not have committed financing or available liquidity to meet such debt obligations if they were to become due in accordance with their current terms. These conditions raise substantial doubt about Kodak's ability to continue as a going concern' In a recent statement, David Bullwinkle, Kodak's CFO, said that the company expects to know by this week about how it will meet its obligations to pay all pension plan participants and expects to complete the reversion by December. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Indonesia: New Container Houses (Prices May Surprise You) Container House | Search Ads Search Now Undo Founded by George Eastman in 1880, Kodak played a significant role in making photography accessible in the early 20th century. It became widely recognised for its Brownie and Instamatic cameras, along with its yellow-and-red film boxes. The company first faced setbacks due to competition from its Japanese rivals and later struggled to adapt to the transition from film to digital technology. In 2012, Kodak filed for bankruptcy protection after facing rising competition, the growing adoption of digital photography, and increasing debt. Following this, the company sold several businesses and patents and shut down the camera manufacturing unit that had established its reputation. A year later, it received approval to exit court oversight, shifting its focus to becoming a smaller company specialising in commercial and packaging printing. Currently, Kodak is close to completing a manufacturing plant for regulated pharmaceutical products. It already produces unregulated key starting materials for pharmaceuticals, while production at the upgraded facility is expected to begin later this year. UBON SP-85: Portable Party Speaker On A Budget AI Masterclass for Students. Upskill Young Ones Today!– Join Now
