India is set to welcome billions of dollars of foreign inflows when JPMorgan adds the country’s sovereign debt to its emerging markets index on Friday
A move that some analysts say will leave it more vulnerable to fickle flows of hot money. The inclusion of India marks the first time the bonds of the world’s fastest-growing large economy have been included in a major benchmark and is the latest move to open up a once closed-off market. It was only in 2020 that India removed foreign ownership restrictions on some rupee-denominated debt. The inclusion of 28 government bonds worth more than $400bn will give India a 10 per cent share of the widely tracked measure, according to JPMorgan. About $11bn has flowed into Indian bonds as investors position themselves ahead of the formal inclusion, according to Goldman Sachs. The bank expects a further $30bn to arrive as the bonds are gradually incorporated into the index over the next 10 months, raising foreign ownership from around 2 per cent to about 5 per cent. Source: FT Link to the article >>>
Japan's Yen weakens beyond 160 per Dollar, the weakest level since 1986.
Source: Bloomberg, HolgerZ
How India's rupee went from most to least volatile currency in Asia
Source : Bloomberg
Asset Managers have built the largest Japanese Yen short position in history
Source: Bloomberg, Barchart
China’s housing market slump is deepening, which is putting pressure on industrial metals.
Here are new home prices (month-over-month). Could it be a positive for GOLD demand? Source: Ronnie Stoeferle, The Daily Shot
As the yen teeters toward 160, Japan says it's ready to intervene in the Yen's collapse 24 hours a day if necessary 👀
Note that previous interventions have been unsuccessful, to say the least... Source: Barchart
Interesting article by The Wall Street Journal ->
US dollar stable coin BOOST DEMAND for US government bonds and help the US keep up with China... Source: Radar, WSJ
#china #macro: Retail sales beat expectations
The strong growth in retail spending is particularly notable given the continued pressure on the property sector, with negative spillovers to household sentiment. It’s probably a relief to a government looking to reset the economy over time. Source: CNBC. Bloomberg, Mohamed El Erian
