Airbus on Wednesday increased its estimate of the number of new aircraft needed over the coming two decades as airlines seek more fuel-efficient planes even as it trimmed its forecast for the increase in demand for air travel.

In its latest Global Market Forecast for the next 20 years, the European aircraft maker said it expects air traffic to grow by 4.3 per cent annually, a drop from the 4.4 per cent annual growth it forecast last year.

Nevertheless, Airbus now expects even higher demand for new aircraft than it did last year thanks to airlines increasingly retiring older planes for new ones that offer lower operating costs as they consume less fuel.

Airbus anticipates demand for new aircraft over the coming two decades at 39,210 planes, a rise of nearly 2,000 from its forecast last year, due to a sharp increase in replacements.

Unlike last year, it did not provide a cost estimate.

"Developments in superior fuel efficiency are further driving demand to replace existing less fuel-efficient aircraft," said Airbus in a statement.

However, it scaled back the number of planes it expects airlines to acquire to meet growth in demand for air travel by more than 1,500 aircraft to 25,000.

Airbus said that nevertheless, the annual growth of more than 4 per cent reflects the resilient nature of aviation from economic shocks and its increasingly key role in the global economy.

"Economies thrive on air transportation. People and goods want to connect," said Christian Scherer, Airbus Chief Commercial Officer and Head of Airbus International.

"Globally, commercial aviation stimulates GDP growth and supports 65 million livelihoods, demonstrating the immense benefits our business brings to all societies and global trade," he added.

The firm also stressed that with its latest more fuel-efficient models it will help the airline industry limit its environmental impact.

"Airbus believes it will largely contribute to the progressive decarbonisation of the air transport industry and the objective of carbon-neutral growth from 2020 while connecting more people globally," it said.

The airline industry aims to freeze its carbon footprint at its 2020 level thanks to more fuel-efficient aircraft and through offsets like planting trees

Airbus on Wednesday increased its estimate of the number of new aircraft needed over the coming two decades as airlines seek more fuel-efficient planes even as it trimmed its forecast for the increase in demand for air travel.

Airbus on Wednesday increased its estimate of the number of new aircraft needed over the coming two decades as airlines seek more fuel-efficient planes even as it trimmed its forecast for the increase in demand for air travel. In its latest Global Market Forecast for the next 20 years, the European aircraft maker said it expects air traffic to grow by 4.3 per cent annually, a drop from the 4.4 per cent annual growth it forecast last year. Nevertheless, Airbus now expects even higher demand for new aircraft than it did last year thanks to airlines increasingly retiring older planes for new ones that offer lower operating costs as they consume less fuel. Airbus anticipates demand for new aircraft over the coming two decades at 39,210 planes, a rise of nearly 2,000 from its forecast last year, due to a sharp increase in replacements. Unlike last year, it did not provide a cost estimate. "Developments in superior fuel efficiency are further driving demand to replace existing less fuel-efficient aircraft," said Airbus in a statement. However, it scaled back the number of planes it expects airlines to acquire to meet growth in demand for air travel by more than 1,500 aircraft to 25,000. Airbus said that nevertheless, the annual growth of more than 4 per cent reflects the resilient nature of aviation from economic shocks and its increasingly key role in the global economy. "Economies thrive on air transportation. People and goods want to connect," said Christian Scherer, Airbus Chief Commercial Officer and Head of Airbus International. "Globally, commercial aviation stimulates GDP growth and supports 65 million livelihoods, demonstrating the immense benefits our business brings to all societies and global trade," he added. The firm also stressed that with its latest more fuel-efficient models it will help the airline industry limit its environmental impact. "Airbus believes it will largely contribute to the progressive decarbonisation of the air transport industry and the objective of carbon-neutral growth from 2020 while connecting more people globally," it said. The airline industry aims to freeze its carbon footprint at its 2020 level thanks to more fuel-efficient aircraft and through offsets like planting trees

Airbus ups estimate of 20-year demand for new planes

Indian shares closed slightly higher on Wednesday, with oil marketing companies leading gains, as crude prices retreated from the sharp surge earlier this week.

The broader NSE Nifty closed up 0.21% at 10,840.65, while the benchmark Sensex index rose 0.23% to 36,563.88.

Oil prices extended losses after Saudi Arabia assured that full production would be restored quickly after last weekend's attacks on its facilities.

Bharat Petroleum Corporation Ltd ended 3.6% higher, while Indian Oil Corporation Ltd climbed 2.4%.

India's cabinet on Wednesday banned production and import of electronic cigarettes, sending stocks of cigarette makers ITC Ltd and Godfrey Phillips India Ltd higher by 0.9% and 5.3%, respectively.

Steelmakers also contributed to gains, with JSW Steel Ltd and Tata Steel Ltd advancing 2.4% and 3.9%, respectively.

Indian shares closed slightly higher on Wednesday, with oil marketing companies leading gains, as crude prices retreated from the sharp surge earlier this week. The broader NSE Nifty closed up 0.

Indian shares closed slightly higher on Wednesday, with oil marketing companies leading gains, as crude prices retreated from the sharp surge earlier this week. The broader NSE Nifty closed up 0.21% at 10,840.65, while the benchmark Sensex index rose 0.23% to 36,563.88. Oil prices extended losses after Saudi Arabia assured that full production would be restored quickly after last weekend's attacks on its facilities. Bharat Petroleum Corporation Ltd ended 3.6% higher, while Indian Oil Corporation Ltd climbed 2.4%. India's cabinet on Wednesday banned production and import of electronic cigarettes, sending stocks of cigarette makers ITC Ltd and Godfrey Phillips India Ltd higher by 0.9% and 5.3%, respectively. Steelmakers also contributed to gains, with JSW Steel Ltd and Tata Steel Ltd advancing 2.4% and 3.9%, respectively.

Nifty, Sensex end higher on rally in steelmakers, energy stocks

Oil prices were little changed on Wednesday, steadying after Saudi Arabia said it will restore by the end of the month production lost in weekend attacks on its facilities.

Prices plummeted 6 per cent on Tuesday after Saudi Arabia's energy minister said the country had managed to restore oil supplies to customers to where they stood before the <a href="https://www.wionews.com/world/saudi-aramco-pursues-ipo-planning-despite-attack-damage-doubts-250228">attacks</a> on its facilities that shut 5 per cent of global oil output by drawing from its huge inventories.

But tension in the region remained elevated after the United States said it believed the attacks on the world's top oil exporter originated in southwestern Iran. Iran has denied involvement in the strikes.

Brent crude oil futures were flat at $64.55 a barrel by 0732 GMT. US West Texas Intermediate (WTI) crude futures were down 15 cents, or 0.1 per cent, to $59.19 a barrel, after sinking 5.7 per cent on Tuesday.

"Considering limited spare (production) capacity outside Saudi Arabia and risks of renewed attacks on Saudi energy infrastructure, a risk premium is likely to stay on oil prices in the foreseeable future," UBS analysts said in a note.

Energy Minister Prince Abdulaziz bin Salman said on Tuesday that average oil production in September and October would be 9.89 million barrels per day and that the world's top oil exporter would ensure full oil supply commitments to its customers this month.

<a href="https://www.wionews.com/world/saudi-aramco-trading-arm-wants-refined-products-after-attacks-sources-250148">Saudi Aramco</a> has informed some Asian refiners that it will supply full allocated volumes of crude oil in October, albeit with some changes.

Relations between the United States and Iran have deteriorated since US President Donald Trump pulled out of the Iran nuclear accord last year and reimposed sanctions on its oil exports.

Tehran on Tuesday ruled out talks with Trump.

"The oil market is facing challenging times. Recent attacks on oil facilities in Saudi Arabia have painfully demonstrated the risks to oil supply, which is why short-term price spikes are possible at any time," Commerzbank analyst Carsten Fritsch said.

Still, fundamental supply and demand balances in the oil market are deteriorating, Fritsch added, forecasting Brent oil prices of $60 a barrel next year.

"Demand growth is weakening, oil supply outside OPEC is rising significantly and OPEC+'s production discipline has recently faded," he said.

The Organization of the Petroleum Exporting Countries and a number of other producing nations including Russia agreed last year to cut output by 1.2 million bpd to reduce global stocks and prop up prices.

US crude inventories rose by 592,000 barrels in the week ended Sept. 13 to 422.5 million, data from industry group the American Petroleum Institute showed on Tuesday. Analysts had expected a decrease of 2.5 million barrels.

Official US government data will be released later on Wednesday.

Oil prices were little changed on Wednesday, steadying after Saudi Arabia said it will restore by the end of the month production lost in weekend attacks on its facilities.

Oil prices were little changed on Wednesday, steadying after Saudi Arabia said it will restore by the end of the month production lost in weekend attacks on its facilities. Prices plummeted 6 per cent on Tuesday after Saudi Arabia's energy minister said the country had managed to restore oil supplies to customers to where they stood before the attacks on its facilities that shut 5 per cent of global oil output by drawing from its huge inventories. But tension in the region remained elevated after the United States said it believed the attacks on the world's top oil exporter originated in southwestern Iran. Iran has denied involvement in the strikes. Brent crude oil futures were flat at $64.55 a barrel by 0732 GMT. US West Texas Intermediate (WTI) crude futures were down 15 cents, or 0.1 per cent, to $59.19 a barrel, after sinking 5.7 per cent on Tuesday. "Considering limited spare (production) capacity outside Saudi Arabia and risks of renewed attacks on Saudi energy infrastructure, a risk premium is likely to stay on oil prices in the foreseeable future," UBS analysts said in a note. Energy Minister Prince Abdulaziz bin Salman said on Tuesday that average oil production in September and October would be 9.89 million barrels per day and that the world's top oil exporter would ensure full oil supply commitments to its customers this month. Saudi Aramco has informed some Asian refiners that it will supply full allocated volumes of crude oil in October, albeit with some changes. Relations between the United States and Iran have deteriorated since US President Donald Trump pulled out of the Iran nuclear accord last year and reimposed sanctions on its oil exports. Tehran on Tuesday ruled out talks with Trump. "The oil market is facing challenging times. Recent attacks on oil facilities in Saudi Arabia have painfully demonstrated the risks to oil supply, which is why short-term price spikes are possible at any time," Commerzbank analyst Carsten Fritsch said. Still, fundamental supply and demand balances in the oil market are deteriorating, Fritsch added, forecasting Brent oil prices of $60 a barrel next year. "Demand growth is weakening, oil supply outside OPEC is rising significantly and OPEC+'s production discipline has recently faded," he said. The Organization of the Petroleum Exporting Countries and a number of other producing nations including Russia agreed last year to cut output by 1.2 million bpd to reduce global stocks and prop up prices. US crude inventories rose by 592,000 barrels in the week ended Sept. 13 to 422.5 million, data from industry group the American Petroleum Institute showed on Tuesday. Analysts had expected a decrease of 2.5 million barrels. Official US government data will be released later on Wednesday.

Oil steadies after Saudi pledges to restore output lost in attacks

Forty-four members of the US Congress have urged President Donald Trump's trade representative to restore trade concessions to India, saying the withdrawal of the privilege had led to retaliatory tariffs from New Delhi which were hurting US industry.

In June, the United States ended its preferential trade treatment for India, removing it from the Generalized System of Preferences (GSP) programme that allowed duty-free entry for up to $5.6 billion worth of its annual exports to the United States.

The elimination of GSP brought higher retaliatory tariffs from New Delhi on 28 US products including almonds, apples and walnuts.

In the letter addressed to United State Trade Representative Robert Lighthizer and dated September 17, the members of Congress said, "Just as US industries are harmed by lack of fair and reciprocal access to India's market, American companies and workers also are harmed by new tariffs due to the GSP termination."

A lot of American jobs depend on the trade between India and the United States, the US lawmakers said in the letter seen by Reuters.

The letter comes days ahead of a meeting between Trump and Indian Prime Minister Narendra Modi.

After the Trump administration’s decision to remove trade privileges from Indian products under the GSP, US and Indian trade negotiators met in July. But they failed to make any major progress on the issue of tariffs and other protectionist measures imposed by both sides.

The two sides had resumed trade talks after Trump and Modi met on the sidelines of the G20 summit in June and agreed to seek to deepen the two countries’ relationship.

Other than seeking the rollback of Indian tariffs imposed on agricultural products like almonds and apples, Washington has also expressed its concerns over India’s tightening of regulations that have undermined major US e-commerce companies like Walmart’s Flipkart and Amazon.

India is by far the largest buyer of US almonds, paying $543 million for more than half of US almond exports in 2018, according to US Department of Agriculture. It is the second-largest buyer of US apples, taking $156 million worth in 2018.

On September 22, Trump, who has repeatedly called out India for its high tariffs, will travel to Houston, Texas, to participate in an event with Modi and to "discuss ways to deepen their energy and trade relationship."

Modi will visit Houston to participate in an event called "Howdy Modi! Shared Dreams, Bright Futures," at the NRG Stadium which is expected to draw tens of thousands of people.

Forty-four members of the US Congress have urged President Donald Trump's trade representative to restore trade concessions to India, saying the withdrawal of the privilege had led to retaliatory tariffs from New Delhi which were hurting US industry.

Forty-four members of the US Congress have urged President Donald Trump's trade representative to restore trade concessions to India, saying the withdrawal of the privilege had led to retaliatory tariffs from New Delhi which were hurting US industry. In June, the United States ended its preferential trade treatment for India, removing it from the Generalized System of Preferences (GSP) programme that allowed duty-free entry for up to $5.6 billion worth of its annual exports to the United States. The elimination of GSP brought higher retaliatory tariffs from New Delhi on 28 US products including almonds, apples and walnuts. In the letter addressed to United State Trade Representative Robert Lighthizer and dated September 17, the members of Congress said, "Just as US industries are harmed by lack of fair and reciprocal access to India's market, American companies and workers also are harmed by new tariffs due to the GSP termination." A lot of American jobs depend on the trade between India and the United States, the US lawmakers said in the letter seen by Reuters. The letter comes days ahead of a meeting between Trump and Indian Prime Minister Narendra Modi. After the Trump administration’s decision to remove trade privileges from Indian products under the GSP, US and Indian trade negotiators met in July. But they failed to make any major progress on the issue of tariffs and other protectionist measures imposed by both sides. The two sides had resumed trade talks after Trump and Modi met on the sidelines of the G20 summit in June and agreed to seek to deepen the two countries’ relationship. Other than seeking the rollback of Indian tariffs imposed on agricultural products like almonds and apples, Washington has also expressed its concerns over India’s tightening of regulations that have undermined major US e-commerce companies like Walmart’s Flipkart and Amazon. India is by far the largest buyer of US almonds, paying $543 million for more than half of US almond exports in 2018, according to US Department of Agriculture. It is the second-largest buyer of US apples, taking $156 million worth in 2018. On September 22, Trump, who has repeatedly called out India for its high tariffs, will travel to Houston, Texas, to participate in an event with Modi and to "discuss ways to deepen their energy and trade relationship." Modi will visit Houston to participate in an event called "Howdy Modi! Shared Dreams, Bright Futures," at the NRG Stadium which is expected to draw tens of thousands of people.

US lawmakers urge Trump administration to restore India's trade privileges

Indian shares edged lower for a second straight session on Tuesday on fears that a surge in crude prices following attacks on Saudi oil facilities could hurt the economy further.

Energy stocks were down in early trading, even as oil prices shed some of their massive gains on Tuesday after the United States flagged the possible release of crude reserves.

The broader NSE Nifty was down 0.28 per cent&nbsp;at 10,972.45 as of 0419 GMT, while the benchmark BSE Sensex was 0.3 per cent&nbsp;lower at 37,013.09. The rupee weakened 0.22 pe cent&nbsp;to 71.76 against the dollar.

Investors in other Asian markets were also on the sidelines ahead of an expected interest rate cut from the U.S. Federal Reserve on Wednesday.

With the threat of military action over the attacks keeping crude prices elevated, emerging markets such as India - the world`s third-biggest importer of oil - will remain under pressure.

India`s current account and fiscal deficit could take a hit if oil prices continue to rise after the attack, central bank chief Shaktikanta Das said on Monday.

"The jump in crude could affect recovery in the economy, which is hurting from a growth slowdown," said AK Prabhakar, head of research at IDBI Capital in Mumbai.

Oil marketers extended losses to a second day, with Indian Oil Corporation Ltd and Bharat Petroleum Corporation Ltd shedding 1.4 per cent-2.1 per cent.

Indiabulls Housing Finance Ltd slid 3.4 per cent&nbsp;on a report that the central bank had intensified its checks on the mortgage lender and Lakshmi Vilas Bank, which plan to merge, after fresh accusations of wrongdoing and the sudden exit of the bank`s chief executive officer. Lakshmi Vilas Bank shares fell 4.4 per cent.

Trading companies MMTC Ltd and State Trading Corporation of India Ltd plunged between 17 per cent&nbsp;and 18 per cent&nbsp;after a newspaper reported that the government was planning to shut down the companies.

The Nifty IT index, which tracks software companies, fell 0.7 per cent.

Meanwhile, miner Vedanta Ltd climbed 2.5 per cent&nbsp;to its highest in nearly seven weeks, and was the top gainer on both indexes.

Indian shares edged lower for a second straight session on Tuesday on fears that a surge in crude prices following attacks on Saudi oil facilities could hurt the economy further.

Indian shares edged lower for a second straight session on Tuesday on fears that a surge in crude prices following attacks on Saudi oil facilities could hurt the economy further. Energy stocks were down in early trading, even as oil prices shed some of their massive gains on Tuesday after the United States flagged the possible release of crude reserves. The broader NSE Nifty was down 0.28 per cent at 10,972.45 as of 0419 GMT, while the benchmark BSE Sensex was 0.3 per cent lower at 37,013.09. The rupee weakened 0.22 pe cent to 71.76 against the dollar. Investors in other Asian markets were also on the sidelines ahead of an expected interest rate cut from the U.S. Federal Reserve on Wednesday. With the threat of military action over the attacks keeping crude prices elevated, emerging markets such as India - the world`s third-biggest importer of oil - will remain under pressure. India`s current account and fiscal deficit could take a hit if oil prices continue to rise after the attack, central bank chief Shaktikanta Das said on Monday. "The jump in crude could affect recovery in the economy, which is hurting from a growth slowdown," said AK Prabhakar, head of research at IDBI Capital in Mumbai. Oil marketers extended losses to a second day, with Indian Oil Corporation Ltd and Bharat Petroleum Corporation Ltd shedding 1.4 per cent-2.1 per cent. Indiabulls Housing Finance Ltd slid 3.4 per cent on a report that the central bank had intensified its checks on the mortgage lender and Lakshmi Vilas Bank, which plan to merge, after fresh accusations of wrongdoing and the sudden exit of the bank`s chief executive officer. Lakshmi Vilas Bank shares fell 4.4 per cent. Trading companies MMTC Ltd and State Trading Corporation of India Ltd plunged between 17 per cent and 18 per cent after a newspaper reported that the government was planning to shut down the companies. The Nifty IT index, which tracks software companies, fell 0.7 per cent. Meanwhile, miner Vedanta Ltd climbed 2.5 per cent to its highest in nearly seven weeks, and was the top gainer on both indexes.

Nifty, Sensex dip as crude surge seen hurting economy

Saudi Aramco is pressing ahead with its listing plans this week, although some investors and analysts doubt it can now meet its timeline as it has not said when oil output will be restored after attacks on its facilities.

Reuters has reported it could take months for <a href="https://www.wionews.com/world/saudi-aramco-trading-arm-wants-refined-products-after-attacks-sources-250148">Aramco</a>, the world's biggest oil firm, to restore output after Saturday's attacks, which cut production by 5.7 million barrels per day, some 5 per cent of world oil supply.

The state-owned oil group will meet local Saudi banks to discuss the initial public offering (IPO) plans, but bankers at international lenders working on the IPO told Reuters there had been no communication from Aramco's management on any delay.

Aramco, which did not respond to a Reuters request for comment, is continuing to prepare for a local IPO, which the sources said may happen as early as November.

Reuters has reported that Aramco plans to sell 1 per cent this year, in a potential $20 billion deal, and another 1 per cent in 2020 in Riyadh ahead of an international sale.

Three sources close to the deal said meetings scheduled this week with Saudi banks to discuss the underwriting work they will do in the offering are still scheduled to take place.

But other sources, including bankers and <a href="https://www.wionews.com/business-economy/sensex-crashes-over-600-points-after-saudi-arabias-aramco-attacks-250193">investors</a>, said while work would continue, the attacks would have an impact.

"The train has left the station. But it's a pretty major event and a lot will depend on how quickly the damage will be repaired," one banker said.

The Aramco IPO is a pillar of an ambitious economic diversification drive by Crown Prince Mohammed bin Salman, who has put the firm's valuation at $2 trillion. The domestic flotation is the first step of a targeted 5 per cent sale.

"It would seem logical that Aramco's IPO will be delayed while the damage is assessed but beyond this, we would expect that the risk premium that investors will require should the IPO go ahead will now be higher," said Piers Hillier, chief investment officer at Royal London Asset Management.

Saudi Arabia, the world's top crude exporter, recently accelerated plans for the IPO, naming a new chairman for Aramco and mandating 9 banks in top roles.

A separate source with knowledge of the deal said Aramco has already carved up the different tasks for banks such as determining valuations, organizing roadshows and focusing on certain geographic areas.

"The banks continue to work on it until they are told otherwise. The sense is that they want it done as quick as they can," the source said.

Aramco Vulnerability

An Aramco pre-IPO meeting with analysts, both local and international, is scheduled for next week at Aramco's headquarters in Dhahran, two sources, said, with one adding that the meeting would still go ahead as planned despite the attack.

Even before the attack, Aramco was looking to place part of the offering to wealthy Saudi individuals to ensure demand, two other sources familiar with the matter told Reuters.

However, some analysts and investors said the strikes could pose a major setback to the Aramco offering. Oil prices surged oversupply concerns and the threat of a military response to the assault on the heartland of the Saudi oil industry, which US officials blamed on Iran, a charge Tehran denies. Dollar-denominated bonds issued by the Saudi government and Aramco hit multi-week lows on Monday, but rebounded on Tuesday.

"Even if Saudi Arabia’s oil facilities are quickly restored, the weekend’s attacks will raise concerns of potential geopolitical risk and the level of premia required," said Monica Malik, Chief Economist at Abu Dhabi Commercial Bank, in a research note.

"The developments also have significance ahead of the planned part-IPO of Aramco, highlighting the potential vulnerability of its key infrastructure and raising questions over the appropriate level of risk to be factored in the valuation."

Banks including JPMorgan, Morgan Stanley and Goldman Sachs have been appointed to coordinate the deal, which has already faced repeated delays and is crucial for Prince Mohammed's plans to diversify the Saudi economy in an era of low oil prices. 
&nbsp;

Saudi Aramco is pressing ahead with its listing plans this week, although some investors and analysts doubt it can now meet its timeline as it has not said when oil output will be restored after attacks on its facilities.

Saudi Aramco is pressing ahead with its listing plans this week, although some investors and analysts doubt it can now meet its timeline as it has not said when oil output will be restored after attacks on its facilities. Reuters has reported it could take months for Aramco, the world's biggest oil firm, to restore output after Saturday's attacks, which cut production by 5.7 million barrels per day, some 5 per cent of world oil supply. The state-owned oil group will meet local Saudi banks to discuss the initial public offering (IPO) plans, but bankers at international lenders working on the IPO told Reuters there had been no communication from Aramco's management on any delay. Aramco, which did not respond to a Reuters request for comment, is continuing to prepare for a local IPO, which the sources said may happen as early as November. Reuters has reported that Aramco plans to sell 1 per cent this year, in a potential $20 billion deal, and another 1 per cent in 2020 in Riyadh ahead of an international sale. Three sources close to the deal said meetings scheduled this week with Saudi banks to discuss the underwriting work they will do in the offering are still scheduled to take place. But other sources, including bankers and investors, said while work would continue, the attacks would have an impact. "The train has left the station. But it's a pretty major event and a lot will depend on how quickly the damage will be repaired," one banker said. The Aramco IPO is a pillar of an ambitious economic diversification drive by Crown Prince Mohammed bin Salman, who has put the firm's valuation at $2 trillion. The domestic flotation is the first step of a targeted 5 per cent sale. "It would seem logical that Aramco's IPO will be delayed while the damage is assessed but beyond this, we would expect that the risk premium that investors will require should the IPO go ahead will now be higher," said Piers Hillier, chief investment officer at Royal London Asset Management. Saudi Arabia, the world's top crude exporter, recently accelerated plans for the IPO, naming a new chairman for Aramco and mandating 9 banks in top roles. A separate source with knowledge of the deal said Aramco has already carved up the different tasks for banks such as determining valuations, organizing roadshows and focusing on certain geographic areas. "The banks continue to work on it until they are told otherwise. The sense is that they want it done as quick as they can," the source said. Aramco Vulnerability An Aramco pre-IPO meeting with analysts, both local and international, is scheduled for next week at Aramco's headquarters in Dhahran, two sources, said, with one adding that the meeting would still go ahead as planned despite the attack. Even before the attack, Aramco was looking to place part of the offering to wealthy Saudi individuals to ensure demand, two other sources familiar with the matter told Reuters. However, some analysts and investors said the strikes could pose a major setback to the Aramco offering. Oil prices surged oversupply concerns and the threat of a military response to the assault on the heartland of the Saudi oil industry, which US officials blamed on Iran, a charge Tehran denies. Dollar-denominated bonds issued by the Saudi government and Aramco hit multi-week lows on Monday, but rebounded on Tuesday. "Even if Saudi Arabia’s oil facilities are quickly restored, the weekend’s attacks will raise concerns of potential geopolitical risk and the level of premia required," said Monica Malik, Chief Economist at Abu Dhabi Commercial Bank, in a research note. "The developments also have significance ahead of the planned part-IPO of Aramco, highlighting the potential vulnerability of its key infrastructure and raising questions over the appropriate level of risk to be factored in the valuation." Banks including JPMorgan, Morgan Stanley and Goldman Sachs have been appointed to coordinate the deal, which has already faced repeated delays and is crucial for Prince Mohammed's plans to diversify the Saudi economy in an era of low oil prices.

Saudi Aramco pursues IPO planning despite attack damage doubts

Equity indices came under sharp selling pressure for the second consecutive day on Tuesday and wiped out all previous week's gains due to geopolitical tensions and weak global cues.

Rampant across-the-board selling led the <a href="Rampant across-the-board selling led the BSE S&amp;P Sensex to close 642 points or 1.7 per cent down to 36,481 while the Nifty 50 slid by 186 points to 10,818.">BSE S&amp;P Sensex </a>to close 642 points or 1.7 per cent down to 36,481 while the Nifty 50 slid by 186 points to 10,818.

At the National Stock Exchange, all sectoral indices were in the red with Nifty auto down by 3.8 per cent, realty by 3.7 per cent, PSU bank by 3.6 per cent and metal by 2.6 per cent.

Shares of State Trading Corporation (STC) and Metals &amp; Miners Trading Corporation of India (MMTC) plunged by 19.6 per cent and 16.5 per cent respectively following reports that the Ministry of Commerce and Industry has decided to close down the state-owned trading firms.

But sectorally, auto stocks suffered the most with Hero MotoCorp skidding by 6.2 per cent, Tata Motors by 4.9 per cent, Maruti by 4.6 per cent, Eicher Motors by 3.3 per cent and Bajaj Auto by 3 per cent.

Banking stocks too were under pressure with Axis bank down by 4.6 per cent, State Bank of India by 3.7 per cent and IndusInd Bank by 3 per cent.

Market sentiment has been weak since two Saudi Aramco plants at the heart of the kingdom's oil industry, including the world's biggest petroleum processing facility, were attacked by drones on September 14.

India's current account and fiscal deficit could take a hit if oil prices continue to rise after the attack, RBI Governor Shaktikanta Das had said on Monday.

The attack on the two plants -- Abqaiq oil processing facility and Khurais oil field -- resulted in a temporary shortage of 5.7 million barrels per day which is 5 per cent of the global crude supply or 50 per cent of the kingdom's oil output.

The Indian rupee has also weakened sharply and moved towards Rs 72 against the US dollar amid rising demand for the greenback vis-a-vis other currencies overseas and concerns over soaring crude prices following the drone attacks.

Global markets also turned cautious ahead of the two-day meeting of US Federal Open Market Committee. Many experts said the Fed may cut interest rate by 25 basis points.

Meanwhile, oil traded in the negative on Tuesday in Asia as it partly erased yesterday's gains as investors awaited updates regarding the resumption of operations in Saudi Arabia. Brent crude, the international benchmark, fell 0.96 per cent to 68.39 dollars per barrel.

Asia markets were mixed in the trade as investor sentiment remained cautious with China's Shanghai falling by 1.7 per cent and Hong Kong`s Hang Seng declining by 1.2 per cent.

Equity indices came under sharp selling pressure for the second consecutive day on Tuesday and wiped out all previous week's gains due to geopolitical tensions and weak global cues.

Equity indices came under sharp selling pressure for the second consecutive day on Tuesday and wiped out all previous week's gains due to geopolitical tensions and weak global cues. Rampant across-the-board selling led the BSE S&P Sensex to close 642 points or 1.7 per cent down to 36,481 while the Nifty 50 slid by 186 points to 10,818. At the National Stock Exchange, all sectoral indices were in the red with Nifty auto down by 3.8 per cent, realty by 3.7 per cent, PSU bank by 3.6 per cent and metal by 2.6 per cent. Shares of State Trading Corporation (STC) and Metals & Miners Trading Corporation of India (MMTC) plunged by 19.6 per cent and 16.5 per cent respectively following reports that the Ministry of Commerce and Industry has decided to close down the state-owned trading firms. But sectorally, auto stocks suffered the most with Hero MotoCorp skidding by 6.2 per cent, Tata Motors by 4.9 per cent, Maruti by 4.6 per cent, Eicher Motors by 3.3 per cent and Bajaj Auto by 3 per cent. Banking stocks too were under pressure with Axis bank down by 4.6 per cent, State Bank of India by 3.7 per cent and IndusInd Bank by 3 per cent. Market sentiment has been weak since two Saudi Aramco plants at the heart of the kingdom's oil industry, including the world's biggest petroleum processing facility, were attacked by drones on September 14. India's current account and fiscal deficit could take a hit if oil prices continue to rise after the attack, RBI Governor Shaktikanta Das had said on Monday. The attack on the two plants -- Abqaiq oil processing facility and Khurais oil field -- resulted in a temporary shortage of 5.7 million barrels per day which is 5 per cent of the global crude supply or 50 per cent of the kingdom's oil output. The Indian rupee has also weakened sharply and moved towards Rs 72 against the US dollar amid rising demand for the greenback vis-a-vis other currencies overseas and concerns over soaring crude prices following the drone attacks. Global markets also turned cautious ahead of the two-day meeting of US Federal Open Market Committee. Many experts said the Fed may cut interest rate by 25 basis points. Meanwhile, oil traded in the negative on Tuesday in Asia as it partly erased yesterday's gains as investors awaited updates regarding the resumption of operations in Saudi Arabia. Brent crude, the international benchmark, fell 0.96 per cent to 68.39 dollars per barrel. Asia markets were mixed in the trade as investor sentiment remained cautious with China's Shanghai falling by 1.7 per cent and Hong Kong`s Hang Seng declining by 1.2 per cent.

Sensex closes 642 points down after Saudi Arabia's Aramco attacks

Sensex&nbsp;fell over 600 points shortly before the close on Tuesday. The latest dip follows the <a href="https://www.wionews.com/world/oil-falls-more-than-1-per-cent-as-market-awaits-response-to-saudi-oil-attacks-250122">sharp rise in oil prices globally</a> after the attack on Saudi crude oil facilities over the weekend.

At 2:42 pm, the BSE Sensex was trading with a loss of 587.76 points or 1.5 8 per cent at 36,535.55, while the broader index, the Nifty50 fell over 167 points to 10,836.20.

Investors in other Asian markets were also on the sidelines ahead of an expected interest rate cut from the US Federal Reserve on Wednesday.

Watch: Saudi Aramco oil attacks - impact on Indian economy

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With the threat of military action over the attacks keeping crude prices elevated, emerging markets such as India - the world's third-biggest importer of oil - will remain under pressure.

India's current account and fiscal deficit could take a hit if oil prices continue to rise after the attack, central bank chief Shaktikanta Das said on Monday.

Oil marketers extended losses to a second day, with Indian Oil Corporation Ltd and Bharat Petroleum Corporation Ltd shedding 1.4%-2.1%.

Indiabulls Housing Finance Ltd slid 3.4% on a report that the central bank had intensified its checks on the mortgage lender and Lakshmi Vilas Bank, which plan to merge, after fresh accusations of wrongdoing and the sudden exit of the bank's chief executive officer. Lakshmi Vilas Bank shares fell 4.4%.

Trading companies MMTC Ltd and State Trading Corporation of India Ltd plunged between 17% and 18% after a newspaper reported that the government was planning to shut down the companies.

The Nifty IT index, which tracks software companies, fell 0.7%.

Meanwhile, miner Vedanta Ltd climbed 2.5% to its highest in nearly seven weeks, and was the top gainer on both indexes.

(With inputs from agencies)

Sensex fell over 600 points shortly before the close on Tuesday. The latest dip follows the sharp rise in oil prices globally after the attack on Saudi crude oil facilities over the weekend.

Sensex fell over 600 points shortly before the close on Tuesday. The latest dip follows the sharp rise in oil prices globally after the attack on Saudi crude oil facilities over the weekend. At 2:42 pm, the BSE Sensex was trading with a loss of 587.76 points or 1.5 8 per cent at 36,535.55, while the broader index, the Nifty50 fell over 167 points to 10,836.20. Investors in other Asian markets were also on the sidelines ahead of an expected interest rate cut from the US Federal Reserve on Wednesday. Watch: Saudi Aramco oil attacks - impact on Indian economy × With the threat of military action over the attacks keeping crude prices elevated, emerging markets such as India - the world's third-biggest importer of oil - will remain under pressure. India's current account and fiscal deficit could take a hit if oil prices continue to rise after the attack, central bank chief Shaktikanta Das said on Monday. Oil marketers extended losses to a second day, with Indian Oil Corporation Ltd and Bharat Petroleum Corporation Ltd shedding 1.4%-2.1%. Indiabulls Housing Finance Ltd slid 3.4% on a report that the central bank had intensified its checks on the mortgage lender and Lakshmi Vilas Bank, which plan to merge, after fresh accusations of wrongdoing and the sudden exit of the bank's chief executive officer. Lakshmi Vilas Bank shares fell 4.4%. Trading companies MMTC Ltd and State Trading Corporation of India Ltd plunged between 17% and 18% after a newspaper reported that the government was planning to shut down the companies. The Nifty IT index, which tracks software companies, fell 0.7%. Meanwhile, miner Vedanta Ltd climbed 2.5% to its highest in nearly seven weeks, and was the top gainer on both indexes. (With inputs from agencies)

Sensex crashes over 600 points after Saudi Arabia's Aramco attacks

The dollar fell while safe havens and currencies of oil-producing countries rallied on Monday, following an attack on Saudi Arabian refining facilities that disrupted global oil supply and heightened Middle East tensions.

The dollar fell while safe havens and currencies of oil-producing countries rallied on Monday, following an attack on Saudi Arabian refining facilities that disrupted global oil supply and heightened Middle East tensions. Oil prices surged nearly a fifth at one point following the strikes on two plants, including the world's biggest petroleum processing facility in Abqaiq, which knocked out more than 5% of global oil supply. Yemen's Iran-aligned Houthi group claimed responsibility for the damage, but the US has pointed the finger directly at Iran. The Canadian dollar rose 0.4% to 1.3233 per dollar. The Norwegian krone rose 0.5% to 8.9363 per dollar. Both currencies often move together with the oil price because the countries are major oil exporters. In India, a major importer of crude, the rupee fell almost 0.7%. "The natural flow through of higher (oil) prices has seen the NOK and the CAD outperform, and we'll probable see a better feel towards the (Russian) rouble later on," said Chris Weston, head of research at brokerage Pepperstone Group in Melbourne. The attacks reversed last week's ebullient risk appetite and prompted US President Donald Trump to tweet that the United States was "locked and loaded" for a response. "We've got a beady eye on this and we're prepared to pile back in to the Japanese yen after last week's repositioning," Weston said, adding that while trade was calm, the strikes presented another geopolitical "what if" to vex markets. The safe-haven Japanese yen and Swiss franc both firmed. The yen rose 0.3% to 107.79 per dollar and the franc rose 0.4% to $0.9883. Gold jumped by 1%. Against a basket of currencies the dollar edged lower to 98.162. Beyond oil, currency markets are awaiting the outcome of central bank meetings in the U.S. and Japan this week and economic data in Australia and New Zealand that could determine the rates outlook in the Antipodes. "Geopolitical risks and central bank rhetoric remain key drivers of risk this week," Australia and New Zealand Banking Group analysts said in a note. On the Brexit front, British Prime Minister Boris Johnson's confidence of sealing a deal to leave the European Union by October 31 applied renewed pressure to the pound. Sterling fell 0.3 from a seven-week high to hit $1.2486. While much of the risk appetite on display last week was driven by signs of a thaw in US-China trade tensions, few fresh indications of progress left sentiment fragile. Data released on Monday showed the slowdown in China's economy deepened in August, with industrial production growing at its weakest pace in 17-1/2 years and retail sales weaker than anticipated. That added to pressure for stimulus and in offshore trade the Chinese yuan weakened 0.25% to 7.0631 per dollar. In the United States, investors who had begun trimming expectations for a U.S. Federal Reserve rate cut on Wednesday are now certain rates will fall and divided only over how much. As for the Bank of Japan's policy decision on Thursday, a third of economists polled by Reuters expect stimulus to be ramped up. But sources say it may be a close call as policymakers wait till the last minute to assess market reaction to the Fed's decision hours earlier. Japanese markets are closed on Monday for a public holiday. The euro was steady at $1.1073.

Dollar falls, oil-exporter currencies rise after Saudi attacks; yen firms

Equity indices were on a weak note during early hours on Monday as global oil prices surged to a four-month high after a strike on the world`s biggest oil facility in Saudi Arabia removed about 5 per cent of global supplies.

At 10:15 am, the BSE S&amp;P Sensex was down by 175 points at 37,210 while the Nifty 50 edged lower by 51 points to 11,025.

At the National Stock Exchange, sectoral indices were mixed with Nifty auto, financial service, media, metal, bank and realty in the negative zone. Nifty FMCG, IT and pharma showed marginal gains.&nbsp;

Among stocks, oil processing and marketing firms suffered the most as the United States blamed Iran for the weekend attack on Saudi Arabia`s crude oil facilities.

Bharat Petroleum Corporation dropped by 6.1 per cent to trade at Rs 383.50 per share while IndiaOil Corporation was down by 3.3 per cent to Rs 125.80 apiece.

Index heavyweight Reliance Industries slipped by 2.2 per cent.

The other prominent losers were Tata Motors, Mahindra &amp; Mahindra, Yes Bank, State Bank of India, Bharti Infratel and Asian Paints.

However, those which traded in the green were Indiabulls Housing Finance, ONGC, GAIL, Sun Pharma and Dr Reddy.

Meanwhile, moves in Asian share markets were small with Japan shut for a public holiday.&nbsp;

MSCI`s broadest index of Asia Pacific shares outside Japan was a notch lower at 515.4 while South Korea`s KOSPI was a tad higher by 0.4 per cent. Hong Kong`s Hang Seng was down by 1 per cent.&nbsp;

Equity indices were on a weak note during early hours on Monday as global oil prices surged to a four-month high after a strike on the world`s biggest oil facility in Saudi Arabia removed about 5 per cent of global supplies.

Equity indices were on a weak note during early hours on Monday as global oil prices surged to a four-month high after a strike on the world`s biggest oil facility in Saudi Arabia removed about 5 per cent of global supplies. At 10:15 am, the BSE S&P Sensex was down by 175 points at 37,210 while the Nifty 50 edged lower by 51 points to 11,025. At the National Stock Exchange, sectoral indices were mixed with Nifty auto, financial service, media, metal, bank and realty in the negative zone. Nifty FMCG, IT and pharma showed marginal gains. Among stocks, oil processing and marketing firms suffered the most as the United States blamed Iran for the weekend attack on Saudi Arabia`s crude oil facilities. Bharat Petroleum Corporation dropped by 6.1 per cent to trade at Rs 383.50 per share while IndiaOil Corporation was down by 3.3 per cent to Rs 125.80 apiece. Index heavyweight Reliance Industries slipped by 2.2 per cent. The other prominent losers were Tata Motors, Mahindra & Mahindra, Yes Bank, State Bank of India, Bharti Infratel and Asian Paints. However, those which traded in the green were Indiabulls Housing Finance, ONGC, GAIL, Sun Pharma and Dr Reddy. Meanwhile, moves in Asian share markets were small with Japan shut for a public holiday. MSCI`s broadest index of Asia Pacific shares outside Japan was a notch lower at 515.4 while South Korea`s KOSPI was a tad higher by 0.4 per cent. Hong Kong`s Hang Seng was down by 1 per cent.

Sensex and Nifty slip, oil firms under pressure after Saudi attack

Union Minister of Petroleum, Dharmendra Pradhan on Monday said, top executives of Aramco have been contacted to ensure a steady supply to India,&nbsp;after an <a href="https://www.wionews.com/world/yemens-houthis-say-aramco-plants-still-a-target-report-249938">attack on Saudi Arabia's crude oil facilities</a> over the weekend.

"Following the attacks on the oil stabilisation centres of Saudi Aramco, top executives of Aramco have been contacted. Indian ambassador in Riyadh contacted the senior management of Aramco to ensure a steady supply to India," Pradhan said in a press conference.&nbsp;

"We are confident there would be no supply disruption to India. We are closely monitoring the evolving situation," Pradhan added.

Saudi Arabia is the world's biggest oil exporter and the attack on state-owned producer Saudi Aramco's crude-processing facilities at Abqaiq and Khurais has cut output by 5.7 million barrels per day. The company has not given a timeline for the resumption of full output.

Watch: Saudi Drone Attacks - how will the oil cut impact the world?

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Saudi Arabia is also India's top oil supplier after Iraq. In January-July, it supplied 788,200 barrels per day of oil to India.

Yemen's Iran-aligned Houthi group claimed responsibility for the drone attack, but the US has pointed the finger directly at Iran.

(With inputs from agencies)

Union Minister of Petroleum, Dharmendra Pradhan on Monday said, top executives of Aramco have been contacted to ensure a steady supply to India, after an attack on Saudi Arabia's crude oil facilities over the weekend.

Union Minister of Petroleum, Dharmendra Pradhan on Monday said, top executives of Aramco have been contacted to ensure a steady supply to India, after an attack on Saudi Arabia's crude oil facilities over the weekend. "Following the attacks on the oil stabilisation centres of Saudi Aramco, top executives of Aramco have been contacted. Indian ambassador in Riyadh contacted the senior management of Aramco to ensure a steady supply to India," Pradhan said in a press conference. "We are confident there would be no supply disruption to India. We are closely monitoring the evolving situation," Pradhan added. Saudi Arabia is the world's biggest oil exporter and the attack on state-owned producer Saudi Aramco's crude-processing facilities at Abqaiq and Khurais has cut output by 5.7 million barrels per day. The company has not given a timeline for the resumption of full output. Watch: Saudi Drone Attacks - how will the oil cut impact the world? × Saudi Arabia is also India's top oil supplier after Iraq. In January-July, it supplied 788,200 barrels per day of oil to India. Yemen's Iran-aligned Houthi group claimed responsibility for the drone attack, but the US has pointed the finger directly at Iran. (With inputs from agencies)

'No supply disruption to India': Union Minister Dharmendra Pradhan after attack on Saudi's oil facilities

India's current account and fiscal deficit might take a hit if oil prices continue to rise after an attack on Saudi Arabian oil facilities over the weekend, the Reserve Bank of India chief said on Monday.

"We should allow a few more days to see how the situation plays out before taking a final view...depending on how long it persists it will have some impact on the current account deficit and further perhaps on the fiscal deficit if it lasts longer," Governor Shaktikanta Das told the CNBC-TV18 news channel.

US officials blamed Iran for the attack, which damaged the world's biggest crude oil processing plant and led to a 19% surge in oil prices. Iran denied blame and said it was ready for "full-fledged war".

A jump in oil prices is negative for emerging markets such as India, which is the world's third-biggest importer of oil.

The country is already likely to miss its fiscal deficit target for the current financial year, despite receiving an additional dividend from the central bank, five government officials and advisers told Reuters earlier this month, as tax collections have sunk amid a sharp economic slowdown.

India's current account and fiscal deficit might take a hit if oil prices continue to rise after an attack on Saudi Arabian oil facilities over the weekend, the Reserve Bank of India chief said on Monday.

India's current account and fiscal deficit might take a hit if oil prices continue to rise after an attack on Saudi Arabian oil facilities over the weekend, the Reserve Bank of India chief said on Monday. "We should allow a few more days to see how the situation plays out before taking a final view...depending on how long it persists it will have some impact on the current account deficit and further perhaps on the fiscal deficit if it lasts longer," Governor Shaktikanta Das told the CNBC-TV18 news channel. US officials blamed Iran for the attack, which damaged the world's biggest crude oil processing plant and led to a 19% surge in oil prices. Iran denied blame and said it was ready for "full-fledged war". A jump in oil prices is negative for emerging markets such as India, which is the world's third-biggest importer of oil. The country is already likely to miss its fiscal deficit target for the current financial year, despite receiving an additional dividend from the central bank, five government officials and advisers told Reuters earlier this month, as tax collections have sunk amid a sharp economic slowdown.

India's current account under threat if oil surge continues: RBI Governor

Indian shares closed lower on Monday, as soaring oil prices after an attack on Saudi Arabian oil facilities over the weekend dented sentiment.

The broader NSE Nifty closed down 0.65% at 11,003.5, while the benchmark BSE Sensex ended 0.70% lower at 37,123.31. The rupee was weaker by 0.88% at 71.52 against the dollar by 1014 GMT.

Oil prices surged nearly 20% at one point on Monday, but prices came off their peaks after US President Donald Trump authorised the use of his country`s emergency stockpile to ensure stable supply.

Higher oil prices tend to sour investor sentiment in emerging markets like India, which is the world`s third-biggest importer of oil.

Oil marketing firm Bharat Petroleum Corporation Ltd closed down 7% and saw its worst session in nearly one year. The stock was the biggest loser on the NSE Nifty.

Auto and finance stocks also contributed to losses, with Mahindra and Mahindra Ltd and State Bank of India sliding 2.6% and 2.4%, respectively.

Indian shares closed lower on Monday, as soaring oil prices after an attack on Saudi Arabian oil facilities over the weekend dented sentiment. The broader NSE Nifty closed down 0.

Indian shares closed lower on Monday, as soaring oil prices after an attack on Saudi Arabian oil facilities over the weekend dented sentiment. The broader NSE Nifty closed down 0.65% at 11,003.5, while the benchmark BSE Sensex ended 0.70% lower at 37,123.31. The rupee was weaker by 0.88% at 71.52 against the dollar by 1014 GMT. Oil prices surged nearly 20% at one point on Monday, but prices came off their peaks after US President Donald Trump authorised the use of his country`s emergency stockpile to ensure stable supply. Higher oil prices tend to sour investor sentiment in emerging markets like India, which is the world`s third-biggest importer of oil. Oil marketing firm Bharat Petroleum Corporation Ltd closed down 7% and saw its worst session in nearly one year. The stock was the biggest loser on the NSE Nifty. Auto and finance stocks also contributed to losses, with Mahindra and Mahindra Ltd and State Bank of India sliding 2.6% and 2.4%, respectively.

Shares end lower as oil prices soar after Saudi attack

The United Auto Workers union began a nationwide <a href="https://www.wionews.com/world/gm-recalls-35-mn-vehicles-on-brake-issue-249068">strike against General Motors</a> on Monday, with some 46,000 members walking off the job after contract talks hit an impasse.

The move to strike, which the Wall Street Journal described as the first major stoppage at <a href="https://www.wionews.com/world/after-trump-barbs-general-motors-announces-18-billion-investment-new-jobs-204938">GM in more than a decade</a>, came after the manufacturer's four-year contract with workers expired without an agreement on a replacement.

Local union leaders met in Detroit "and opted to strike at midnight on Sunday," the UAW said on its Twitter account.

"This is our last resort," Terry Dittes, the union's lead negotiator with GM, told a news conference after the meeting. "We are standing up for the fundamental rights of working people in this country."

UAW officials said the two sides remained far apart in the contract negotiations, with disagreements on wages, health care benefits, the status of temporary workers and job security.

"Our members have spoken; we have taken action; and this is a decision we did not make lightly," Ted Krumm, chair of the UAW's national bargaining committee, said in a statement.

"We are standing up for what is right," Krumm said.

Hours before the strike began, US President Donald Trump tweeted: "Here we go again with General Motors and the United Auto Workers. Get together and make a deal!"

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Here we go again with General Motors and the United Auto Workers. Get together and make a deal!
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Democratic presidential hopefuls also took to Twitter, to voice support for the strike.

"A job is about a lot more than a paycheck. It's about dignity and respect," frontrunner Joe Biden wrote.

Bernie Sanders urged GM to "end the greed."

"Sit down with the UAW and work out an agreement that treats your workers with the respect and dignity they deserve," the Vermont senator tweeted.

GM's last major strike, according to the Journal, was in 2007 when 73,000 workers at more than 89 facilities walked off the job for two days.&nbsp;

In a statement, GM said it was "disappointing" that the UAW's leadership had decided to call the strike, saying it had presented a "strong offer" in contract negotiations.

"We have negotiated in good faith and with a sense of urgency. Our goal remains to build a strong future for our employees and our business," it said.

UAW's leadership had previously won overwhelming approval from its rank-and-file for a strike if it became necessary.

Workers at Ford and Fiat Chrysler agreed to extend their contracts, but GM management was informed Saturday that the union would not extend its contract.

Earlier on Sunday, contract maintenance workers walked off the job at GM plants in Michigan and Ohio in a parallel dispute with contractor Aramark.

GM has enjoyed several years of strong sales, posting $11.8 billion in operating profits last year, prompting union officials to argue it is time to share the wealth with workers who have borne the brunt of downturns.

But the outlook for GM is less clear, with concerns growing that a recession may be in the offing amid protracted trade tensions.

GM announced last November it was effectively shuttering five plants in North America, including facilities in Michigan and Ohio that were "unallocated" for production.

Protecting jobs and saving those plants have been key issues in the negotiations.

In its response to the strike, GM's management revealed that its offer included a promise of $7 billion in investments that would save or protect 5,400 union jobs and address the issue of the two "unallocated" plants.

It also promised that a new all-electric truck would be built in a US plant.

Adding to the friction is a federal corruption probe of the union leadership, which resulted in an FBI search last month of the home of UAW President Gary Jones.

A member of the UAW's executive board, Vance Pearson, was arrested on Thursday on charges of conspiracy to use union dues for lavish personal expenses.

Pearson, a UAW director in St. Louis, Missouri, was accused of using union conferences as a cover to justify long-term stays at luxury resorts in California.

The United Auto Workers union began a nationwide strike against General Motors on Monday, with some 46,000 members walking off the job after contract talks hit an impasse.

The United Auto Workers union began a nationwide strike against General Motors on Monday, with some 46,000 members walking off the job after contract talks hit an impasse. The move to strike, which the Wall Street Journal described as the first major stoppage at GM in more than a decade, came after the manufacturer's four-year contract with workers expired without an agreement on a replacement. Local union leaders met in Detroit "and opted to strike at midnight on Sunday," the UAW said on its Twitter account. "This is our last resort," Terry Dittes, the union's lead negotiator with GM, told a news conference after the meeting. "We are standing up for the fundamental rights of working people in this country." UAW officials said the two sides remained far apart in the contract negotiations, with disagreements on wages, health care benefits, the status of temporary workers and job security. "Our members have spoken; we have taken action; and this is a decision we did not make lightly," Ted Krumm, chair of the UAW's national bargaining committee, said in a statement. "We are standing up for what is right," Krumm said. Hours before the strike began, US President Donald Trump tweeted: "Here we go again with General Motors and the United Auto Workers. Get together and make a deal!" Here we go again with General Motors and the United Auto Workers. Get together and make a deal! — Donald J. Trump (@realDonaldTrump) September 15, 2019 × Democratic presidential hopefuls also took to Twitter, to voice support for the strike. "A job is about a lot more than a paycheck. It's about dignity and respect," frontrunner Joe Biden wrote. Bernie Sanders urged GM to "end the greed." "Sit down with the UAW and work out an agreement that treats your workers with the respect and dignity they deserve," the Vermont senator tweeted. GM's last major strike, according to the Journal, was in 2007 when 73,000 workers at more than 89 facilities walked off the job for two days. In a statement, GM said it was "disappointing" that the UAW's leadership had decided to call the strike, saying it had presented a "strong offer" in contract negotiations. "We have negotiated in good faith and with a sense of urgency. Our goal remains to build a strong future for our employees and our business," it said. UAW's leadership had previously won overwhelming approval from its rank-and-file for a strike if it became necessary. Workers at Ford and Fiat Chrysler agreed to extend their contracts, but GM management was informed Saturday that the union would not extend its contract. Earlier on Sunday, contract maintenance workers walked off the job at GM plants in Michigan and Ohio in a parallel dispute with contractor Aramark. GM has enjoyed several years of strong sales, posting $11.8 billion in operating profits last year, prompting union officials to argue it is time to share the wealth with workers who have borne the brunt of downturns. But the outlook for GM is less clear, with concerns growing that a recession may be in the offing amid protracted trade tensions. GM announced last November it was effectively shuttering five plants in North America, including facilities in Michigan and Ohio that were "unallocated" for production. Protecting jobs and saving those plants have been key issues in the negotiations. In its response to the strike, GM's management revealed that its offer included a promise of $7 billion in investments that would save or protect 5,400 union jobs and address the issue of the two "unallocated" plants. It also promised that a new all-electric truck would be built in a US plant. Adding to the friction is a federal corruption probe of the union leadership, which resulted in an FBI search last month of the home of UAW President Gary Jones. A member of the UAW's executive board, Vance Pearson, was arrested on Thursday on charges of conspiracy to use union dues for lavish personal expenses. Pearson, a UAW director in St. Louis, Missouri, was accused of using union conferences as a cover to justify long-term stays at luxury resorts in California.

General Motors workers begin nationwide strike in US

Oil prices surged nearly 20 per cent at one point on Monday, with <a href="https://www.wionews.com/business-economy/dollar-falls-oil-exporter-currencies-rise-after-saudi-attacks-yen-firms-249915">Brent crude posting</a> its biggest intraday gain since the Gulf War in 1991, after an attack on Saudi Arabian oil facilities at the weekend halved the kingdom's production.

Prices came off their peaks after US&nbsp;President Donald Trump authorised the use of his country's <a href="https://www.wionews.com/world/oil-prices-soar-more-than-10-after-saudi-plant-attacks-249877">emergency stockpile</a> to ensure stable supply.

Brent crude futures, the international benchmark, rose as much as 19.5 per cent&nbsp;to $71.95 per barrel, the biggest intraday jump since January,&nbsp;14, 1991. By 0940 GMT, the contract was at $65.77, up $5.55 or 8.4 per cent.

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US&nbsp;West Texas Intermediate (WTI) futures climbed as much as 15.5 per cent&nbsp;to $63.34, the biggest intraday percentage gain since June 22, 1998. The contract was later at $59.54, up $4.69 or 7.88 per cent.

&nbsp;

Saudi Arabia is the world's biggest oil exporter and the attack on state-owned producer Saudi Aramco's crude-processing facilities at Abqaiq and Khurais has cut output by 5.7 million barrels per day. The company has not given a timeline for the resumption of full output.

Two sources briefed on Aramco's operations said a full return to normal production volumes "may take months".

"To take out over 5 per cent&nbsp;of global supply in a single strike - a volume exceeding cumulative non-OPEC supply growth over 2014-2018 - is highly worrying," UBS analysts said in a note.

"The departure of US&nbsp;National Security Advisor John Bolton last week was interpreted by many as a reduction in political risk - this event may be significant magnitudes more consequential."

Trump said he had approved the release of oil from the US&nbsp;Strategic Petroleum Reserve if needed in a quantity to be determined.

Trump also said the United States was "locked and loaded" for a potential response to the attack.

Major importers of Saudi crude, such as India, China and Indonesia, will be the most vulnerable to the supply disruption.

Saudi oil exports will continue as normal this week as the kingdom taps into stocks from its large storage facilities, an industry source briefed on the developments told Reuters.

South Korea said it would consider releasing oil from its strategic reserves if circumstances worsened in the wake of Saturday's attacks.

The attack on plants in the heartland of Saudi Arabia's oil industry, including the world's biggest petroleum-processing facility at Abqaiq, came from the direction of Iran, and cruise missiles may have been used, a US&nbsp;official said.

"Growing fears of a supply squeeze and heightened geopolitical tensions in the Middle East will add a risk premium for oil prices," said Benjamin Lu, analyst at Singapore-based brokerage Phillip Futures.

Saudi Arabia is set to become a significant buyer of refined products after the attacks, consultancy Energy Aspects said.

Saudi Aramco is likely to buy significant quantities of gasoline, diesel and possibly fuel oil while cutting liquefied petroleum gas exports.

US&nbsp;gasoline futures rose as much as 12.9 per cent, while US&nbsp;heating oil futures gained 10.8 per cent. China's Shanghai crude futures rose to their trading limit gaining 8 per cent at the open.

&nbsp;

Oil prices surged nearly 20 per cent at one point on Monday, with Brent crude posting its biggest intraday gain since the Gulf War in 1991, after an attack on Saudi Arabian oil facilities at the weekend halved the kingdom's production.

Oil prices surged nearly 20 per cent at one point on Monday, with Brent crude posting its biggest intraday gain since the Gulf War in 1991, after an attack on Saudi Arabian oil facilities at the weekend halved the kingdom's production. Prices came off their peaks after US President Donald Trump authorised the use of his country's emergency stockpile to ensure stable supply. Brent crude futures, the international benchmark, rose as much as 19.5 per cent to $71.95 per barrel, the biggest intraday jump since January, 14, 1991. By 0940 GMT, the contract was at $65.77, up $5.55 or 8.4 per cent. Watch Video: US West Texas Intermediate (WTI) futures climbed as much as 15.5 per cent to $63.34, the biggest intraday percentage gain since June 22, 1998. The contract was later at $59.54, up $4.69 or 7.88 per cent. Saudi Arabia is the world's biggest oil exporter and the attack on state-owned producer Saudi Aramco's crude-processing facilities at Abqaiq and Khurais has cut output by 5.7 million barrels per day. The company has not given a timeline for the resumption of full output. Two sources briefed on Aramco's operations said a full return to normal production volumes "may take months". "To take out over 5 per cent of global supply in a single strike - a volume exceeding cumulative non-OPEC supply growth over 2014-2018 - is highly worrying," UBS analysts said in a note. "The departure of US National Security Advisor John Bolton last week was interpreted by many as a reduction in political risk - this event may be significant magnitudes more consequential." Trump said he had approved the release of oil from the US Strategic Petroleum Reserve if needed in a quantity to be determined. Trump also said the United States was "locked and loaded" for a potential response to the attack. Major importers of Saudi crude, such as India, China and Indonesia, will be the most vulnerable to the supply disruption. Saudi oil exports will continue as normal this week as the kingdom taps into stocks from its large storage facilities, an industry source briefed on the developments told Reuters. South Korea said it would consider releasing oil from its strategic reserves if circumstances worsened in the wake of Saturday's attacks. The attack on plants in the heartland of Saudi Arabia's oil industry, including the world's biggest petroleum-processing facility at Abqaiq, came from the direction of Iran, and cruise missiles may have been used, a US official said. "Growing fears of a supply squeeze and heightened geopolitical tensions in the Middle East will add a risk premium for oil prices," said Benjamin Lu, analyst at Singapore-based brokerage Phillip Futures. Saudi Arabia is set to become a significant buyer of refined products after the attacks, consultancy Energy Aspects said. Saudi Aramco is likely to buy significant quantities of gasoline, diesel and possibly fuel oil while cutting liquefied petroleum gas exports. US gasoline futures rose as much as 12.9 per cent, while US heating oil futures gained 10.8 per cent. China's Shanghai crude futures rose to their trading limit gaining 8 per cent at the open.

International oil prices surge nearly 20% after attack on Saudi oil facilities

Japan has agreed to phase out tariffs on <a href="https://www.wionews.com/world/us-wants-to-make-meaningful-progress-in-china-trade-talks-249287">US</a> wine imports as part of a bilateral <a href="https://www.wionews.com/business-economy/american-business-community-wants-trade-deal-between-us-china-249649">trade deal</a> expected to be signed at the end of the month, the Nikkei newspaper reported on Sunday.

Japan will eliminate the tariffs on US wine within five to seven years after the trade agreement goes into effect, the Nikkei reported without giving its sources.

Japan taxes imported wine at a rate of 15 per cent&nbsp;or 125 yen ($1.16) per litre, whichever is cheaper, according to the Nikkei.

The elimination of the tariff could cut the cost of US wine by about 13 per cent&nbsp;for wine distributors, the Nikkei said.

The trade agreement between the United States and Japan, which is expected to be signed on the sidelines of the UN&nbsp;General Assembly meeting, is also expected to gradually lower tariffs on US&nbsp;beef imports to 9&nbsp;per cent in 2033 from 38.5 per cent&nbsp;now, the Nikkei said.

Officials from Japan's trade ministry were not immediately available for comment.

Last month, the United States and Japan agreed in principle on the core elements of a free-trade deal that would cool a trade dispute between the allies. 
The United States is also trying to de-escalate its year-long trade war with China.

Chinese trade deputies are expected to meet their US&nbsp;counterparts in Washington before minister-level meetings in early October in the US&nbsp;capital. 
&nbsp;

Japan has agreed to phase out tariffs on US wine imports as part of a bilateral trade deal expected to be signed at the end of the month, the Nikkei newspaper reported on Sunday.

Japan has agreed to phase out tariffs on US wine imports as part of a bilateral trade deal expected to be signed at the end of the month, the Nikkei newspaper reported on Sunday. Japan will eliminate the tariffs on US wine within five to seven years after the trade agreement goes into effect, the Nikkei reported without giving its sources. Japan taxes imported wine at a rate of 15 per cent or 125 yen ($1.16) per litre, whichever is cheaper, according to the Nikkei. The elimination of the tariff could cut the cost of US wine by about 13 per cent for wine distributors, the Nikkei said. The trade agreement between the United States and Japan, which is expected to be signed on the sidelines of the UN General Assembly meeting, is also expected to gradually lower tariffs on US beef imports to 9 per cent in 2033 from 38.5 per cent now, the Nikkei said. Officials from Japan's trade ministry were not immediately available for comment. Last month, the United States and Japan agreed in principle on the core elements of a free-trade deal that would cool a trade dispute between the allies. The United States is also trying to de-escalate its year-long trade war with China. Chinese trade deputies are expected to meet their US counterparts in Washington before minister-level meetings in early October in the US capital.

Japan to eliminate tariffs on United States wine in trade deal: Report

Global regulators will question Facebook on Monday about its <a href="https://www.wionews.com/world/facebooks-libra-has-to-build-anti-money-laundering-anti-terror-financing-design-us-treasury-248861">Libra cryptocurrency</a>, amid concerns from European Union governments over the threat the <a href="https://www.wionews.com/world/facebook-needs-very-high-standard-for-libra-coin-us-treasury-steven-mnuchin-236268">digital currency</a>&nbsp;poses to financial stability, the Financial Times reported on Sunday.

Officials from 26 central banks, including the <a href="https://www.wionews.com/world/us-lawmakers-question-facebook-over-plans-on-libra-cryptocurrency-236514">US</a>&nbsp;Federal Reserve and the Bank of England, will meet with representatives of Libra in Basel on Monday, the FT said, citing officials.

Libra's founders have also been invited to answer key questions about the currency's scope and design, FT said.

Facebook did not immediately respond to Reuters' request for comment outside regular business hours.

Countries including France and Germany have publicly criticised the social media giant's Libra project, saying it posed risks to EU states' sovereignty.

Global regulators will question Facebook on Monday about its Libra cryptocurrency, amid concerns from European Union governments over the threat the digital currency poses to financial stability, the Financial Times reported on Sunday.

Global regulators will question Facebook on Monday about its Libra cryptocurrency, amid concerns from European Union governments over the threat the digital currency poses to financial stability, the Financial Times reported on Sunday. Officials from 26 central banks, including the US Federal Reserve and the Bank of England, will meet with representatives of Libra in Basel on Monday, the FT said, citing officials. Libra's founders have also been invited to answer key questions about the currency's scope and design, FT said. Facebook did not immediately respond to Reuters' request for comment outside regular business hours. Countries including France and Germany have publicly criticised the social media giant's Libra project, saying it posed risks to EU states' sovereignty.

Global regulators to question Facebook's Libra amid EU concerns: Report

An attack on Saudi oil facilities on Saturday is believed to have disrupted half the country's production capacity, making the United States the only real holder of the global supply cushion via its ability to raise own output or to soften sanctions against other major oil producers.

<a href="https://www.wionews.com/world/oil-rises-as-saudi-signals-opec-cuts-to-continue-under-new-minister-248572">Saudi Arabia</a> has yet to comment on the extent of damage on its <a href="https://www.wionews.com/business-economy/oil-edges-down-on-lower-demand-outlook-us-china-trade-dispute-242428">oil production</a> but industry sources have said some 5-6 million barrels per day (bpd) or 5-6 per cent&nbsp;of global supply has been affected.

Saudi Arabia, the <a href="https://www.wionews.com/business-economy/opec-cuts-2020-oil-demand-forecast-urges-effort-to-avert-a-new-glut-249037">Organization of the Petroleum Exporting Countries</a>' de-facto leader and largest producer, has been long seen as the custodian of the world's spare oil capacity.

Spare capacity is the extra oil a producing country can bring onstream and sustain at short notice, providing global markets with a cushion in the event of natural disaster, conflict or any other cause of an unplanned supply outage.

Industry sources have said Saudi Arabia will be able to restore supply within days.

A prolonged supply outage will have a major bullish impact on oil prices, which in turn will spur further gains in the US&nbsp;shale production.

The <a href="https://www.wionews.com/business-economy/us-briefly-overtakes-saudi-arabia-as-top-oil-exporter-international-energy-agency-249182">United States has briefly overtaken Saudi Arabia</a> as the world largest crude exporter this year, only a few years after removing a ban on oil exports because of large needs at home as the world's largest oil consumer.

Analysts have repeatedly underestimated US&nbsp;output growth gains with the country now producing around 15 per cent&nbsp;of global supply.

Besides the United States, the only countries which have significant spare capacity are Iran and Venezuela.

Both are subject to US&nbsp;sanctions and have seen their exports reduced to a trickle over the past year as US&nbsp;President Donald Trump has tightened sanctions.

Iran has seen its exports falling by over 2 million bpd since the sanctions have been imposed and Venezuela have seen its exports plummeting too.

While analysts expect Venezuelan production to more or less stabilising at current levels of around 700,000-800,000 bpd for the rest of the year, Iranian oil production is forecast to fall further.

Energy Aspects has said it expects OPEC spare capacity to fall to below 1 million bpd in the fourth quarter from two million bpd in the second quarter of 2019.

WILDCARDS

OPEC member Libya is in the middle of a civil war, which threatens its ability to continue pumping oil. Another big Libyan disruption would add to the shocks and highlight the spare capacity problem.

Nigerian exports have also suffered big from disruptions.

Meanwhile, US&nbsp;crude oil production is expected to rise to new records.

However, large US&nbsp;crude output gains and slowing global demand because of a weaker global economy have contributed to a rise in oil stocks worldwide.

The International Energy Agency, which coordinates energy policies of industrialised nations, said on Saturday the markets were still well supplies despite the Saudi disruptions.

"We are massively oversupplied," said Christyan Malek, head of oil and gas research for Europe, Middle East and Africa at J.P. Morgan, adding it would take five months of a 5 million-bpd outage to take global crude supply levels back to a 40-year normal average.

"Having said that, this attack introduces a new, irreversible risk premium into the market," he added.

An attack on Saudi oil facilities on Saturday is believed to have disrupted half the country's production capacity, making the United States the only real holder of the global supply cushion via its ability to raise own output or to soften sanctions against other major oil producers.

An attack on Saudi oil facilities on Saturday is believed to have disrupted half the country's production capacity, making the United States the only real holder of the global supply cushion via its ability to raise own output or to soften sanctions against other major oil producers. Saudi Arabia has yet to comment on the extent of damage on its oil production but industry sources have said some 5-6 million barrels per day (bpd) or 5-6 per cent of global supply has been affected. Saudi Arabia, the Organization of the Petroleum Exporting Countries' de-facto leader and largest producer, has been long seen as the custodian of the world's spare oil capacity. Spare capacity is the extra oil a producing country can bring onstream and sustain at short notice, providing global markets with a cushion in the event of natural disaster, conflict or any other cause of an unplanned supply outage. Industry sources have said Saudi Arabia will be able to restore supply within days. A prolonged supply outage will have a major bullish impact on oil prices, which in turn will spur further gains in the US shale production. The United States has briefly overtaken Saudi Arabia as the world largest crude exporter this year, only a few years after removing a ban on oil exports because of large needs at home as the world's largest oil consumer. Analysts have repeatedly underestimated US output growth gains with the country now producing around 15 per cent of global supply. Besides the United States, the only countries which have significant spare capacity are Iran and Venezuela. Both are subject to US sanctions and have seen their exports reduced to a trickle over the past year as US President Donald Trump has tightened sanctions. Iran has seen its exports falling by over 2 million bpd since the sanctions have been imposed and Venezuela have seen its exports plummeting too. While analysts expect Venezuelan production to more or less stabilising at current levels of around 700,000-800,000 bpd for the rest of the year, Iranian oil production is forecast to fall further. Energy Aspects has said it expects OPEC spare capacity to fall to below 1 million bpd in the fourth quarter from two million bpd in the second quarter of 2019. WILDCARDS OPEC member Libya is in the middle of a civil war, which threatens its ability to continue pumping oil. Another big Libyan disruption would add to the shocks and highlight the spare capacity problem. Nigerian exports have also suffered big from disruptions. Meanwhile, US crude oil production is expected to rise to new records. However, large US crude output gains and slowing global demand because of a weaker global economy have contributed to a rise in oil stocks worldwide. The International Energy Agency, which coordinates energy policies of industrialised nations, said on Saturday the markets were still well supplies despite the Saudi disruptions. "We are massively oversupplied," said Christyan Malek, head of oil and gas research for Europe, Middle East and Africa at J.P. Morgan, adding it would take five months of a 5 million-bpd outage to take global crude supply levels back to a 40-year normal average. "Having said that, this attack introduces a new, irreversible risk premium into the market," he added.

Global spare oil capacity in United States hands after Saudi outage

Finance Minister Nirmala Sitharaman on Saturday said that inflation is under control and there is a clear sign of revival of industrial production.

Addressing a press conference here, Sitharaman said inflation in the range of 2.5 to 4 per cent is considered safe and it has been held under four per cent.

Referring to industrial production, she said there was clear sign of revival in the first quarter of 2019-20.

"Revival of fixed investment is also showing a positive picture," she added.

The minister said there was also a clear sign of revival of Foreign Direct Investment. She said that reserves have gone up in August-end and one of the best-level of reserves was being maintained.

Finance Minister Nirmala Sitharaman on Saturday said that inflation is under control and there is a clear sign of revival of industrial production. Addressing a press conference here, Sitharaman said inflation in the range of 2.

Finance Minister Nirmala Sitharaman on Saturday said that inflation is under control and there is a clear sign of revival of industrial production. Addressing a press conference here, Sitharaman said inflation in the range of 2.5 to 4 per cent is considered safe and it has been held under four per cent. Referring to industrial production, she said there was clear sign of revival in the first quarter of 2019-20. "Revival of fixed investment is also showing a positive picture," she added. The minister said there was also a clear sign of revival of Foreign Direct Investment. She said that reserves have gone up in August-end and one of the best-level of reserves was being maintained.

Inflation under control, clear sign of revival of industrial production: Sitharaman

Experts expressed optimism towards China's capital market as the country opens the market to global investors more and more in recent years.

China has been accelerating in opening up its financial market to overseas investment, with B-share, systems of Qualified Foreign Institutional Investors (QFII) and Renminbi Qualified Foreign Institutional Investors (RQFII), Shanghai-Hong Kong Stock Connect, Shenzhen-Hong Kong Stock Connect, and Shanghai-London Stock Connect came into being.

The State Administration of Foreign Exchange (SAFE) Tuesday announced it would abolish the investment quota restrictions for QFII and RQFII to boost financial reforms and opening-up.

Ted Niggli, head of the Morgan Stanley Capital International (MSCI) Index Business in Asia Pacific, has been in China for seven years. MSCI set up its office in China as early as 2004.

He said there are three reasons for China to become an attractive investment destination for global investors.

"The investors being interested, the regulatory framework enhancing at a fast pace and the companies themselves changing, these are three important catalysts for us to believe that over time, China will be a strong destination of investments from investors around the world," said Niggli.

With MSCI, FTSE Russell, Standard and Poor's and Dow Jones entering the Chinese market and increasing the weight of the yuan-denominated A-shares in their indexes, the Chinese capital market is connecting closely with the global market.

Qian Jun, dean of Fanhai International School of Finance with Fudan University, said overseas investors will boost the healthy development of the stock market.

"Overseas institutional investors, particularly long-term institutional investors, follow the so-called rational value investment most. Their acts will promote the stock market to develop more healthily," said Qian.

The China Securities Regulatory Commission published 12 important goals of deepening the reform of the capital market on Tuesday, showing that China is speeding up in reforming its capital market in the future.

Zhang Wangjun, deputy director of the Marketing Department of the Commission, said they will take concrete actions to push forward the reform.

"We will pay attention to the general goal of forging a normative, transparent, open, vigorous and resilient capital market and take concrete actions to implement financial supply-side structural reform to better serve the overall situation of high-quality development of the economy," said Zhang.

Experts expressed optimism towards China's capital market as the country opens the market to global investors more and more in recent years. China has been accelerating in opening up its financial market to overseas investment, with B-share, systems of Qualified Foreign Institutional Investors (QFII) and Renminbi Qualified Foreign Institutional Investors (RQFII), Shanghai-Hong Kong Stock Connect, Shenzhen-Hong Kong Stock Connect, and Shanghai-London Stock Connect came into being.

Experts expressed optimism towards China's capital market as the country opens the market to global investors more and more in recent years. China has been accelerating in opening up its financial market to overseas investment, with B-share, systems of Qualified Foreign Institutional Investors (QFII) and Renminbi Qualified Foreign Institutional Investors (RQFII), Shanghai-Hong Kong Stock Connect, Shenzhen-Hong Kong Stock Connect, and Shanghai-London Stock Connect came into being. The State Administration of Foreign Exchange (SAFE) Tuesday announced it would abolish the investment quota restrictions for QFII and RQFII to boost financial reforms and opening-up. Ted Niggli, head of the Morgan Stanley Capital International (MSCI) Index Business in Asia Pacific, has been in China for seven years. MSCI set up its office in China as early as 2004. He said there are three reasons for China to become an attractive investment destination for global investors. "The investors being interested, the regulatory framework enhancing at a fast pace and the companies themselves changing, these are three important catalysts for us to believe that over time, China will be a strong destination of investments from investors around the world," said Niggli. With MSCI, FTSE Russell, Standard and Poor's and Dow Jones entering the Chinese market and increasing the weight of the yuan-denominated A-shares in their indexes, the Chinese capital market is connecting closely with the global market. Qian Jun, dean of Fanhai International School of Finance with Fudan University, said overseas investors will boost the healthy development of the stock market. "Overseas institutional investors, particularly long-term institutional investors, follow the so-called rational value investment most. Their acts will promote the stock market to develop more healthily," said Qian. The China Securities Regulatory Commission published 12 important goals of deepening the reform of the capital market on Tuesday, showing that China is speeding up in reforming its capital market in the future. Zhang Wangjun, deputy director of the Marketing Department of the Commission, said they will take concrete actions to push forward the reform. "We will pay attention to the general goal of forging a normative, transparent, open, vigorous and resilient capital market and take concrete actions to implement financial supply-side structural reform to better serve the overall situation of high-quality development of the economy," said Zhang.

Experts optimistic about China's capital market

The US business community wants to see a trade deal between the United States and China so as to end the trade dispute, said Myron Brilliant, executive vice president and head of the international affairs for the US Chamber of Commerce.

Brilliant said this on Wednesday during an interview on the sidelines of the <a href="https://www.wionews.com/world/us-wants-to-make-meaningful-progress-in-china-trade-talks-249287">US-China</a> CEO's Dialogue running from Tuesday to Wednesday in Beijing.

"The two business communities understand there are no winners when you have a trade war, there are only losers.

China will lose, the United States will lose, and the global economy will lose. So we want to encourage our governments to work closely. I'm hopeful that the two countries and the two leaders understand what's at stake, and now it's a question about getting it done. There has to be a sense of urgency," Brilliant said.

"What we need is for truth, a trade truth between the two sides, calmer waters with the long-term goal of having a high standard comprehensive trade agreement. And we need to see compromise, and we need to see the negotiations on the basis of mutual respect on both sides," he said.

The US-China CEO's Dialogue, which was organized by the China Center for International Economic Exchanges and the US Chamber of Commerce, brought 20 business leaders from both countries together to share their views on the on-going trade dispute between the world's two largest economies. 
&nbsp;

The US business community wants to see a trade deal between the United States and China so as to end the trade dispute, said Myron Brilliant, executive vice president and head of the international affairs for the US Chamber of Commerce.

The US business community wants to see a trade deal between the United States and China so as to end the trade dispute, said Myron Brilliant, executive vice president and head of the international affairs for the US Chamber of Commerce. Brilliant said this on Wednesday during an interview on the sidelines of the US-China CEO's Dialogue running from Tuesday to Wednesday in Beijing. "The two business communities understand there are no winners when you have a trade war, there are only losers. China will lose, the United States will lose, and the global economy will lose. So we want to encourage our governments to work closely. I'm hopeful that the two countries and the two leaders understand what's at stake, and now it's a question about getting it done. There has to be a sense of urgency," Brilliant said. "What we need is for truth, a trade truth between the two sides, calmer waters with the long-term goal of having a high standard comprehensive trade agreement. And we need to see compromise, and we need to see the negotiations on the basis of mutual respect on both sides," he said. The US-China CEO's Dialogue, which was organized by the China Center for International Economic Exchanges and the US Chamber of Commerce, brought 20 business leaders from both countries together to share their views on the on-going trade dispute between the world's two largest economies.

American business community wants trade deal between US, China

With US-China trade tensions roiling markets, investors are counting on support for stocks coming from a Federal Reserve willing to keep cutting interest rates to help the US economy avoid a severe downturn.

A quarter-point rate reduction is widely expected when the Fed issues its next policy statement on Wednesday, which would be the central bank's second such cut after lowering rates in July for the first time since 2008. That puts the greater focus on clues about how much further the Fed will go.

“If the Fed gives forward guidance that suggests less than what the market is thinking, then you will probably see markets sell-off," said Jamie Cox, managing partner of Harris Financial Group in Richmond, Virginia. "So long as the Fed plays along with what markets are pricing in think markets will be very stable.”

The Fed's 180-degree pivot from tightening monetary policy last year to easing it has helped drive the stock market's overall strong performance in 2019. The benchmark S&amp;P 500 has climbed 20 per cent this year and is near all-time highs.

The central bank in July cited signs of a global slowdown, simmering US-China trade tensions and a desire to boost too-low inflation as it lowered borrowing costs.

Markets are pricing in a near 90 per cent probability that the Fed will shave another quarter-point from its current overnight lending rate of 2.00 per cent to 2.25 per cent, according to the CME Group's FedWatch tool. There is a roughly 65 per cent probability that the Fed makes at least one more quarter-point cut by the end of the year, according to FedWatch.

"The market is going to want to see a focus that we have a cut and there is likely more coming," said Keith Lerner, chief market strategist at SunTrust Advisory Services in Atlanta. "They want to know that the Fed is vigilant and will act aggressively if needed."

That raises the importance of the newest set of policymakers' rate-path projections - the so-called dot plot - that will be released along with the rate decision. UBS economists said in a note they expect that will shift lower overall for 2019, but project only two cuts total for the year, which could irk both investors and a <a href="https://www.wionews.com/world/turkeys-erdogan-to-discuss-with-trump-buying-us-patriot-missiles-249560">US president</a> eager for a more aggressive posture.

President Donald Trump has frequently criticized the Fed for not cutting rates more swiftly and significantly, with the Fed chair he appointed, Jerome Powell, the primary target of his ire.

The European Central Bank's decision on Thursday to cut interest rates and restart a larger stimulus program could further pressure the Fed to cut rates, as the ECB's move stands to weaken the euro against the dollar and thereby drive up the price of US exports - an issue that especially vexes Trump.

Powell, who will give a news conference after the central bank issues its statement, has made comments in the past that have shaken the market, including in July, when he said the bank's rate cut might not be the start of a lengthy easing campaign to shore up the economy.

"Every meeting has the ability for Jay Powell to say something that upsets markets a little bit,” said Arthur Hogan, chief market strategist at National Securities Corp.

Powell "has had enough practice to know that he does not want to move markets or make news,” he added.

Of the past eight easing cycles since 1981, four have been "insurance" cycles, when economic problems loom but the economy is not in a recession, while four were pre-recession cycles, according to research from Allianz Global Investors.

One year into an easing cycle, the S&amp;P 500 rose an average of 20.4 per cent during insurance cycles, while the index fell an average of 10.2 per cent during pre-recession cycles, according to Allianz.

"Historically, what they’re doing now, which is cutting rates in an economy that is not in a recession and not really in any imminent risk of a recession, has been positive for the stock market," said Mona Mahajan, US investment strategist at Allianz.

The stock market overall has typically responded well to a second rate cut, which Wednesday's would be, with the Dow Jones Industrial Average rising an average of 20.3 per cent one year later, according to Ned Davis Research. The weakest performance has come when the Fed tried and failed to prevent a recession.

The probability of a recession in the next 12 months is nearly 38 per cent, its highest in about a decade, according to the New York Fed's recession indicator, which is based on the US Treasury yield curve. Last month, yields on two-year US bonds exceeded those on 10-year notes, an inversion of the yield curve that is seen as an omen of recession.

An escalation in the US-China tariff war is contributing to economic uncertainty and is top among concerns for stock investors. Late last month, a key speech from Powell was upstaged when Trump issued tweets that heightened trade tensions.

“I do think it’s important that the Fed helps ease financial conditions and helps reduce the probability of recession," SunTrust's Lerner said. "If the tariff fight ratchets up more, then what the Fed does, the effect will be less.

With US-China trade tensions roiling markets, investors are counting on support for stocks coming from a Federal Reserve willing to keep cutting interest rates to help the US economy avoid a severe downturn.

With US-China trade tensions roiling markets, investors are counting on support for stocks coming from a Federal Reserve willing to keep cutting interest rates to help the US economy avoid a severe downturn. A quarter-point rate reduction is widely expected when the Fed issues its next policy statement on Wednesday, which would be the central bank's second such cut after lowering rates in July for the first time since 2008. That puts the greater focus on clues about how much further the Fed will go. “If the Fed gives forward guidance that suggests less than what the market is thinking, then you will probably see markets sell-off," said Jamie Cox, managing partner of Harris Financial Group in Richmond, Virginia. "So long as the Fed plays along with what markets are pricing in think markets will be very stable.” The Fed's 180-degree pivot from tightening monetary policy last year to easing it has helped drive the stock market's overall strong performance in 2019. The benchmark S&P 500 has climbed 20 per cent this year and is near all-time highs. The central bank in July cited signs of a global slowdown, simmering US-China trade tensions and a desire to boost too-low inflation as it lowered borrowing costs. Markets are pricing in a near 90 per cent probability that the Fed will shave another quarter-point from its current overnight lending rate of 2.00 per cent to 2.25 per cent, according to the CME Group's FedWatch tool. There is a roughly 65 per cent probability that the Fed makes at least one more quarter-point cut by the end of the year, according to FedWatch. "The market is going to want to see a focus that we have a cut and there is likely more coming," said Keith Lerner, chief market strategist at SunTrust Advisory Services in Atlanta. "They want to know that the Fed is vigilant and will act aggressively if needed." That raises the importance of the newest set of policymakers' rate-path projections - the so-called dot plot - that will be released along with the rate decision. UBS economists said in a note they expect that will shift lower overall for 2019, but project only two cuts total for the year, which could irk both investors and a US president eager for a more aggressive posture. President Donald Trump has frequently criticized the Fed for not cutting rates more swiftly and significantly, with the Fed chair he appointed, Jerome Powell, the primary target of his ire. The European Central Bank's decision on Thursday to cut interest rates and restart a larger stimulus program could further pressure the Fed to cut rates, as the ECB's move stands to weaken the euro against the dollar and thereby drive up the price of US exports - an issue that especially vexes Trump. Powell, who will give a news conference after the central bank issues its statement, has made comments in the past that have shaken the market, including in July, when he said the bank's rate cut might not be the start of a lengthy easing campaign to shore up the economy. "Every meeting has the ability for Jay Powell to say something that upsets markets a little bit,” said Arthur Hogan, chief market strategist at National Securities Corp. Powell "has had enough practice to know that he does not want to move markets or make news,” he added. Of the past eight easing cycles since 1981, four have been "insurance" cycles, when economic problems loom but the economy is not in a recession, while four were pre-recession cycles, according to research from Allianz Global Investors. One year into an easing cycle, the S&P 500 rose an average of 20.4 per cent during insurance cycles, while the index fell an average of 10.2 per cent during pre-recession cycles, according to Allianz. "Historically, what they’re doing now, which is cutting rates in an economy that is not in a recession and not really in any imminent risk of a recession, has been positive for the stock market," said Mona Mahajan, US investment strategist at Allianz. The stock market overall has typically responded well to a second rate cut, which Wednesday's would be, with the Dow Jones Industrial Average rising an average of 20.3 per cent one year later, according to Ned Davis Research. The weakest performance has come when the Fed tried and failed to prevent a recession. The probability of a recession in the next 12 months is nearly 38 per cent, its highest in about a decade, according to the New York Fed's recession indicator, which is based on the US Treasury yield curve. Last month, yields on two-year US bonds exceeded those on 10-year notes, an inversion of the yield curve that is seen as an omen of recession. An escalation in the US-China tariff war is contributing to economic uncertainty and is top among concerns for stock investors. Late last month, a key speech from Powell was upstaged when Trump issued tweets that heightened trade tensions. “I do think it’s important that the Fed helps ease financial conditions and helps reduce the probability of recession," SunTrust's Lerner said. "If the tariff fight ratchets up more, then what the Fed does, the effect will be less.

Wall Street Week Ahead: With rate cut likely, market wonders how low Fed will go

Hong Kong's exchange refused to give up on its bid to take over the <a href="https://www.wionews.com/world/london-stock-exchange-rejects-hong-kong-takeover-bid-249493">London Stock Exchange</a> after the British bourse emphatically rejected its $39 billion takeover offer on Friday.

The Hong Kong exchange said it would now hold more talks with LSE investors as it considers its next step, aiming to keep alive its hopes of becoming a more global player to rival US giants ICE and CME.

"HKEX believes that shareholders in LSEG should have the opportunity to analyse in detail both transactions and will continue to engage with them," it said in a statement.

The LSE said earlier on Friday, as it rebuffed the Hong Kong approach, that it was sticking with its $27 billion acquisition of data and analytics company Refinitiv - a deal that the HKEX offer had required the London exchange to abandon.

It told HKEX in a letter that it had fundamental concerns about key aspects of its takeover proposal which it said had no strategic merit, and that HKEX's relationship with the Hong Kong government would "complicate matters".

HKEX's valuation of the LSE falls "substantially short" and the "ongoing situation in Hong Kong" adds to uncertainty for shareholders, the London bourse added, a reference to weeks of pro-democracy street protests in the former British colony.

"Accordingly, the board unanimously rejects the conditional proposal and, given its fundamental flaws, sees no merit in further engagement," the LSE said in a statement.

HKEX, Hong Kong Exchanges and Clearing, said it was disappointed the LSE has refused to "properly engage" in a compelling proposal.

A source close to HKEX added the quick dismissal of the surprise offer, announced on Wednesday, meant the Hong Kong bourse had very little time to discuss their proposal with investors, a sentiment echoed by some shareholders.

"As shareholders in LSE, it's difficult to evaluate the merits of a combination with HKEX as we have been given no information on potential synergies," said James Bevan, chief investment officer at CCLA, which holds a small stake.

LSE shares, however, rose on the news of the offer rejection and closed up 2.73 per cent at 7,450 pence.

LSE's blunt rejection letter said the Hong Kong offer did not meet its strategic objectives. It said it was sticking with its core strategy of expanding into data with the Refinitiv deal, rather than taking a "significant backward step" by bulking up on market transactions in the HKEX proposal.

The LSE also said a Hong Kong takeover could well be rejected by regulators or governments in Britain, the United States, and Italy. HKEX's assertion that implementing the deal would be swift and certain "is simply not credible", it added.

The LSE also owns the Milan exchange and has a significant American presence through its FTSE Russell index subsidiary and LCH, its derivatives clearing house which dominates the US dollar swap market.

HKEX added on Friday that it had held initial constructive discussions with regulators and policymakers. But a regulatory source in Britain said no substantive discussions had been held on the proposed deal so far.

Higher or Hostile?

The flat rejection indicates HKEX boss Charles Li is unlikely to win the LSE board round with an improved financial offer, meaning he may have to go hostile if he wants to persist. He would need to launch a major charm offensive with investors to convince them the LSE board is wrong.

However, a source close to the LSE said even if the cash component of HKEX's cash-and shares offer was raised, it would increase the risk for a combined group by piling on more leverage.

The source said a higher bid by the Hong Kong exchange or going hostile was unlikely to succeed because its proposal was "just too weak on every fundamental point".

A deal will be also challenging given the troubled history of big exchange mergers, combined with Hong Kong's current unrest.

The industry has been littered with attempts at cross-border tie-ups for over a decade as profits from the traditional business of running stock markets and clearing houses have fallen. But proposed deals have collapsed in the face of regulatory and political opposition to core parts of a country's financial system falling into foreign hands.

This has pushed exchanges to look for related businesses for growth, with the likes of LSE and New York Stock Exchange owner ICE driving into more profitable and less politically sensitive areas like data and analytics, where revenue is rising.

"This (rejection) certainly makes it clear that even if the HK exchange were to reconsider the terms of the transaction, it shows fundamentally the LSE board would prefer to go down the Refinitiv route," said Michael Werner, an analyst at UBS.

HKEX made its offer just two days after its officials travelled to London to present it to LSE Chief Executive David Schwimmer for the first time. It has been coolly received by shareholders on both sides so far.

Protests and Politics

Analysts said a perception that Beijing is exerting growing influence over Hong Kong was a key sticking point for an LSE takeover, given the Hong Kong government's close links with the HKEX. The Hong Kong government is the biggest shareholder in HKEX, with a 6 per cent stake and approves six of the 13 board members.

Hong Kong is entering a fourth month of sometimes violent protests sparked by legislation that would have drawn the former British colony closer to the Chinese legal system.

Fitch Ratings said, before the LSE's rejection of the offer, that "increasing control by Chinese authorities over Hong Kong" could raise regulatory concerns in Britain and the United States about data and information security.

HKEX, for its part, had touted the deal as providing London with a major gateway to the Chinese economy, but the LSE said HKEX did not provide the best long-term option.

"We value our mutually beneficial partnership with the Shanghai Stock Exchange which is our preferred and direct channel to access the many opportunities with China," the LSE said.

The LSE and Shanghai have recently launched a share trading link.

Earlier on Friday, ahead of the rejection, HKEX boss Li told Reuters that his proposal was one about boosting the long-term fortunes of both exchanges.

"Whoever can come up with a system that either allows money to go into China or allow the Chinese money to come out is going to really, really transform global financial markets."

Hong Kong's exchange refused to give up on its bid to take over the London Stock Exchange after the British bourse emphatically rejected its $39 billion takeover offer on Friday.

Hong Kong's exchange refused to give up on its bid to take over the London Stock Exchange after the British bourse emphatically rejected its $39 billion takeover offer on Friday. The Hong Kong exchange said it would now hold more talks with LSE investors as it considers its next step, aiming to keep alive its hopes of becoming a more global player to rival US giants ICE and CME. "HKEX believes that shareholders in LSEG should have the opportunity to analyse in detail both transactions and will continue to engage with them," it said in a statement. The LSE said earlier on Friday, as it rebuffed the Hong Kong approach, that it was sticking with its $27 billion acquisition of data and analytics company Refinitiv - a deal that the HKEX offer had required the London exchange to abandon. It told HKEX in a letter that it had fundamental concerns about key aspects of its takeover proposal which it said had no strategic merit, and that HKEX's relationship with the Hong Kong government would "complicate matters". HKEX's valuation of the LSE falls "substantially short" and the "ongoing situation in Hong Kong" adds to uncertainty for shareholders, the London bourse added, a reference to weeks of pro-democracy street protests in the former British colony. "Accordingly, the board unanimously rejects the conditional proposal and, given its fundamental flaws, sees no merit in further engagement," the LSE said in a statement. HKEX, Hong Kong Exchanges and Clearing, said it was disappointed the LSE has refused to "properly engage" in a compelling proposal. A source close to HKEX added the quick dismissal of the surprise offer, announced on Wednesday, meant the Hong Kong bourse had very little time to discuss their proposal with investors, a sentiment echoed by some shareholders. "As shareholders in LSE, it's difficult to evaluate the merits of a combination with HKEX as we have been given no information on potential synergies," said James Bevan, chief investment officer at CCLA, which holds a small stake. LSE shares, however, rose on the news of the offer rejection and closed up 2.73 per cent at 7,450 pence. LSE's blunt rejection letter said the Hong Kong offer did not meet its strategic objectives. It said it was sticking with its core strategy of expanding into data with the Refinitiv deal, rather than taking a "significant backward step" by bulking up on market transactions in the HKEX proposal. The LSE also said a Hong Kong takeover could well be rejected by regulators or governments in Britain, the United States, and Italy. HKEX's assertion that implementing the deal would be swift and certain "is simply not credible", it added. The LSE also owns the Milan exchange and has a significant American presence through its FTSE Russell index subsidiary and LCH, its derivatives clearing house which dominates the US dollar swap market. HKEX added on Friday that it had held initial constructive discussions with regulators and policymakers. But a regulatory source in Britain said no substantive discussions had been held on the proposed deal so far. Higher or Hostile? The flat rejection indicates HKEX boss Charles Li is unlikely to win the LSE board round with an improved financial offer, meaning he may have to go hostile if he wants to persist. He would need to launch a major charm offensive with investors to convince them the LSE board is wrong. However, a source close to the LSE said even if the cash component of HKEX's cash-and shares offer was raised, it would increase the risk for a combined group by piling on more leverage. The source said a higher bid by the Hong Kong exchange or going hostile was unlikely to succeed because its proposal was "just too weak on every fundamental point". A deal will be also challenging given the troubled history of big exchange mergers, combined with Hong Kong's current unrest. The industry has been littered with attempts at cross-border tie-ups for over a decade as profits from the traditional business of running stock markets and clearing houses have fallen. But proposed deals have collapsed in the face of regulatory and political opposition to core parts of a country's financial system falling into foreign hands. This has pushed exchanges to look for related businesses for growth, with the likes of LSE and New York Stock Exchange owner ICE driving into more profitable and less politically sensitive areas like data and analytics, where revenue is rising. "This (rejection) certainly makes it clear that even if the HK exchange were to reconsider the terms of the transaction, it shows fundamentally the LSE board would prefer to go down the Refinitiv route," said Michael Werner, an analyst at UBS. HKEX made its offer just two days after its officials travelled to London to present it to LSE Chief Executive David Schwimmer for the first time. It has been coolly received by shareholders on both sides so far. Protests and Politics Analysts said a perception that Beijing is exerting growing influence over Hong Kong was a key sticking point for an LSE takeover, given the Hong Kong government's close links with the HKEX. The Hong Kong government is the biggest shareholder in HKEX, with a 6 per cent stake and approves six of the 13 board members. Hong Kong is entering a fourth month of sometimes violent protests sparked by legislation that would have drawn the former British colony closer to the Chinese legal system. Fitch Ratings said, before the LSE's rejection of the offer, that "increasing control by Chinese authorities over Hong Kong" could raise regulatory concerns in Britain and the United States about data and information security. HKEX, for its part, had touted the deal as providing London with a major gateway to the Chinese economy, but the LSE said HKEX did not provide the best long-term option. "We value our mutually beneficial partnership with the Shanghai Stock Exchange which is our preferred and direct channel to access the many opportunities with China," the LSE said. The LSE and Shanghai have recently launched a share trading link. Earlier on Friday, ahead of the rejection, HKEX boss Li told Reuters that his proposal was one about boosting the long-term fortunes of both exchanges. "Whoever can come up with a system that either allows money to go into China or allow the Chinese money to come out is going to really, really transform global financial markets."

Hong Kong exchange vows to press on with $39 billion London Stock Exchange bid after rebuff

The government on Saturday announced Rs 10,000 crore funds to boost affordable and middle income housing. The government will make funding available for housing projects that are not in a bankruptcy process or classified as non-performing assets, Nirmala Sitharaman said during a press conference in New Delhi.

The government on Saturday announced Rs 10,000 crore funds to boost affordable and middle income housing. The government will make funding available for housing projects that are not in a bankruptcy process or classified as non-performing assets, Nirmala Sitharaman said during a press conference in New Delhi. Sitharaman also announced various measures designed to aid India's slowing economy. She said the government would also relax external commercial borrowing guidelines for projects in the country's affordable housing scheme. Measures to boost exports The government will relax rules for lending to priority sectors, Sitharaman said, forecasting the move could lead to banks providing up to an extra Rs 50,000 crore of export credit to help revive a slowing economy. During a press conference in New Delhi, Sitharaman also detailed other steps, including improved insurance cover to banks that lend to exporters and the digitalization of certain services that she said would further bolster exports. (With inputs from Reuters)

Government to provide Rs 10,000 crore funds to boost affordable, mid-income housing

Finance Minister Nirmala Sitharaman at National Media Centre today addresses media on the Indian economy's state. Let's Listen in...

Finance Minister Nirmala Sitharaman addresses media on the Indian economy's state

Indian shares ticked up on Friday led by auto stocks, while gains in broader Asia on improving Sino-US trade relations and a rate cut from the European Central Bank eased fears of a global economic slowdown, boosting investor confidence.

The broader NSE Nifty was up 0.29 per cent&nbsp;at 11,015.35 as of 0400 GMT, while the benchmark BSE Sensex was 0.29 per cent&nbsp;higher at 37,213.93.

Asian shares inched higher after the European Central Bank delivered bigger-than-expected stimulus on Thursday and US President Donald Trump did not rule out the possibility of an interim pact with China ahead of talks between senior trade negotiators in early October.

MSCI`s broadest index of Asia-Pacific shares outside Japan ticked up 0.3 per cent though mainland China and South Korea were closed for public holidays.

"Internationally, there is good news. Central banks are doing whatever they need to do to revive growth," said Saurabh Jain, assistant vice-president of research at SMC Global Securities in New Delhi.

"People are hoping against hopes that government will take steps to help revive demand."

In domestic markets, the NSE auto index rose as much as 1.06 per cent.

The automobile sector is seeking a Goods and Services Tax (GST) cut to help revive demand for products. Markets await the outcome the GST council`s Sept 20 meeting where it is expected to decide on the matter.

The NSE IT index was up as much as 0.49 per cent, with shares of Wipro Ltd adding about 1.17 per cent.

Meanwhile, core inflation, which excludes food and fuel, moderated to 4.2 per cent&nbsp;in August 2019 from 4.25 per cent&nbsp;in July, suggesting that demand conditions remain sluggish, data showed on Thursday.

A slowdown in Asia`s third-largest economy has dampened demand for everything from cars to underwear, with the crucial automobile manufacturing sector hit particularly hard.

The India volatility index was down 1.2 per cent&nbsp;at 0401 GMT.

Among the losers, the NSE public sector bank index, which tracks state-owned lenders, shed about 0.59 per cent, with State Bank of India falling as much as 1.06 per cent.

Indian shares ticked up on Friday led by auto stocks, while gains in broader Asia on improving Sino-US trade relations and a rate cut from the European Central Bank eased fears of a global economic slowdown, boosting investor confidence.

Indian shares ticked up on Friday led by auto stocks, while gains in broader Asia on improving Sino-US trade relations and a rate cut from the European Central Bank eased fears of a global economic slowdown, boosting investor confidence. The broader NSE Nifty was up 0.29 per cent at 11,015.35 as of 0400 GMT, while the benchmark BSE Sensex was 0.29 per cent higher at 37,213.93. Asian shares inched higher after the European Central Bank delivered bigger-than-expected stimulus on Thursday and US President Donald Trump did not rule out the possibility of an interim pact with China ahead of talks between senior trade negotiators in early October. MSCI`s broadest index of Asia-Pacific shares outside Japan ticked up 0.3 per cent though mainland China and South Korea were closed for public holidays. "Internationally, there is good news. Central banks are doing whatever they need to do to revive growth," said Saurabh Jain, assistant vice-president of research at SMC Global Securities in New Delhi. "People are hoping against hopes that government will take steps to help revive demand." In domestic markets, the NSE auto index rose as much as 1.06 per cent. The automobile sector is seeking a Goods and Services Tax (GST) cut to help revive demand for products. Markets await the outcome the GST council`s Sept 20 meeting where it is expected to decide on the matter. The NSE IT index was up as much as 0.49 per cent, with shares of Wipro Ltd adding about 1.17 per cent. Meanwhile, core inflation, which excludes food and fuel, moderated to 4.2 per cent in August 2019 from 4.25 per cent in July, suggesting that demand conditions remain sluggish, data showed on Thursday. A slowdown in Asia`s third-largest economy has dampened demand for everything from cars to underwear, with the crucial automobile manufacturing sector hit particularly hard. The India volatility index was down 1.2 per cent at 0401 GMT. Among the losers, the NSE public sector bank index, which tracks state-owned lenders, shed about 0.59 per cent, with State Bank of India falling as much as 1.06 per cent.

Nifty, Sensex track broader Asia higher; auto stocks lead gains