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The BSE Sensex fell over 45 points today, extending third session of losses, as the September series derivatives contracts started on a somewhat weak note amid the rupee hitting the 71-mark for the first time ever.

However, the NSE Nifty edged slightly higher by 3.70 points.&nbsp

Muted global sentiment after a report that US President Donald Trump was preparing to impose more tariffs on China mainly hurt trading activities here.

The rupee crashed to a record low of 71 per dollar intra-day, tracking weakness in almost all other Asian peers following the latest round of US-China trade tensions and robust month-end demand for the American currency from oil importers.

A general caution prevailed in the market today with all eyes on GDP data for the June quarter as the Sensex closed in the negative terrain for the third straight day.

The quarterly GDP growth numbers will be released after market hours today.

On a weekly basis, both key indices Sensex and Nifty recorded their sixth straight week of gains by rising 393.27 points or 1.02 per cent, and 123.40 points or 1.07 per cent, respectively.

Investor sentiment was further hit as the rupee continued its slide to hit its new life-time low and breached the 71-mark (intra-day) first time ever tracking weakness in most Asian currencies against the US dollar. Besides, global crude oil surging to USD 78 a barrel also put pressure.

The Sensex moved in the range of 38,838.45 and 38,562.21 before settling down by 45.03 points, or 0.12 per cent, at 38,645.07.

The gauge had lost 206.53 points in the past two sessions.

The broader NSE Nifty managed to end with a small gain of 3.70 points, or 0.03 per cent, at 11,680.50. Intra-day, it shuttled between 11,727.65 and 11,640.10.

Meanwhile, domestic institutional investors (DIIs) sold shares worth a net Rs 1,598.67 crore, while foreign portfolio investors (FPIs) bought equities worth Rs 958.01 crore yesterday, as per provisional data.

Muted global sentiment after a report that US President Donald Trump was preparing to impose more tariffs on China mainly hurt trading activities here.

The BSE Sensex fell over 45 points today, extending third session of losses, as the September series derivatives contracts started on a somewhat weak note amid the rupee hitting the 71-mark for the first time ever. However, the NSE Nifty edged slightly higher by 3.70 points. Muted global sentiment after a report that US President Donald Trump was preparing to impose more tariffs on China mainly hurt trading activities here. The rupee crashed to a record low of 71 per dollar intra-day, tracking weakness in almost all other Asian peers following the latest round of US-China trade tensions and robust month-end demand for the American currency from oil importers. A general caution prevailed in the market today with all eyes on GDP data for the June quarter as the Sensex closed in the negative terrain for the third straight day. The quarterly GDP growth numbers will be released after market hours today. On a weekly basis, both key indices Sensex and Nifty recorded their sixth straight week of gains by rising 393.27 points or 1.02 per cent, and 123.40 points or 1.07 per cent, respectively. Investor sentiment was further hit as the rupee continued its slide to hit its new life-time low and breached the 71-mark (intra-day) first time ever tracking weakness in most Asian currencies against the US dollar. Besides, global crude oil surging to USD 78 a barrel also put pressure. The Sensex moved in the range of 38,838.45 and 38,562.21 before settling down by 45.03 points, or 0.12 per cent, at 38,645.07. The gauge had lost 206.53 points in the past two sessions. The broader NSE Nifty managed to end with a small gain of 3.70 points, or 0.03 per cent, at 11,680.50. Intra-day, it shuttled between 11,727.65 and 11,640.10. Meanwhile, domestic institutional investors (DIIs) sold shares worth a net Rs 1,598.67 crore, while foreign portfolio investors (FPIs) bought equities worth Rs 958.01 crore yesterday, as per provisional data.

Sensex extends losses as new F&O series opens subdued, rupee worries continue

Continuing its<a href="http://www.wionews.com/business-%26-economy/petrol-diesel-prices-hiked-for-the-fifth-day-on-the-trot--162438"> downward slide</a>, the rupee on Thursday weakened by another 23 paise against the dollar to trade at a lifetime low of 70.82 on strong month-end demand for the US currency amid sustained foreign fund outflows, reported news agency PTI.

At the Interbank Foreign Exchange (Forex) market, the local currency opened a tad higher at 70.57 a dollar from its previous close of 70.59 but slipped to hit a fresh low of 70.82, down by 23 paise, the report further said.

Forex dealers said besides strong month-end demand for the American currency, buying by importers, mainly oil refiners in view of surging crude oil prices and capital outflows, weighed on the domestic currency.

Furthermore, the dollar strengthened against its rival currencies overseas too put pressure on the rupee, they said.

The rupee had recorded a steep fall of 49 paise, to close at record low of 70.59 against the dollar in the previous session.

Meanwhile, the BSE Sensex recovered by 96.13 points, or 0.24 per cent, to 38,819.06 in early trade.&nbsp;

Forex dealers said besides strong month-end demand for the American currency, buying by importers, mainly oil refiners in view of surging crude oil prices and capital outflows, weighed on the domestic currency.

Continuing its downward slide, the rupee on Thursday weakened by another 23 paise against the dollar to trade at a lifetime low of 70.82 on strong month-end demand for the US currency amid sustained foreign fund outflows, reported news agency PTI. At the Interbank Foreign Exchange (Forex) market, the local currency opened a tad higher at 70.57 a dollar from its previous close of 70.59 but slipped to hit a fresh low of 70.82, down by 23 paise, the report further said. Forex dealers said besides strong month-end demand for the American currency, buying by importers, mainly oil refiners in view of surging crude oil prices and capital outflows, weighed on the domestic currency. Furthermore, the dollar strengthened against its rival currencies overseas too put pressure on the rupee, they said. The rupee had recorded a steep fall of 49 paise, to close at record low of 70.59 against the dollar in the previous session. Meanwhile, the BSE Sensex recovered by 96.13 points, or 0.24 per cent, to 38,819.06 in early trade.

Rupee hits a new record low of 70.82, drops 23 paise against US dollar

Petrol prices witnessed marginal increase on Thursday. Petrol is being sold at Rs 78.30 per litre in Delhi and Rs 85.72 per litre in Mumbai.&nbsp; 
&nbsp; 
The price of petrol had crossed the <a href="http://www.wionews.com/business-%26-economy/rupee-hits-a-new-record-low-of-7082-drops-23-paise-against-us-dollar-162427">Rs 78 per litre</a> mark in Delhi for the first time in more than two-and-half-months on Tuesday.

Meanwhile, diesel scaled a new high and is sold at Rs 69.93 per litre in Delhi and Rs 74.24 per litre in Mumbai.

Petrol price on Wednesday settled at Rs 78.18 a litre while diesel scaled a new high of Rs 69.75 per litre in the national capital.&nbsp;

The fuel prices increased for the fifth consecutive day today.&nbsp;

Fuel prices have witnessed a sharp hike since August 26. &nbsp;The prices have climbed steadily since August 26.&nbsp;

The price of petrol had crossed the Rs 78 per litre mark in Delhi for the first time in more than two-and-half-months on Tuesday.

Petrol prices witnessed marginal increase on Thursday. Petrol is being sold at Rs 78.30 per litre in Delhi and Rs 85.72 per litre in Mumbai. The price of petrol had crossed the Rs 78 per litre mark in Delhi for the first time in more than two-and-half-months on Tuesday. Meanwhile, diesel scaled a new high and is sold at Rs 69.93 per litre in Delhi and Rs 74.24 per litre in Mumbai. Petrol price on Wednesday settled at Rs 78.18 a litre while diesel scaled a new high of Rs 69.75 per litre in the national capital. The fuel prices increased for the fifth consecutive day today. Fuel prices have witnessed a sharp hike since August 26. The prices have climbed steadily since August 26.

Petrol, diesel prices hiked for fifth consecutive day

Vodafone Hutchison Australia and TPG Telecom announced plans Thursday to merge into a Aus$15 billion (US$11 billion) telecommunications giant to take on key rivals Telstra and Optus.

Under the proposal, Vodafone Australia -- privately-owned by Hong Kong-based CK Hutchison and Britain's Vodafone Group -- will hold the majority stake at 50.1 per cent.

TPG shareholders would own 49.9 per cent of the entity which will be called TPG Telecom Limited and be listed on the Australian Securities Exchange.

"With this merger, we will be a more formidable competitor against Telstra and Optus," said TPG chairman David Teoh.

"The characteristics that have made TPG what it is today -– innovative, customer-focused, bold -– will be magnified through this combination of such highly complementary businesses."

TPG is an ASX-listed telecommunications provider and is one of the country's largest internet service providers. It has a fixed-line residential subscriber base of over 1.9 million people and significant corporate, government and wholesale business.&nbsp

Vodafone Hutchison Australia (VHA) is the nation's third largest mobile operator with a customer base of around 6.0 million subscribers.

Its chief executive, Inaki Berroeta, said the two companies together would provide scale and financial strength to compete more effectively.

"The combination of our two highly complementary businesses and talented employees will create a more sustainable company, with enhanced capacity to invest in new technology and innovation," he said.

"We are confident that this merger will be highly beneficial to customers, shareholders and other stakeholders.

"The combination of the two companies will create an organisation with the necessary scale, breadth and financial strength for the future," he added.

Berroeta will be chief executive of the merged business, while Teoh will be chairman.

The deal is expected to be completed next year, subject to approval from regulators including the Foreign Investment Review Board and competition watchdog.

Under the proposal Vodafone Australia will hold the majority stake at 50.1 per cent.

Vodafone Hutchison Australia and TPG Telecom announced plans Thursday to merge into a Aus$15 billion (US$11 billion) telecommunications giant to take on key rivals Telstra and Optus. Under the proposal, Vodafone Australia -- privately-owned by Hong Kong-based CK Hutchison and Britain's Vodafone Group -- will hold the majority stake at 50.1 per cent. TPG shareholders would own 49.9 per cent of the entity which will be called TPG Telecom Limited and be listed on the Australian Securities Exchange. "With this merger, we will be a more formidable competitor against Telstra and Optus," said TPG chairman David Teoh. "The characteristics that have made TPG what it is today -– innovative, customer-focused, bold -– will be magnified through this combination of such highly complementary businesses." TPG is an ASX-listed telecommunications provider and is one of the country's largest internet service providers. It has a fixed-line residential subscriber base of over 1.9 million people and significant corporate, government and wholesale business. Vodafone Hutchison Australia (VHA) is the nation's third largest mobile operator with a customer base of around 6.0 million subscribers. Its chief executive, Inaki Berroeta, said the two companies together would provide scale and financial strength to compete more effectively. "The combination of our two highly complementary businesses and talented employees will create a more sustainable company, with enhanced capacity to invest in new technology and innovation," he said. "We are confident that this merger will be highly beneficial to customers, shareholders and other stakeholders. "The combination of the two companies will create an organisation with the necessary scale, breadth and financial strength for the future," he added. Berroeta will be chief executive of the merged business, while Teoh will be chairman. The deal is expected to be completed next year, subject to approval from regulators including the Foreign Investment Review Board and competition watchdog.

TPG Telecom and Vodafone Hutchison Australia in $11 billion merger

The roaring growth of the US economy in the second quarter was even faster than first reported, with new numbers showing a bigger boost in corporate spending, the government reported Wednesday.

The uptick in business spending in the April-June quarter was sure to comfort President Donald Trump and supporters of December's sweeping corporate tax cuts, who argue that lowering tax burdens will spur investment and growth.

Gross Domestic Product advanced at an annual rate of 4.2 per cent in the second quarter, a tenth of a point faster than initial estimates last month and the fastest growth in almost four years, according to the Commerce Department.

The rate also was nearly twice the pace of first-quarter growth, surprising analysts who had been expecting a slight downward revision.

Many economists view the second quarter growth as a blip, juiced by one-off factors unlikely to be sustainable. Estimates for growth in the third quarter now hover around a still-robust three per cent, putting Trump's annual growth target of three per cent within reach for this year at least.

Economists also warn there are signs momentum slowed at the end of the third quarter, with Trump's tariff battles cutting into exports.

The effects of the tax cuts and recent stimulus are expected to begin to wane soon, while rising interest rates and the US-China trade battle loom as economic headwinds.

But Trump last month hailed the economy's renewed vigor, claiming credit for boosting growth with tax cuts and by aggressively confronting trading partners.

"With profit margins expanding again and investment spending accelerating, the outlook for the second half of the year is a solid one but accompanied by rising inflation pressures," RDQ Economics said in an analytical note.

Much of the second-quarter boom was due to a boost in exports as merchants raced to buy American goods -- principally soybeans and petroleum -- ahead of China's retaliatory tariffs, which took effect in July. The pendulum is expected to swing in the other direction in coming months.

Softer consumer spending

Corporate profits rose $72.4 billion, up from $26.7 billion in the first quarter when many companies reported one-time accounting charges due to changes in the tax laws.

Much of the upward revision in spending by companies reflected investment in computer software, according to the department. Meanwhile, estimates for the value of imports, notably petroleum, fell and federal and local government spending moved up.

US defense spending also rose six per cent for the quarter, the biggest increase in nine years, five-tenths of a percentage point faster than previously estimated.

These gains offset what officials described as "widespread" downward revisions to consumer spending, with small subtractions from purchases of cars, furniture and gasoline, among other items.

Downward revisions in the housing sector, which has suffered declining sales and construction this year, also weighed on the outcome.

The new estimate was based on a more complete set of data than previously available and will be revised again next month.

With budget deficits ballooning, the White House is betting on faster growth to help offset the cost of the tax cuts, which economists say is unlikely.

Already in record territory, Wall Street again closed higher on Wednesday as the S&P 500 and Nasdaq set new records. Investors appeared less moved by the rosy economic figures than by mounting optimism in trade talks between United States, Canada and Mexico, however.

Gross Domestic Product advanced at an annual rate of 4.2 per cent in the second quarter.

The roaring growth of the US economy in the second quarter was even faster than first reported, with new numbers showing a bigger boost in corporate spending, the government reported Wednesday. The uptick in business spending in the April-June quarter was sure to comfort President Donald Trump and supporters of December's sweeping corporate tax cuts, who argue that lowering tax burdens will spur investment and growth. Gross Domestic Product advanced at an annual rate of 4.2 per cent in the second quarter, a tenth of a point faster than initial estimates last month and the fastest growth in almost four years, according to the Commerce Department. The rate also was nearly twice the pace of first-quarter growth, surprising analysts who had been expecting a slight downward revision. Many economists view the second quarter growth as a blip, juiced by one-off factors unlikely to be sustainable. Estimates for growth in the third quarter now hover around a still-robust three per cent, putting Trump's annual growth target of three per cent within reach for this year at least. Economists also warn there are signs momentum slowed at the end of the third quarter, with Trump's tariff battles cutting into exports. The effects of the tax cuts and recent stimulus are expected to begin to wane soon, while rising interest rates and the US-China trade battle loom as economic headwinds. But Trump last month hailed the economy's renewed vigor, claiming credit for boosting growth with tax cuts and by aggressively confronting trading partners. "With profit margins expanding again and investment spending accelerating, the outlook for the second half of the year is a solid one but accompanied by rising inflation pressures," RDQ Economics said in an analytical note. Much of the second-quarter boom was due to a boost in exports as merchants raced to buy American goods -- principally soybeans and petroleum -- ahead of China's retaliatory tariffs, which took effect in July. The pendulum is expected to swing in the other direction in coming months. Softer consumer spending Corporate profits rose $72.4 billion, up from $26.7 billion in the first quarter when many companies reported one-time accounting charges due to changes in the tax laws. Much of the upward revision in spending by companies reflected investment in computer software, according to the department. Meanwhile, estimates for the value of imports, notably petroleum, fell and federal and local government spending moved up. US defense spending also rose six per cent for the quarter, the biggest increase in nine years, five-tenths of a percentage point faster than previously estimated. These gains offset what officials described as "widespread" downward revisions to consumer spending, with small subtractions from purchases of cars, furniture and gasoline, among other items. Downward revisions in the housing sector, which has suffered declining sales and construction this year, also weighed on the outcome. The new estimate was based on a more complete set of data than previously available and will be revised again next month. With budget deficits ballooning, the White House is betting on faster growth to help offset the cost of the tax cuts, which economists say is unlikely. Already in record territory, Wall Street again closed higher on Wednesday as the S&P 500 and Nasdaq set new records. Investors appeared less moved by the rosy economic figures than by mounting optimism in trade talks between United States, Canada and Mexico, however.

US economy grew 4.2% in second quarter, faster than first quarter

A key measure of annual US inflation rose&nbsplast month at the fastest pace seen in six years, accelerating slightly from June, the Commerce Department reported Thursday.

The Federal Reserve's preferred price index, based on consumer spending, rose 2.3 per cent in the 12 months ended in July, according to the monthly data, which was the strongest since March 2012.

Excluding volatile food and energy prices, the inflation rate also accelerated to 2.0 per cent, which hits the Fed's goal.

The Federal Reserve's preferred price index, based on consumer spending, rose 2.3 per cent in the 12 months ended in July, according to the monthly data, which was the strongest since March 2012.

A key measure of annual US inflation rose&nbsplast month at the fastest pace seen in six years, accelerating slightly from June, the Commerce Department reported Thursday. The Federal Reserve's preferred price index, based on consumer spending, rose 2.3 per cent in the 12 months ended in July, according to the monthly data, which was the strongest since March 2012. Excluding volatile food and energy prices, the inflation rate also accelerated to 2.0 per cent, which hits the Fed's goal.

Key US inflation measure hits highest rate in 6 years in July, up 2.3%

The Sensex on Thursday closed lower by 32.83 points or 0.08 per cent at 38,690.10 and the Nifty down 15.1 points or 0.13 per cent at 11,676.80.

Profit-booking by funds and retail investors owing to the August month derivatives expiry and weak global cues dampened investor sentiment.&nbsp

A weak rupee and rising crude oil prices also fuelled the downtrend.

Among sectors, FMCG, metals and pharma along with PSU banks were the top gainers, while auto, energy and Bank Nifty were the big laggards. In the broader markets, the Nifty Midcap index, too, ended over one-fifth of a per cent higher.&nbsp

At the close of market hours, the Sensex ended lower by 32.83 points or 0.08% at 38690.10, while the Nifty was down 12.20 points or 0.10% at 11679.70. The market breadth was positive as 1,441 shares advanced, against a decline of 1,255 shares, while 169 shares were unchanged.

A weak rupee and rising crude oil prices also fuelled the downtrend.

The Sensex on Thursday closed lower by 32.83 points or 0.08 per cent at 38,690.10 and the Nifty down 15.1 points or 0.13 per cent at 11,676.80. Profit-booking by funds and retail investors owing to the August month derivatives expiry and weak global cues dampened investor sentiment. A weak rupee and rising crude oil prices also fuelled the downtrend. Among sectors, FMCG, metals and pharma along with PSU banks were the top gainers, while auto, energy and Bank Nifty were the big laggards. In the broader markets, the Nifty Midcap index, too, ended over one-fifth of a per cent higher. At the close of market hours, the Sensex ended lower by 32.83 points or 0.08% at 38690.10, while the Nifty was down 12.20 points or 0.10% at 11679.70. The market breadth was positive as 1,441 shares advanced, against a decline of 1,255 shares, while 169 shares were unchanged.

Sensex ends down by 33 points, Nifty closes at 11,676.80

Credit rating agency Moody's Investors Service today said there are risks of India breaching the 3.3 per cent fiscal deficit target for the current financial year as higher oil prices will add to short-term fiscal pressures. 
According to the US-based agency, the current account deficit (CAD), which is the difference between inflow and outflow of foreign currency, will widen but will not jeopardise India's external position and the gap will remain significantly narrower than five years ago.

"Higher oil prices add to short-term fiscal pressures, following cuts in the goods and services tax on some items and relatively high increases in minimum support prices for some crops. We see risks that the deficit will be wider than budgeted," Moody's said.

The government has budgeted fiscal deficit to be at 3.3 per cent of gross domestic product (GDP) in the current fiscal ending March 2019. Fiscal deficit during April-June quarter of current fiscal had touched 68.7 per cent of Budget estimates.

Also driven by higher oil prices and robust non-oil import demand, Moody's expects the current account deficit to widen to 2.5 per cent of GDP in the fiscal year ending March 2019, from 1.5 per cent in fiscal 2018.

Moody's Vice President and Senior Analyst Joy Rankothge said, higher oil prices and interest rates will put pressure on the government's budget and the current account. However, growth prospects remain in line with the economy's potential, around 7.5 per cent this year and next.

"This robust growth, large foreign exchange reserves, a predominantly domestic funding base, strengthened monetary policy management, and macroprudential regulations on bank lending in foreign currency will broadly contain the credit impact of the higher oil prices and rising interest rates," Rankothge said.

Moody's said oil prices at current levels will raise expenditures and add to existing pressures on the fiscal position stemming from the lowering of goods and services tax (GST) rates on a range of consumer goods and a tax cut for small businesses as well as the relatively high minimum support prices set for this year.

Although the deregulation of both diesel and gasoline prices has reduced the fiscal impact of rising oil prices, liquefied petroleum gas (LPG) and kerosene remain regulated and subject to subsidies, which were budgeted at 0.5 per cent of government expenditures for the year ending March 2019.

"While the government may cut back on capital expenditures to limit fiscal slippage, as has happened in previous years, such cuts may not fully offset the revenue losses and higher spending on energy subsidies and price support for crops. Moody's, therefore, sees risks that the central government deficit will be wider than targeted in the short term," it said.

Brent crude futures is currently hovering around $76.51 a barrel.

However, a temporary fiscal slippage, if any, will not offset India's robust nominal GDP growth and large domestic financing base which helps keep the government's debt burden broadly stable, Moody's added.

Moody's had last year upped India's sovereign rating for the first time in over 13 years to 'Baa2' with a stable outlook, saying that growth prospects have improved with continued economic and institutional reforms. 
CAD jumped to $48.7 billion in 2017-18 fiscal. This was higher than $14.4 billion CAD in 2016-17 fiscal.

Brent crude futures is currently hovering around $76.51 a barrel.

Credit rating agency Moody's Investors Service today said there are risks of India breaching the 3.3 per cent fiscal deficit target for the current financial year as higher oil prices will add to short-term fiscal pressures. According to the US-based agency, the current account deficit (CAD), which is the difference between inflow and outflow of foreign currency, will widen but will not jeopardise India's external position and the gap will remain significantly narrower than five years ago. "Higher oil prices add to short-term fiscal pressures, following cuts in the goods and services tax on some items and relatively high increases in minimum support prices for some crops. We see risks that the deficit will be wider than budgeted," Moody's said. The government has budgeted fiscal deficit to be at 3.3 per cent of gross domestic product (GDP) in the current fiscal ending March 2019. Fiscal deficit during April-June quarter of current fiscal had touched 68.7 per cent of Budget estimates. Also driven by higher oil prices and robust non-oil import demand, Moody's expects the current account deficit to widen to 2.5 per cent of GDP in the fiscal year ending March 2019, from 1.5 per cent in fiscal 2018. Moody's Vice President and Senior Analyst Joy Rankothge said, higher oil prices and interest rates will put pressure on the government's budget and the current account. However, growth prospects remain in line with the economy's potential, around 7.5 per cent this year and next. "This robust growth, large foreign exchange reserves, a predominantly domestic funding base, strengthened monetary policy management, and macroprudential regulations on bank lending in foreign currency will broadly contain the credit impact of the higher oil prices and rising interest rates," Rankothge said. Moody's said oil prices at current levels will raise expenditures and add to existing pressures on the fiscal position stemming from the lowering of goods and services tax (GST) rates on a range of consumer goods and a tax cut for small businesses as well as the relatively high minimum support prices set for this year. Although the deregulation of both diesel and gasoline prices has reduced the fiscal impact of rising oil prices, liquefied petroleum gas (LPG) and kerosene remain regulated and subject to subsidies, which were budgeted at 0.5 per cent of government expenditures for the year ending March 2019. "While the government may cut back on capital expenditures to limit fiscal slippage, as has happened in previous years, such cuts may not fully offset the revenue losses and higher spending on energy subsidies and price support for crops. Moody's, therefore, sees risks that the central government deficit will be wider than targeted in the short term," it said. Brent crude futures is currently hovering around $76.51 a barrel. However, a temporary fiscal slippage, if any, will not offset India's robust nominal GDP growth and large domestic financing base which helps keep the government's debt burden broadly stable, Moody's added. Moody's had last year upped India's sovereign rating for the first time in over 13 years to 'Baa2' with a stable outlook, saying that growth prospects have improved with continued economic and institutional reforms. CAD jumped to $48.7 billion in 2017-18 fiscal. This was higher than $14.4 billion CAD in 2016-17 fiscal.

India may breach 3.3% fiscal deficit target: Moody's

The rupee weakened by 22 paise to 70.32 against the US dollar today, hurt by fresh demand for the American currency from importers.

Traders said besides fresh demand of the US currency from importers, dollar's strength against some currencies overseas weighed on the domestic unit.&nbsp

Yesterday, the local currency had bounced back in a tepid fashion from the record closing low, gaining 6 paise to end at 70.10 against the US currency.

Meanwhile, the benchmark BSE Sensex rose nearly 100 points to hit another record of 38,989.65, and Nifty too hit a peak of 11,751.05, up 12.55 points or 0.11 per cent.&nbsp

Traders said besides fresh demand of the US currency from importers, dollar's strength against some currencies overseas weighed on the domestic unit.

The rupee weakened by 22 paise to 70.32 against the US dollar today, hurt by fresh demand for the American currency from importers. Traders said besides fresh demand of the US currency from importers, dollar's strength against some currencies overseas weighed on the domestic unit. Yesterday, the local currency had bounced back in a tepid fashion from the record closing low, gaining 6 paise to end at 70.10 against the US currency. Meanwhile, the benchmark BSE Sensex rose nearly 100 points to hit another record of 38,989.65, and Nifty too hit a peak of 11,751.05, up 12.55 points or 0.11 per cent.

Rupee falls 22 paise to 70.32 against US dollar

In volatile trade, the benchmark BSE Sensex hit a new life-time high of 38,989.65, extending its record-setting spree for a third session on buying by domestic investors amid short-covering ahead of August futures and options (F&O) expiry and mixed Asian cues.

The 30-share index rose by 93.02 points, or 0.23 per cent, to hit a new high of 38,989.65, bettering its previous intra-day record of 38,938.91 hit yesterday.

The index, however, turned choppy and was trading flat at 38,896.02 at 0945 hrs.

The gauge has rallied 644.83 points in the previous two sessions.

The 50-share NSE Nifty too turned cautious and was trading 14.70 points, or 0.12 per cent, higher at 11,753.20.

Sentiment turned cautious ahead of August series F&O expiry scheduled tomorrow amid mixed cues from other Asian bourses, traders said.

Prominent gainers were Vedanta, Sun Pharma, Adani Ports, Tata Motors, HDFC, SBI, ONGC, RIL, Bharti Airtel, M&M, Axis Bank, Maruti Suzuki and NTPC, rising up to 2.06 per cent.

Top losers include Coal India, Yes Bank, Hero MotoCorp, Infosys, HUL and ICICI Bank falling up to 1.97 per cent.

Meanwhile, on a net basis, foreign funds sold shares worth Rs 161.05 crore, while domestic institutional investors offloaded shares to the tune of Rs&nbsp 
199.28 crore yesterday, provisional data showed.

Elsewhere in Asia, Japan's Nikkei was up 0.51 per cent, Hong Kong's Hang Seng rose 0.07 per cent, while Shanghai Composite Index shed 0.35 per cent in their early sessions.

The US Dow Jones Industrial Average ended 0.069 per cent higher yesterday.

The 30-share index rose by 93.02 points, or 0.23 per cent, to hit a new high of 38,989.65, bettering its previous intra-day record of 38,938.91 hit yesterday.

In volatile trade, the benchmark BSE Sensex hit a new life-time high of 38,989.65, extending its record-setting spree for a third session on buying by domestic investors amid short-covering ahead of August futures and options (F&O) expiry and mixed Asian cues. The 30-share index rose by 93.02 points, or 0.23 per cent, to hit a new high of 38,989.65, bettering its previous intra-day record of 38,938.91 hit yesterday. The index, however, turned choppy and was trading flat at 38,896.02 at 0945 hrs. The gauge has rallied 644.83 points in the previous two sessions. The 50-share NSE Nifty too turned cautious and was trading 14.70 points, or 0.12 per cent, higher at 11,753.20. Sentiment turned cautious ahead of August series F&O expiry scheduled tomorrow amid mixed cues from other Asian bourses, traders said. Prominent gainers were Vedanta, Sun Pharma, Adani Ports, Tata Motors, HDFC, SBI, ONGC, RIL, Bharti Airtel, M&M, Axis Bank, Maruti Suzuki and NTPC, rising up to 2.06 per cent. Top losers include Coal India, Yes Bank, Hero MotoCorp, Infosys, HUL and ICICI Bank falling up to 1.97 per cent. Meanwhile, on a net basis, foreign funds sold shares worth Rs 161.05 crore, while domestic institutional investors offloaded shares to the tune of Rs 199.28 crore yesterday, provisional data showed. Elsewhere in Asia, Japan's Nikkei was up 0.51 per cent, Hong Kong's Hang Seng rose 0.07 per cent, while Shanghai Composite Index shed 0.35 per cent in their early sessions. The US Dow Jones Industrial Average ended 0.069 per cent higher yesterday.

Sensex turns choppy after hitting record high

The government today said demonetisation has achieved the objectives "quite substantially" as it helped curb black money flows, even as the RBI data showed that 99.3 per cent of junked notes came back to the banking system.

Economic Affairs Secretary Subhash Chandra Garg said demonetisation was able to curb terrorist financing and promote digital payments. The currency in circulation is now Rs 3-4 lakh crore less than if if the system had continued in the old manner, he said here.

On November 8, 2016, the government cancelled the legal validity of old Rs 500 and 2,000 notes.

"We have said in the past also I think demonetisation has achieved its objectives quite substantially," Garg said here.

When asked to elaborate on the objectives achieved, he said, "I don't want to give a lecture on that".

Following the note ban, Garg said not a single incident of high-quality fake note has been detected in the system in the last one year and ten months.

On whether the objective of reducing black money was achieved, he replied in the affirmative.

"Yes... black money is not entirely cash. It is one of the components of holding the black money. It is a much wider subject. It is in the form of real estate, gold and many other ways," he noted.

According to Garg, the RBI in its last annual report had noted that most of the junked notes were being counted and about Rs 16,000 crore of Specified Bank Notes (SBNs) were not received.

"Now, they have completed the entire process, all the notes, which have been received have been counted and they have been disposed off. And the final account has come up. It is that about Rs 10,000-odd crore of notes have not come back," he said.

There are some amount of small notes still stuck in court processes as well as those with law enforcement agencies but amount involved in all this are very small.

As per the RBI's annual report released today, as much as 99.3 per cent of the junked Rs 500 and Rs 1,000 notes have returned to the banking system.

On November 8, 2016, Prime Minister Narendra Modi had announced the demonetisation of high-value currency notes.

Of the Rs 15.41 lakh crore worth Rs 500 and Rs 1,000 notes in circulation on November 8, 2016, when the note ban was announced, notes worth Rs 15.31 lakh crore have been returned.

This meant just Rs 10,720 crore of the junked currency did not return to the banking system.

Asked if government has reached some agreement with Nepal and Bhutan for exchange of SBNs, Garg said some notes are with people in these two countries but the amount is not significant.

Although no final decision has been taken, the probability for exchange is very low, he added.

"The perception that lot of people may be holding banned currency notes outside India is not correct. The non-citizen have no right to hold it in first place... therefore there is no legal provision to take it back. It is now illegal to hold it," he said.

Asked about cost of printing notes, Garg said RBI normally incurs expenses to the tune of Rs 4,000 to 5,000 crore.

"Last year, it was Rs 8,000 crore. It does happen. It depends on volume of currency you print," he added.

On whether there is cash crunch, Garg said there was no crisis anywhere in the country now.

"This was a temporary problem which was witness in February, March. It is gone past, that problem does not exist any longer.

"If you see the currency pattern, this year also it is no different. In the month of July and August some currency has come back to the system. So there is no net addition in last two months," he said.

Economic Affairs Secretary Subhash Chandra Garg said demonetisation was able to curb terrorist financing and promote digital payments. The currency in circulation is now Rs 3-4 lakh crore less than if if the system had continued in the old manner, he said.

The government today said demonetisation has achieved the objectives "quite substantially" as it helped curb black money flows, even as the RBI data showed that 99.3 per cent of junked notes came back to the banking system. Economic Affairs Secretary Subhash Chandra Garg said demonetisation was able to curb terrorist financing and promote digital payments. The currency in circulation is now Rs 3-4 lakh crore less than if if the system had continued in the old manner, he said here. On November 8, 2016, the government cancelled the legal validity of old Rs 500 and 2,000 notes. "We have said in the past also I think demonetisation has achieved its objectives quite substantially," Garg said here. When asked to elaborate on the objectives achieved, he said, "I don't want to give a lecture on that". Following the note ban, Garg said not a single incident of high-quality fake note has been detected in the system in the last one year and ten months. On whether the objective of reducing black money was achieved, he replied in the affirmative. "Yes... black money is not entirely cash. It is one of the components of holding the black money. It is a much wider subject. It is in the form of real estate, gold and many other ways," he noted. According to Garg, the RBI in its last annual report had noted that most of the junked notes were being counted and about Rs 16,000 crore of Specified Bank Notes (SBNs) were not received. "Now, they have completed the entire process, all the notes, which have been received have been counted and they have been disposed off. And the final account has come up. It is that about Rs 10,000-odd crore of notes have not come back," he said. There are some amount of small notes still stuck in court processes as well as those with law enforcement agencies but amount involved in all this are very small. As per the RBI's annual report released today, as much as 99.3 per cent of the junked Rs 500 and Rs 1,000 notes have returned to the banking system. On November 8, 2016, Prime Minister Narendra Modi had announced the demonetisation of high-value currency notes. Of the Rs 15.41 lakh crore worth Rs 500 and Rs 1,000 notes in circulation on November 8, 2016, when the note ban was announced, notes worth Rs 15.31 lakh crore have been returned. This meant just Rs 10,720 crore of the junked currency did not return to the banking system. Asked if government has reached some agreement with Nepal and Bhutan for exchange of SBNs, Garg said some notes are with people in these two countries but the amount is not significant. Although no final decision has been taken, the probability for exchange is very low, he added. "The perception that lot of people may be holding banned currency notes outside India is not correct. The non-citizen have no right to hold it in first place... therefore there is no legal provision to take it back. It is now illegal to hold it," he said. Asked about cost of printing notes, Garg said RBI normally incurs expenses to the tune of Rs 4,000 to 5,000 crore. "Last year, it was Rs 8,000 crore. It does happen. It depends on volume of currency you print," he added. On whether there is cash crunch, Garg said there was no crisis anywhere in the country now. "This was a temporary problem which was witness in February, March. It is gone past, that problem does not exist any longer. "If you see the currency pattern, this year also it is no different. In the month of July and August some currency has come back to the system. So there is no net addition in last two months," he said.

Demonetisation achieved its objectives quite substantially: Govt

Gold prices edged higher on Wednesday after the previous session's sharp fall, but rising US&nbspinterest rates and lingering Sino-US&nbsptrade tensions continued to weigh on the market with investors selling the metal at small rallies.

Spot gold was up 0.3 per cent at $1,204.64 an ounce at 0329 GMT. Prices hit their highest since August 10 at $1,214.28 on Tuesday but closed 0.8 per cent lower as US&nbspTreasuries rose after the United States and Mexico struck a trade deal.&nbsp

"The selling (on Tuesday) shows nobody wants to chase the metal above $1,210 ... There is going to be interest rate hikes in September and December, and that is acting as a burden for gold," said Ronald Leung, chief dealer at Lee Cheong Gold Dealers in Hong Kong.

Gold has lost its appeal as a safe-haven asset, having fallen 7.5 per cent this year, amid international trade disputes and the Turkish currency crisis, with investors increasingly turning to the dollar instead.

The dollar was stuck in a tight range on Wednesday after touching a four-week low overnight as optimism over the US-Mexico trade deal gave way to caution ahead of an upcoming deadline in the Sino-US&nbsptrade dispute.

The deadline for public comment on US&nbspPresident Donald Trump's increased tariffs on $200 billion of Chinese goods is on Sept. 5.

As long as trade tensions between the United States and China continue to persist, the US&nbspdollar will benefit and, in turn, hurt gold, analysts said.

Spot gold is expected to retest a support at $1,200 per ounce, a break below which could cause a fall to $1,193, Reuters technical analyst Wang Tao said.

"If gold can consolidate around the present levels and hit $1,215 again, then we might see prices move to $1,235-$1,240," Leung said.

Gold prices have recovered some ground after touching a 1-1/2-year low on August 16 and are holding above the key psychological level $1,200.

However, that has not reversed investors' bearish stance on the precious metal, with no let-up in liquidations in exchange-traded funds, and record short positions in Comex gold.

Holdings in the largest gold-backed ETF, SPDR Gold Trust GLD, have declined 3.6 million ounces from a peak in late April.

"It looks like people are happy to be short. We need some incentives for the shorts to be covered, which is missing at this point of time," said Yuichi Ikemizu, Tokyo branch manager, ICBC Standard Bank.

Spot silver was up 0.6 per cent at $14.75.

Platinum rose 0.9 per cent to $789.99, while palladium was down 0.1 per cent at $939.80 after hitting a seven-week top at $956 on Tuesday.

Gold has lost its appeal as a safe-haven asset, having fallen 7.5 per cent this year, amid international trade disputes and the Turkish currency crisis.

Gold prices edged higher on Wednesday after the previous session's sharp fall, but rising US&nbspinterest rates and lingering Sino-US&nbsptrade tensions continued to weigh on the market with investors selling the metal at small rallies. Spot gold was up 0.3 per cent at $1,204.64 an ounce at 0329 GMT. Prices hit their highest since August 10 at $1,214.28 on Tuesday but closed 0.8 per cent lower as US&nbspTreasuries rose after the United States and Mexico struck a trade deal. "The selling (on Tuesday) shows nobody wants to chase the metal above $1,210 ... There is going to be interest rate hikes in September and December, and that is acting as a burden for gold," said Ronald Leung, chief dealer at Lee Cheong Gold Dealers in Hong Kong. Gold has lost its appeal as a safe-haven asset, having fallen 7.5 per cent this year, amid international trade disputes and the Turkish currency crisis, with investors increasingly turning to the dollar instead. The dollar was stuck in a tight range on Wednesday after touching a four-week low overnight as optimism over the US-Mexico trade deal gave way to caution ahead of an upcoming deadline in the Sino-US&nbsptrade dispute. The deadline for public comment on US&nbspPresident Donald Trump's increased tariffs on $200 billion of Chinese goods is on Sept. 5. As long as trade tensions between the United States and China continue to persist, the US&nbspdollar will benefit and, in turn, hurt gold, analysts said. Spot gold is expected to retest a support at $1,200 per ounce, a break below which could cause a fall to $1,193, Reuters technical analyst Wang Tao said. "If gold can consolidate around the present levels and hit $1,215 again, then we might see prices move to $1,235-$1,240," Leung said. Gold prices have recovered some ground after touching a 1-1/2-year low on August 16 and are holding above the key psychological level $1,200. However, that has not reversed investors' bearish stance on the precious metal, with no let-up in liquidations in exchange-traded funds, and record short positions in Comex gold. Holdings in the largest gold-backed ETF, SPDR Gold Trust GLD, have declined 3.6 million ounces from a peak in late April. "It looks like people are happy to be short. We need some incentives for the shorts to be covered, which is missing at this point of time," said Yuichi Ikemizu, Tokyo branch manager, ICBC Standard Bank. Spot silver was up 0.6 per cent at $14.75. Platinum rose 0.9 per cent to $789.99, while palladium was down 0.1 per cent at $939.80 after hitting a seven-week top at $956 on Tuesday.

Gold gains some ground, but rate hike views weigh on market

Petrol and Diesel prices were hiked in four metro cities.

Petrol price on Wednesday settled at Rs 78.18 a litre while diesel scaled a new high of Rs 69.75 per litre in the national capital. The price of petrol had crossed the Rs 78 per litre mark in Delhi for the first time in more than two-and-half-months on Tuesday.

Petrol price was up by 13 paise while diesel by 14 paise. Fuel prices in Delhi are the cheapest vis-à-vis other metros due to lower sales tax or VAT.

Diesel prices hit their peak, crossing the previous Rs 69.31 a litre reached on May 29. Petrol rates are however lower than the peak hit on May 29 when they touched Rs Rs 78.43 a litre in Delhi.

Fuel prices have been on the rise since August 16 after the rupee dipped to its lowest against the US Dollar. The rupee hit a record low of 70.32 in early trade that day.

State-owned oil firms had in mid-June last year dumped the 15-year practice of revising rates on 1st and 16th of every month in favour of daily price revisions.&nbsp;

Petrol price on Wednesday settled at Rs 78.18 a litre while diesel scaled a new high of Rs 69.75 per litre in the national capital

Petrol and Diesel prices were hiked in four metro cities. Petrol price on Wednesday settled at Rs 78.18 a litre while diesel scaled a new high of Rs 69.75 per litre in the national capital. The price of petrol had crossed the Rs 78 per litre mark in Delhi for the first time in more than two-and-half-months on Tuesday. Petrol price was up by 13 paise while diesel by 14 paise. Fuel prices in Delhi are the cheapest vis-à-vis other metros due to lower sales tax or VAT. Diesel prices hit their peak, crossing the previous Rs 69.31 a litre reached on May 29. Petrol rates are however lower than the peak hit on May 29 when they touched Rs Rs 78.43 a litre in Delhi. Fuel prices have been on the rise since August 16 after the rupee dipped to its lowest against the US Dollar. The rupee hit a record low of 70.32 in early trade that day. State-owned oil firms had in mid-June last year dumped the 15-year practice of revising rates on 1st and 16th of every month in favour of daily price revisions.

Petrol prices hiked again, diesel price at record high

Oil markets were stable on Wednesday, buoyed by falling supplies from Iran ahead of US sanctions but held in check by rising production outside the Organization of the Petroleum Exporting Countries.

International Brent crude oil futures were at $76 per barrel at 0257 GMT, up 5 cents from their last close.

US West Texas Intermediate (WTI) crude futures were up 6 cents at $68.59 a barrel.

Traders said crude prices have been supported by the prospect of US sanctions against Iran, which will start to target its oil industry from November.

Bowing to pressure from Washington, many crude buyers have already reduced orders from OPEC's third-biggest producer.

Although Tehran is offering steep discounts, Iran's August crude oil and condensate loadings are estimated at 2.06 million barrels per day (bpd), versus a peak of 3.09 million bpd in April, trade flows data on Thomson Reuters Eikon showed.

Another concern is crisis-struck OPEC-member Venezuela, where oil exports have dropped by half since 2016 to below 1 million bpd.

To stem tumbling output, Venezuelan state-run oil firm PDVSA said on Tuesday it had signed a $430 million investment agreement to increase production by 640,000 bpd at 14 oil fields, valuing the investment at $430 million. However, given the country's political and economic instability, many analysts doubted whether this investment would go through.

RISING NON-OPEC SUPPLY

Despite the risk of disruption especially from OPEC-countries like Venezuela, Iran, Libya and Nigeria, Bank of America Merrill Lynch said global supply could climb towards year-end.

"Heading into 4Q18, we expect rising non-OPEC oil production as supply outages abate and greenfield projects ramp up," the US bank said in a note to clients.

"Currently, non-OPEC supply outages are at a 15-month high of 730,000 barrels per day. However, nearly half of these volumes are in the process of being restored," it said.

Adding to that will be new production in Canada, Brazil and from the United States, which the bank said "should provide a substantial boost to non-OPEC supplies" during the second half of the year "taming upside pressures on Brent crude oil prices".

Bank of America said it expected Brent prices to be in a $65 to $80 per barrel range "until Iran sanctions start to bite" in the first half of 2019.

In the United States, crude oil inventories rose by 38,000 barrels to 405.7 million barrels in the week to August 24, industry group the American Petroleum Institute said on Tuesday.

Official US fuel inventory and crude production data will be published on Wednesday by the Energy Information Administration (EIA).

International Brent crude oil futures were at $76 per barrel at 0257 GMT, up 5 cents from their last close.

Oil markets were stable on Wednesday, buoyed by falling supplies from Iran ahead of US sanctions but held in check by rising production outside the Organization of the Petroleum Exporting Countries. International Brent crude oil futures were at $76 per barrel at 0257 GMT, up 5 cents from their last close. US West Texas Intermediate (WTI) crude futures were up 6 cents at $68.59 a barrel. Traders said crude prices have been supported by the prospect of US sanctions against Iran, which will start to target its oil industry from November. Bowing to pressure from Washington, many crude buyers have already reduced orders from OPEC's third-biggest producer. Although Tehran is offering steep discounts, Iran's August crude oil and condensate loadings are estimated at 2.06 million barrels per day (bpd), versus a peak of 3.09 million bpd in April, trade flows data on Thomson Reuters Eikon showed. Another concern is crisis-struck OPEC-member Venezuela, where oil exports have dropped by half since 2016 to below 1 million bpd. To stem tumbling output, Venezuelan state-run oil firm PDVSA said on Tuesday it had signed a $430 million investment agreement to increase production by 640,000 bpd at 14 oil fields, valuing the investment at $430 million. However, given the country's political and economic instability, many analysts doubted whether this investment would go through. RISING NON-OPEC SUPPLY Despite the risk of disruption especially from OPEC-countries like Venezuela, Iran, Libya and Nigeria, Bank of America Merrill Lynch said global supply could climb towards year-end. "Heading into 4Q18, we expect rising non-OPEC oil production as supply outages abate and greenfield projects ramp up," the US bank said in a note to clients. "Currently, non-OPEC supply outages are at a 15-month high of 730,000 barrels per day. However, nearly half of these volumes are in the process of being restored," it said. Adding to that will be new production in Canada, Brazil and from the United States, which the bank said "should provide a substantial boost to non-OPEC supplies" during the second half of the year "taming upside pressures on Brent crude oil prices". Bank of America said it expected Brent prices to be in a $65 to $80 per barrel range "until Iran sanctions start to bite" in the first half of 2019. In the United States, crude oil inventories rose by 38,000 barrels to 405.7 million barrels in the week to August 24, industry group the American Petroleum Institute said on Tuesday. Official US fuel inventory and crude production data will be published on Wednesday by the Energy Information Administration (EIA).

Oil edges up on looming Iran sanctions, but rising global supply caps market

Asian shares crept marginally higher on Wednesday as optimism over the US-Mexico trade deal was quickly clouded by caution ahead of a looming deadline on tariffs with China.

A flat finish on Wall Street and a dearth of major economic data across the region made for thin trade and MSCI's broadest index of Asia-Pacific shares outside Japan eked out a rise of 0.26 per cent.

EMini futures for the S&P 500 edged up 0.16 per cent, while Chinese blue chips dipped 0.24 per cent.

Japan's Nikkei fared better than many with a rise of 0.6 per cent but faced stubborn resistance around 23,000, a level where it has failed repeatedly in recent months.

"For the Nikkei to break and remain above the 23,000 mark, trade conflict concerns will have to subside more convincingly," said Hiroki Takashi, chief strategist at Monex Securities.

"While recent NAFTA talks have helped, the United States and China will have to resolve their trade dispute to convincingly ease market concerns."

Analysts at JPMorgan noted the deadline for public comment on US President Donald Trump's increased tariffs on $200 billion of Chinese goods was less than a week away on September 5.

"End-of-month flows could start to take hold into the end of the week, and combined with light news flow and the risk of impending trade war escalation could result in conviction remaining light," they cautioned.

In Washington, Canada's main trade negotiator was in talks to preserve a three-nation North American Free Trade Agreement following Monday's deal between the United States and Mexico.

President Trump warned that he could proceed with Mexico alone and levy tariffs on Canada if it does not come on board with the revised trade terms.

IT'S NOT A DONE DEAL

Yet even if Trump were to go with Mexico alone, Congress would have to approve the deal in a process that would take months and put it beyond the mid-term elections.

"In a nutshell, it seems that many contentious issues remain unresolved and there is a very tight timeline that needs to be followed if a NAFTA deal is to be ratified by the current US Congress," NAB analysts said in a note.

The White House has also said it wants to settle NAFTA before dealing with China, suggesting that trade dispute could run well into 2019.

Major currencies were quiet, with the dollar index all but flat at 94.718 after touching a four-week low overnight. It was going nowhere on the yen at 111.24, having spent the past three sessions in a 110.93/111.49 range.

The euro held at $1.1693 after topping out at $1.1733 overnight. It faces stiff resistance in the $1.1750/90 zone and lingering concerns over Italy where political uncertainty drove bond yields toward three-month highs.

In commodity markets, spot gold was hovering around $1,203.81 after running into profit-taking at $1,214.28, its highest level since Aug. 10.

Oil prices dithered either side of flat as falling supplies from Iran ahead of US sanctions balanced rising production outside the Organization of the Petroleum Exporting Countries.

Brent added 2 cents to $75.97 a barrel, while US crude rose 6 cents to $68.59.

A flat finish on Wall Street and a dearth of major economic data across the region made for thin trade and MSCI's broadest index of Asia-Pacific shares outside Japan eked out a rise of 0.26 per cent.

Asian shares crept marginally higher on Wednesday as optimism over the US-Mexico trade deal was quickly clouded by caution ahead of a looming deadline on tariffs with China. A flat finish on Wall Street and a dearth of major economic data across the region made for thin trade and MSCI's broadest index of Asia-Pacific shares outside Japan eked out a rise of 0.26 per cent. EMini futures for the S&P 500 edged up 0.16 per cent, while Chinese blue chips dipped 0.24 per cent. Japan's Nikkei fared better than many with a rise of 0.6 per cent but faced stubborn resistance around 23,000, a level where it has failed repeatedly in recent months. "For the Nikkei to break and remain above the 23,000 mark, trade conflict concerns will have to subside more convincingly," said Hiroki Takashi, chief strategist at Monex Securities. "While recent NAFTA talks have helped, the United States and China will have to resolve their trade dispute to convincingly ease market concerns." Analysts at JPMorgan noted the deadline for public comment on US President Donald Trump's increased tariffs on $200 billion of Chinese goods was less than a week away on September 5. "End-of-month flows could start to take hold into the end of the week, and combined with light news flow and the risk of impending trade war escalation could result in conviction remaining light," they cautioned. In Washington, Canada's main trade negotiator was in talks to preserve a three-nation North American Free Trade Agreement following Monday's deal between the United States and Mexico. President Trump warned that he could proceed with Mexico alone and levy tariffs on Canada if it does not come on board with the revised trade terms. IT'S NOT A DONE DEAL Yet even if Trump were to go with Mexico alone, Congress would have to approve the deal in a process that would take months and put it beyond the mid-term elections. "In a nutshell, it seems that many contentious issues remain unresolved and there is a very tight timeline that needs to be followed if a NAFTA deal is to be ratified by the current US Congress," NAB analysts said in a note. The White House has also said it wants to settle NAFTA before dealing with China, suggesting that trade dispute could run well into 2019. Major currencies were quiet, with the dollar index all but flat at 94.718 after touching a four-week low overnight. It was going nowhere on the yen at 111.24, having spent the past three sessions in a 110.93/111.49 range. The euro held at $1.1693 after topping out at $1.1733 overnight. It faces stiff resistance in the $1.1750/90 zone and lingering concerns over Italy where political uncertainty drove bond yields toward three-month highs. In commodity markets, spot gold was hovering around $1,203.81 after running into profit-taking at $1,214.28, its highest level since Aug. 10. Oil prices dithered either side of flat as falling supplies from Iran ahead of US sanctions balanced rising production outside the Organization of the Petroleum Exporting Countries. Brent added 2 cents to $75.97 a barrel, while US crude rose 6 cents to $68.59.

Asia shares eke out gains, dollar befuddled by trade doubts

Alphabet Inc's Google said on Tuesday it is partnering with a handful of Indian banks to bring quick loans to the masses, as it aims to woo tens of millions of new internet users in the country to its digital payments services.

At an annual Google event in New Delhi, Caesar Sengupta, the Vice-President of Google's Next Billion Users initiative and its Payments said the move would make banking services accessible to tens of millions of Indians.

Google launched payments app Tez, meaning fast in Hindi, in India last year integrating it with the state-backed unified payments interface (UPI) as it sought to gain a foothold in the South Asian nation's digital payments space which, according to Credit Suisse, will grow five-fold to $1 trillion by 2023.

On Tuesday, Google rebranded the app as Google Pay and said it was partnering with four Indian banks — Federal Bank, HDFC Bank, ICICI Bank and Kotak Mahindra Bank— to provide instant loans to the app's users.

"We're talking to a lot of banks, we're completely open with who we work with in terms of banking partners," Sengupta said in an interview on the sidelines of the event.

"Banks bring their financial capabilities, their understanding of the user, their customers. We bring our user experience, our ability to make complex processes extremely simple and very fast."

Google's ambitions could potentially pose a challenge for homegrown Paytm, backed by Japan's SoftBank and China's Alibaba and U. conglomerate Berkshire Hathaway. Paytm's founder Vijay Shekhar Sharma and its parent One97 Communications run a payments bank and the payments firm also plans to expand to selling financial products such as insurance and mutual funds in India — the world's fastest growing internet services market.

Sengupta said Google was open to collaborating with other Indian payments firms.

"We are huge of fans interoperability ... when a product like Tez does well it creates more value in the network for everyone," he said.

Tez has over 22 million monthly active users, according to Google.

Sengupta said Google also expects the KaiOS mobile operating system, in which the company has invested $22 million, to do well in Africa and parts of South East Asia.

KaiOS is a low-cost phone operating system which, among others, has been used by Indian billionaire Mukesh Ambani to sell his Jio telecom venture's low-cost internet enabled phones.

"Countries like India, which are mobile first have so many people coming online for the first time, just generate an incredible amount of opportunity for innovation," Sengupta said.

At an annual Google event in New Delhi, Caesar Sengupta, the Vice-President of Google's Next Billion Users initiative and its Payments said the move would make banking services accessible to tens of millions of Indians.

Alphabet Inc's Google said on Tuesday it is partnering with a handful of Indian banks to bring quick loans to the masses, as it aims to woo tens of millions of new internet users in the country to its digital payments services. At an annual Google event in New Delhi, Caesar Sengupta, the Vice-President of Google's Next Billion Users initiative and its Payments said the move would make banking services accessible to tens of millions of Indians. Google launched payments app Tez, meaning fast in Hindi, in India last year integrating it with the state-backed unified payments interface (UPI) as it sought to gain a foothold in the South Asian nation's digital payments space which, according to Credit Suisse, will grow five-fold to $1 trillion by 2023. On Tuesday, Google rebranded the app as Google Pay and said it was partnering with four Indian banks — Federal Bank, HDFC Bank, ICICI Bank and Kotak Mahindra Bank— to provide instant loans to the app's users. "We're talking to a lot of banks, we're completely open with who we work with in terms of banking partners," Sengupta said in an interview on the sidelines of the event. "Banks bring their financial capabilities, their understanding of the user, their customers. We bring our user experience, our ability to make complex processes extremely simple and very fast." Google's ambitions could potentially pose a challenge for homegrown Paytm, backed by Japan's SoftBank and China's Alibaba and U. conglomerate Berkshire Hathaway. Paytm's founder Vijay Shekhar Sharma and its parent One97 Communications run a payments bank and the payments firm also plans to expand to selling financial products such as insurance and mutual funds in India — the world's fastest growing internet services market. Sengupta said Google was open to collaborating with other Indian payments firms. "We are huge of fans interoperability ... when a product like Tez does well it creates more value in the network for everyone," he said. Tez has over 22 million monthly active users, according to Google. Sengupta said Google also expects the KaiOS mobile operating system, in which the company has invested $22 million, to do well in Africa and parts of South East Asia. KaiOS is a low-cost phone operating system which, among others, has been used by Indian billionaire Mukesh Ambani to sell his Jio telecom venture's low-cost internet enabled phones. "Countries like India, which are mobile first have so many people coming online for the first time, just generate an incredible amount of opportunity for innovation," Sengupta said.

Google partnering with Indian banks to bring quick loans to masses

Stock markets indices halted their record closing spree dragged by Reliance Industries after it snapped its seven-day rally.

The S&P BSE Sensex fell 0.45 per cent or 174 points to 38,723 and the NSE Nifty 50 index declined 0.4 per cent or 47 points to 11,692.

After a volatile opening, indices were almost flat in morning trade. Following some range-bound trading, indices hit fresh intraday low in late trade as selling intensified. The Sensex rose 93.02 points, or 0.24% at the day's high of 38,989.65 in early trade. The index fell 217.06 points, or 0.56% at the day's low of 38,679.57 in late trade. The Nifty rose 14.70 points, or 0.13% at the day's high of 11,753.20 in early trade. The index fell 59.65 points, or 0.51% at the day's low of 11,678.85 in late trade.

Broader market depicted firmness. Among secondary barometers, the BSE Mid-Cap index rose 0.47%. The BSE Small-Cap index rose 0.05%. Both these indices outperformed the Sensex.

The market breadth, indicating the overall health of the market, was negative. On BSE, 1294 shares rose and 1418 shares fell. A total of 164 shares were unchanged.

The market breadth, indicating the overall health of the market, was negative.

Stock markets indices halted their record closing spree dragged by Reliance Industries after it snapped its seven-day rally. The S&P BSE Sensex fell 0.45 per cent or 174 points to 38,723 and the NSE Nifty 50 index declined 0.4 per cent or 47 points to 11,692. After a volatile opening, indices were almost flat in morning trade. Following some range-bound trading, indices hit fresh intraday low in late trade as selling intensified. The Sensex rose 93.02 points, or 0.24% at the day's high of 38,989.65 in early trade. The index fell 217.06 points, or 0.56% at the day's low of 38,679.57 in late trade. The Nifty rose 14.70 points, or 0.13% at the day's high of 11,753.20 in early trade. The index fell 59.65 points, or 0.51% at the day's low of 11,678.85 in late trade. Broader market depicted firmness. Among secondary barometers, the BSE Mid-Cap index rose 0.47%. The BSE Small-Cap index rose 0.05%. Both these indices outperformed the Sensex. The market breadth, indicating the overall health of the market, was negative. On BSE, 1294 shares rose and 1418 shares fell. A total of 164 shares were unchanged.

Markets halt record closing spree: Sensex closes at 38,723, Nifty ends at 11,692 

Berkshire Hathaway Inc has picked <a href="http://wionews.com/world/softbank-alibaba-to-invest-445-million-in-paytm--128121">up a $356 million stake in the parent </a>of digital payments firm Paytm, a source said, its first investment in an Indian startup as it forays into the financial payments sector.

<a href="http://wionews.com/science-tech/paytm-aims-to-sell-gold-worth-200-million-this-year-18138">Also Read:&nbspPaytm aims to sell gold worth $200 million this year</a>

The conglomerate run by billionaire Warren Buffett confirmed in an email that Berkshire had invested in&nbspVijay Shekhar Sharma's One97 Communications Ltd. Buffett was not involved in the transaction, his assistant Debbie Bosanek said in the email, without giving more details.

The investment is a huge endorsement for Paytm that has grown to become India's leading digital payments platform in just eight years of its operation.

For Berkshire, this marks a rare shift in its strategy. Buffet has traditionally invested in companies from sectors such as consumer, energy and insurance.

The conglomerate is under pressure to find investments and whittle down a $108.6 billion stockpile of cash. In May, Buffett had indicated an interest in the financial payments industry at an annual shareholders meeting, saying the sector was a huge deal around the world and that many companies were working to reinvent the space.

One of Buffett's key investment deputies, Todd Combs, who is seen as a potential chief investment officer at Berkshire, is leading the Paytm deal, &nbspreports said.

It has been a busy year for Combs, who has also been heading Berkshire's efforts to start a healthcare joint venture with Amazon.com Inc and JPMorgan Chase & Co.

Paytm, founded by Vijay Shekhar Sharma in 2010, counts China's Alibaba Group and its financial services arm Ant Financial Services Group among its investors.

Alibaba and Ant Financial, which runs China's top payment system Alipay, jointly own about 40 per cent of Paytm's parent after an investment in September 2015, Reuters reported.

Japan's SoftBank also became a shareholder in May 2017, injecting $1.4 billion in Paytm's parent company for a 14.2 per cent stake and some existing shares. That investment would value Paytm at about $7 billion.

One97 Communications and SoftBank did not respond to requests seeking comment. A spokeswoman for Alibaba referred Reuters requests to Paytm.

The investment is a huge endorsement for Paytm that has grown to become India's leading digital payments platform in just eight years of its operation.

Berkshire Hathaway Inc has picked up a $356 million stake in the parent of digital payments firm Paytm, a source said, its first investment in an Indian startup as it forays into the financial payments sector. Also Read:&nbspPaytm aims to sell gold worth $200 million this year The conglomerate run by billionaire Warren Buffett confirmed in an email that Berkshire had invested in&nbspVijay Shekhar Sharma's One97 Communications Ltd. Buffett was not involved in the transaction, his assistant Debbie Bosanek said in the email, without giving more details. The investment is a huge endorsement for Paytm that has grown to become India's leading digital payments platform in just eight years of its operation. For Berkshire, this marks a rare shift in its strategy. Buffet has traditionally invested in companies from sectors such as consumer, energy and insurance. The conglomerate is under pressure to find investments and whittle down a $108.6 billion stockpile of cash. In May, Buffett had indicated an interest in the financial payments industry at an annual shareholders meeting, saying the sector was a huge deal around the world and that many companies were working to reinvent the space. One of Buffett's key investment deputies, Todd Combs, who is seen as a potential chief investment officer at Berkshire, is leading the Paytm deal, &nbspreports said. It has been a busy year for Combs, who has also been heading Berkshire's efforts to start a healthcare joint venture with Amazon.com Inc and JPMorgan Chase & Co. Paytm, founded by Vijay Shekhar Sharma in 2010, counts China's Alibaba Group and its financial services arm Ant Financial Services Group among its investors. Alibaba and Ant Financial, which runs China's top payment system Alipay, jointly own about 40 per cent of Paytm's parent after an investment in September 2015, Reuters reported. Japan's SoftBank also became a shareholder in May 2017, injecting $1.4 billion in Paytm's parent company for a 14.2 per cent stake and some existing shares. That investment would value Paytm at about $7 billion. One97 Communications and SoftBank did not respond to requests seeking comment. A spokeswoman for Alibaba referred Reuters requests to Paytm.

Warren Buffett's Berkshire Hathaway takes stake in Paytm

The king spoke, and $2 trillion dream went up in smoke.

For the past two years, Saudi Arabia has prepared to place up to 5 per cent of its national oil company on the stock market. Officials talked up the Saudi Aramco initial public offering (IPO) with international exchanges, global banks and US President Donald Trump.

The planned listing was to be the cornerstone of the kingdom’s promised economic overhaul and, at a targeted $100 billion, the biggest IPO ever. It was the brainchild of 32-year-old Crown Prince Mohammed bin Salman, heir apparent of the world's largest oil exporter.

But after months of setbacks, the international and domestic legs of the IPO were pulled.

The reason: the prince's father King Salman stepped in to shelve it, three sources with ties to government insiders told Reuters.

The decision came after the king met with family members, bankers, and senior oil executives, including a former Aramco CEO, said one of the sources, who requested anonymity. Those consultations took place during Ramadan, which ended in the middle of June.

The king's interlocutors told him that the IPO, far from helping the kingdom, would undermine it. Their main concern was that an IPO would bring full public disclosure of Aramco's financial details, the sources said.

In late June, the king sent a message to his diwan, or administrative office, demanding that the IPO be called off, the three sources said. The king's decision is final, a second source said.

"Whenever he says 'no', there is no budging," the source said.

After Reuters reported last week that the deal had been shelved, Energy Minister Khalid al-Falih said the government was committed to conducting the IPO at an unspecified date in the future.

A senior Saudi official referred Reuters to that statement and repeated that the government, Aramco’s shareholder, was working towards an IPO when conditions were right.

"We are surprised that despite this statement, that the Government continues actively to plan for the IPO, Reuters persists in asking questions alleging that plans are halted."

"Aramco’s shareholder is the Government of Saudi Arabia. His majesty, King Salman, has delegated management of the IPO to His Royal Highness the Crown Prince, and a Committee which includes the Ministers for Energy, Finance and Economy. Therefore, decisions around the nature and timing of the IPO will be decided by the Committee for the Government’s approval," the official said.

In a country ruled for decades by the Al Saud dynasty, it is not surprising that the king ultimately decides. But the shelving of the Aramco IPO is a major blow to the prince's Vision 2030 reform programme, which aims to fundamentally transform Saudi Arabia's oil-dependent, state-driven economy.

It suggests the king is keeping the new unilateral power of the young prince - accrued soon after his father's accession to the throne in January 2015 - in check.

It also raises doubts about Riyadh's management of the IPO process and commitment to making the economy more transparent, some investors say.

TAKING THE REINS

While King Salman has the final say on policy, he has given great authority to his son, who is known as MbS.

After assuming powers as defence minister and chief of the royal court in January 2015, MbS launched a war in Yemen, adopted a more assertive stance towards arch-rival Iran, and implemented a diplomatic and trade boycott of Qatar.

Taking the reins of a powerful new economic council, he set out to tighten state spending, grow the private sector and win foreign investment.

The king also allowed him to push through high-profile social reforms including ending a ban on women driving and opening cinemas in the deeply conservative Muslim country.

MbS entered the line of succession in April 2015, replacing an uncle as deputy crown prince. Two years later, he was elevated to crown prince in a palace coup that removed his cousin Prince Mohammed bin Nayef, the interior minister.

The king has intervened at times.

Most notably, when MbS gave the impression last year that Riyadh endorsed the Trump administration’s still nebulous Middle East peace plan, including U.S. recognition of Jerusalem as Israel’s capital, the king made a public correction.

At the Arab League summit in April, he reaffirmed Riyadh's commitment to the Arab and Muslim identity of Jerusalem following an uproar in the Islamic world. &nbsp;

"The king is obsessed with the idea of how history will judge him. Will he be the king who sold Aramco, who sold Palestine?" the second source said.

GRINDING TO A HALT

It is not clear exactly which of the IPO arguments prompted King Salman to make the decisive call on Aramco.

But industry experts and sources previously told Reuters that preparations had been slowing for months for at least two reasons: scepticism about MbS's public declaration in 2016 that the sale would give the whole company a value of $2 trillion valuation, and concern about the legal risks and tough disclosure requirements associated with a foreign listing.

By April, Aramco stopped paying some of the banks working on the deal their retainer fee, three banking sources told Reuters. This is usually a fixed fee to ensure advisors do not lose out completely if the deal falters. An Aramco official declined to comment.

Then, while the king was deliberating, in mid-June, the banks, including JP Morgan and Morgan Stanley, were invited to pitch for something different.

They were instead asked to present proposals for Aramco's acquisition of a stake in petrochemicals giant SABIC from the sovereign wealth fund PIF, a banking source said.

That was an initial sign that plans for the listing were stalling and that Riyadh was looking to raise funds elsewhere, the banking sources said.

The senior Saudi official said that Aramco's interest in acquiring a stake in SABIC was in line with its objective of being the world's leading energy and integrated chemicals business, and did not alter the government's intent to list Aramco.

"Transferring SABIC’s ownership from the PIF to Saudi Aramco will enable PIF to boost strategies and governance and enhance PIF’s investment portfolio," the official said.

"Such a strategic acquisition would necessarily have an impact on the timeline, but not the intent, of an IPO (of Aramco)."

Spokeswomen for JPMorgan and Morgan Stanley declined to comment on whether their banks have any role in the SABIC deal.

BLOW TO AGENDA

Saudi Arabia can still generate cash from alternative sources and move ahead with other reforms. But MbS had promised the listing would help create a culture of openness in the secretive kingdom.

As well as raising concerns about that commitment to transparency, the shelved IPO contributes to a sense of unpredictability after scores of top royals, ministers and businessmen were rounded up in an anti-corruption campaign last November.

The sources said that even though the king's decision was a blow to the prince's agenda, he is still the favourite son and heir with a major influence on policy.

Rather, they say, it suggests the king wants to show that he will be the deciding voice for the foreseeable future.

"I’m not sure that I would see it as an undermining of the rule of the crown prince. It’s much more likely ensuring that he doesn’t go off the deep end," said James Dorsey, a senior fellow at Singapore's S. Rajaratnam School of International Studies (RSIS).

For the past two years, Saudi Arabia has prepared to place up to 5 per cent of its national oil company on the stock market.

The king spoke, and $2 trillion dream went up in smoke. For the past two years, Saudi Arabia has prepared to place up to 5 per cent of its national oil company on the stock market. Officials talked up the Saudi Aramco initial public offering (IPO) with international exchanges, global banks and US President Donald Trump. The planned listing was to be the cornerstone of the kingdom’s promised economic overhaul and, at a targeted $100 billion, the biggest IPO ever. It was the brainchild of 32-year-old Crown Prince Mohammed bin Salman, heir apparent of the world's largest oil exporter. But after months of setbacks, the international and domestic legs of the IPO were pulled. The reason: the prince's father King Salman stepped in to shelve it, three sources with ties to government insiders told Reuters. The decision came after the king met with family members, bankers, and senior oil executives, including a former Aramco CEO, said one of the sources, who requested anonymity. Those consultations took place during Ramadan, which ended in the middle of June. The king's interlocutors told him that the IPO, far from helping the kingdom, would undermine it. Their main concern was that an IPO would bring full public disclosure of Aramco's financial details, the sources said. In late June, the king sent a message to his diwan, or administrative office, demanding that the IPO be called off, the three sources said. The king's decision is final, a second source said. "Whenever he says 'no', there is no budging," the source said. After Reuters reported last week that the deal had been shelved, Energy Minister Khalid al-Falih said the government was committed to conducting the IPO at an unspecified date in the future. A senior Saudi official referred Reuters to that statement and repeated that the government, Aramco’s shareholder, was working towards an IPO when conditions were right. "We are surprised that despite this statement, that the Government continues actively to plan for the IPO, Reuters persists in asking questions alleging that plans are halted." "Aramco’s shareholder is the Government of Saudi Arabia. His majesty, King Salman, has delegated management of the IPO to His Royal Highness the Crown Prince, and a Committee which includes the Ministers for Energy, Finance and Economy. Therefore, decisions around the nature and timing of the IPO will be decided by the Committee for the Government’s approval," the official said. In a country ruled for decades by the Al Saud dynasty, it is not surprising that the king ultimately decides. But the shelving of the Aramco IPO is a major blow to the prince's Vision 2030 reform programme, which aims to fundamentally transform Saudi Arabia's oil-dependent, state-driven economy. It suggests the king is keeping the new unilateral power of the young prince - accrued soon after his father's accession to the throne in January 2015 - in check. It also raises doubts about Riyadh's management of the IPO process and commitment to making the economy more transparent, some investors say. TAKING THE REINS While King Salman has the final say on policy, he has given great authority to his son, who is known as MbS. After assuming powers as defence minister and chief of the royal court in January 2015, MbS launched a war in Yemen, adopted a more assertive stance towards arch-rival Iran, and implemented a diplomatic and trade boycott of Qatar. Taking the reins of a powerful new economic council, he set out to tighten state spending, grow the private sector and win foreign investment. The king also allowed him to push through high-profile social reforms including ending a ban on women driving and opening cinemas in the deeply conservative Muslim country. MbS entered the line of succession in April 2015, replacing an uncle as deputy crown prince. Two years later, he was elevated to crown prince in a palace coup that removed his cousin Prince Mohammed bin Nayef, the interior minister. The king has intervened at times. Most notably, when MbS gave the impression last year that Riyadh endorsed the Trump administration’s still nebulous Middle East peace plan, including U.S. recognition of Jerusalem as Israel’s capital, the king made a public correction. At the Arab League summit in April, he reaffirmed Riyadh's commitment to the Arab and Muslim identity of Jerusalem following an uproar in the Islamic world. "The king is obsessed with the idea of how history will judge him. Will he be the king who sold Aramco, who sold Palestine?" the second source said. GRINDING TO A HALT It is not clear exactly which of the IPO arguments prompted King Salman to make the decisive call on Aramco. But industry experts and sources previously told Reuters that preparations had been slowing for months for at least two reasons: scepticism about MbS's public declaration in 2016 that the sale would give the whole company a value of $2 trillion valuation, and concern about the legal risks and tough disclosure requirements associated with a foreign listing. By April, Aramco stopped paying some of the banks working on the deal their retainer fee, three banking sources told Reuters. This is usually a fixed fee to ensure advisors do not lose out completely if the deal falters. An Aramco official declined to comment. Then, while the king was deliberating, in mid-June, the banks, including JP Morgan and Morgan Stanley, were invited to pitch for something different. They were instead asked to present proposals for Aramco's acquisition of a stake in petrochemicals giant SABIC from the sovereign wealth fund PIF, a banking source said. That was an initial sign that plans for the listing were stalling and that Riyadh was looking to raise funds elsewhere, the banking sources said. The senior Saudi official said that Aramco's interest in acquiring a stake in SABIC was in line with its objective of being the world's leading energy and integrated chemicals business, and did not alter the government's intent to list Aramco. "Transferring SABIC’s ownership from the PIF to Saudi Aramco will enable PIF to boost strategies and governance and enhance PIF’s investment portfolio," the official said. "Such a strategic acquisition would necessarily have an impact on the timeline, but not the intent, of an IPO (of Aramco)." Spokeswomen for JPMorgan and Morgan Stanley declined to comment on whether their banks have any role in the SABIC deal. BLOW TO AGENDA Saudi Arabia can still generate cash from alternative sources and move ahead with other reforms. But MbS had promised the listing would help create a culture of openness in the secretive kingdom. As well as raising concerns about that commitment to transparency, the shelved IPO contributes to a sense of unpredictability after scores of top royals, ministers and businessmen were rounded up in an anti-corruption campaign last November. The sources said that even though the king's decision was a blow to the prince's agenda, he is still the favourite son and heir with a major influence on policy. Rather, they say, it suggests the king wants to show that he will be the deciding voice for the foreseeable future. "I’m not sure that I would see it as an undermining of the rule of the crown prince. It’s much more likely ensuring that he doesn’t go off the deep end," said James Dorsey, a senior fellow at Singapore's S. Rajaratnam School of International Studies (RSIS).

Saudi king tipped the scale against Aramco IPO plans

Cash-crunched Jet Airways today said it has received an additional equity of USD 300 million in the form of advance lease incentives and borrowings from domestic banks. The airline, which reported a second consecutive quarterly loss of over 1,300 crores in three months to June, also reiterated that both the airline and its auditors were on the same page and there was no difference of opinion. The company got an additional equity of USD 300 million from lease incentives and bank borrowings, Jet Airways deputy chief executive officer and chief financial officer Amit Agarwal today said during an analysts call post-June quarter earnings.

Agarwal, however, did not give the breakup, but said, “A large proportion of it came from lease incentives.” The airline had yesterday reported a whopping Rs 1,323 crore of net losses for June quarter due to higher fuel cost, falling rupee and low fares. Total income marginally improved to Rs 6,066 crore, from Rs 5,953 crore a year ago.

Jet Airways had reported a loss of Rs 1,036 crore in March quarter. The two back-to-back losses forced the airline to draw up a revival plan, which includes capital infusion, a cost reduction programme of more than Rs 2,000 crore over two years, a plan to improve pricing, better inventory management, monetising its JetPrivilege programme and wet leasing some of its small aircraft.

The airline was earlier scheduled to announce the June quarter numbers on August 9. But after the AGM and the board meeting, it informed the exchanges that the board did not consider the accounts as the company’s audit committee was headless. Chief executive officer Vinay Dube said that there was no difference of opinion with the auditors and they continued to audit the company’s accounts.

He also clarified that the June quarter results were postponed to take a call on the cost-reduction programme. Dube during the call also said that the company’s plan to induct 11 fuel-efficient Boeing 737 Max planes in the fleet by March were on track, adding that three such planes have already been delivered to the airline and two more are expected to join the fleet soon.

“Further, the induction of B737 Max will help us achieve the stated 8-10 per cent growth plan,” he said. There are three big-ticket items under the comprehensive cost-reduction programme – maintenance cost, where the airline has already renegotiated contracts, sales and distribution cost and fuel optimisation, Agarwal told analysts. He also said that the airline could sell and lease back some of the 16 planes which are owned by the airline to mop up funds.

Of these, 10 are Boeing 777s, three Airbus A330s and rest Boeing 737s, he said, adding, the market value of these planes is pegged at around USD 750-800 million. “Clearly there is a large equity sitting and Jet Airways can sell and lease back a some of these planes,” he added. Agarwal said the airline’s total debt stood at Rs 8,620 crore as on June 30, adding the firm plans to phase out Rs 2,200 crore debt in this fiscal year.

Cash-crunched Jet Airways today said it has received an additional equity of USD 300 million in the form of advance lease incentives and borrowings from domestic banks.

Cash-crunched Jet Airways today said it has received an additional equity of USD 300 million in the form of advance lease incentives and borrowings from domestic banks. The airline, which reported a second consecutive quarterly loss of over 1,300 crores in three months to June, also reiterated that both the airline and its auditors were on the same page and there was no difference of opinion. The company got an additional equity of USD 300 million from lease incentives and bank borrowings, Jet Airways deputy chief executive officer and chief financial officer Amit Agarwal today said during an analysts call post-June quarter earnings. Agarwal, however, did not give the breakup, but said, “A large proportion of it came from lease incentives.” The airline had yesterday reported a whopping Rs 1,323 crore of net losses for June quarter due to higher fuel cost, falling rupee and low fares. Total income marginally improved to Rs 6,066 crore, from Rs 5,953 crore a year ago. Jet Airways had reported a loss of Rs 1,036 crore in March quarter. The two back-to-back losses forced the airline to draw up a revival plan, which includes capital infusion, a cost reduction programme of more than Rs 2,000 crore over two years, a plan to improve pricing, better inventory management, monetising its JetPrivilege programme and wet leasing some of its small aircraft. The airline was earlier scheduled to announce the June quarter numbers on August 9. But after the AGM and the board meeting, it informed the exchanges that the board did not consider the accounts as the company’s audit committee was headless. Chief executive officer Vinay Dube said that there was no difference of opinion with the auditors and they continued to audit the company’s accounts. He also clarified that the June quarter results were postponed to take a call on the cost-reduction programme. Dube during the call also said that the company’s plan to induct 11 fuel-efficient Boeing 737 Max planes in the fleet by March were on track, adding that three such planes have already been delivered to the airline and two more are expected to join the fleet soon. “Further, the induction of B737 Max will help us achieve the stated 8-10 per cent growth plan,” he said. There are three big-ticket items under the comprehensive cost-reduction programme – maintenance cost, where the airline has already renegotiated contracts, sales and distribution cost and fuel optimisation, Agarwal told analysts. He also said that the airline could sell and lease back some of the 16 planes which are owned by the airline to mop up funds. Of these, 10 are Boeing 777s, three Airbus A330s and rest Boeing 737s, he said, adding, the market value of these planes is pegged at around USD 750-800 million. “Clearly there is a large equity sitting and Jet Airways can sell and lease back a some of these planes,” he added. Agarwal said the airline’s total debt stood at Rs 8,620 crore as on June 30, adding the firm plans to phase out Rs 2,200 crore debt in this fiscal year.

Jet Airways gets $300 million as lease incentives and debt from banks

Stock markets indices ended on a positive note for the second consecutive day on Tuesday with BSE Sensex closing near 38,900 and NSE Nifty finishing beyond 11,700 for the first time in stock market trading history.&nbsp;

The Sensex settled 202 points higher at 38,896.63 while Nifty ended at 11,738.50, up 46 points. The broader markets however underperformed with BSE midcap index falling 0.35%.&nbsp;

The domestic stock markets started at fresh record highs with BSE Sensex breaching 38,900 for the first time in stock market trading history and NSE Nifty retaking 11,700.&nbsp;

The broader Nifty 50 index hit a fresh all-time high at 11,760.2 while the benchmark Sensex logged a record high at 38,938.91.&nbsp;

The sentiments were upbeat on the positive global cues after the tech-heavy stock index Nasdaq Composite breaching the 8,000-mark for the first time ever and US dollar slipped to nearly 1-month low.

(With inputs from agncies)

The benchmark indices settled at their record closing highs on Tuesday taking positive cues from global markets after the United States and Mexico agreed to overhaul the North American Free Trade Agreement.

Stock markets indices ended on a positive note for the second consecutive day on Tuesday with BSE Sensex closing near 38,900 and NSE Nifty finishing beyond 11,700 for the first time in stock market trading history. The Sensex settled 202 points higher at 38,896.63 while Nifty ended at 11,738.50, up 46 points. The broader markets however underperformed with BSE midcap index falling 0.35%. The domestic stock markets started at fresh record highs with BSE Sensex breaching 38,900 for the first time in stock market trading history and NSE Nifty retaking 11,700. The broader Nifty 50 index hit a fresh all-time high at 11,760.2 while the benchmark Sensex logged a record high at 38,938.91. The sentiments were upbeat on the positive global cues after the tech-heavy stock index Nasdaq Composite breaching the 8,000-mark for the first time ever and US dollar slipped to nearly 1-month low. (With inputs from agncies)

Sensex at new closing high of 38,897, Nifty ends at 11,738 

In a fresh record, Sensex on Tuesday surged 181.75 points at 38,875.86. Nifty climbed 59.25 points to scale a new peak of 11,751.20 as markets opened on the second day of the week today.&nbsp;

On Monday, BSE Sensex closed 1.16 per cent higher at 38,694.11 gaining 442 points on Monday while NSE's Nifty 50 advanced 1.17 per cent to close at 11,691.95 points, aided by the gains in Asian markets and record Wall Street highs reported on Friday.&nbsp;

Nifty 50 crossed the 11,700 mark for the first time ever at 11,700.95 just before the closing time.

Trading sentiments remained extremely bullish largely in tandem with a firm trend at other Asian bourses, taking another record lead from Wall Street as investors cheered news of trade deal between the US and Mexico. 
Sentiment also got a lift following an improvement in liquidity in the market on fresh inflows by foreign funds, brokers said.

Strong gains in metal, power, tech, healthcare and IT, fertilisers and sugar stocks lifted the key indices to new highs.

The 30-share index surged 181.75 points, or 0.46 per cent, to trade at an all-time high of 38,875.86, surpassing its previous high of 38,736.88, recorded in yesterday's trade.

Asian shares rose early on Monday, taking support from Wall Street’s gains on Friday after US Federal Reserve Chairman Jerome Powell said a gradual approach to raising rates was best to protect the US economy and job growth, Reuters reported.&nbsp;

(With inputs from Reuters)&nbsp;

Nifty 50 crossed the 11,700 mark for the first time ever at 11,700.95 just before the closing time on Monday.

In a fresh record, Sensex on Tuesday surged 181.75 points at 38,875.86. Nifty climbed 59.25 points to scale a new peak of 11,751.20 as markets opened on the second day of the week today. On Monday, BSE Sensex closed 1.16 per cent higher at 38,694.11 gaining 442 points on Monday while NSE's Nifty 50 advanced 1.17 per cent to close at 11,691.95 points, aided by the gains in Asian markets and record Wall Street highs reported on Friday. Nifty 50 crossed the 11,700 mark for the first time ever at 11,700.95 just before the closing time. Trading sentiments remained extremely bullish largely in tandem with a firm trend at other Asian bourses, taking another record lead from Wall Street as investors cheered news of trade deal between the US and Mexico. Sentiment also got a lift following an improvement in liquidity in the market on fresh inflows by foreign funds, brokers said. Strong gains in metal, power, tech, healthcare and IT, fertilisers and sugar stocks lifted the key indices to new highs. The 30-share index surged 181.75 points, or 0.46 per cent, to trade at an all-time high of 38,875.86, surpassing its previous high of 38,736.88, recorded in yesterday's trade. Asian shares rose early on Monday, taking support from Wall Street’s gains on Friday after US Federal Reserve Chairman Jerome Powell said a gradual approach to raising rates was best to protect the US economy and job growth, Reuters reported. (With inputs from Reuters)

Sensex at fresh high; Nifty scales new peak 

A broad-based rally pushed the <a href="http://wionews.com/business-&-economy/asian-markets-push-on-with-rally-after-us-mexico-trade-deal-161996">S&P 500 and the Nasdaq to record-high </a>closes for the second straight session on Monday as a trade agreement reached between the United States and Mexico buoyed investor sentiment.

<a href="http://wionews.com/world/trudeau-trump-have-constructive-conversation-on-trade-after-us-mexico-nafta-deal-161951">Also </a><a href="http://wionews.com/world/trudeau-trump-have-constructive-conversation-on-trade-after-us-mexico-nafta-deal-161951">Read:</a><a href="http://wionews.com/world/trudeau-trump-have-constructive-conversation-on-trade-after-us-mexico-nafta-deal-161951">&nbspTrudeau, Trump </a><a href="http://wionews.com/world/trudeau-trump-have-constructive-conversation-on-trade-after-us-mexico-nafta-deal-161951">have</a><a href="http://wionews.com/world/trudeau-trump-have-constructive-conversation-on-trade-after-us-mexico-nafta-deal-161951"> 'constructive conversation' on US-Mexico NAFTA deal</a>

Technology stocks led the Nasdaq above the 8,000 mark for the first time and the sector provided the biggest boost to the S&P 500.

A senior US&nbsptrade official announced a deal with Mexico to replace the North American Trade Agreement and said talks with Canada were expected to begin immediately.

The upbeat trade outlook was further boosted by news that Washington was pressuring the European Union to accelerate tariff talks.

Disputes between the United States and its trading partners have been a drag on investor sentiment for much of the year despite solid economic fundamentals and two robust quarters of corporate earnings.

"It takes a long time for people to come out of the concerns related to those thousand-point down days and feel a little bit more comfortable," said Robert Pavlik, chief investment strategist at SlateStone Wealth LLC in New York. "And the trade concerns and the tariffs, that played a part in it, that's what held it back.

"People are feeling a little bit more positive," Pavlik added.

Matt Blunt, president of the American Automotive Policy Council, said he was optimistic about the trade deal. Shares of Ford Motor Co&nbspwere up 3.2 per cent while General Motors rose 4.8 per cent.

Tariff-sensitive companies Boeing Co and Caterpillar Inc were up 1.2 per cent and 2.8 per cent, respectively, leading the industrial sector's advance and pulling the Dow higher.

The Mexico-focused iShares MSCI Mexico ETF was up 2.1 per cent.

The Dow Jones Industrial Average rose 259.29 points, or 1.01 per cent, to 26,049.64, the S&P 500 gained 22.05 points, or 0.77 per cent, to 2,896.74 and the Nasdaq Composite added 71.92 points, or 0.91 per cent, to 8,017.90.

Of the 11 major sectors of the S&P 500, nine ended the session in positive territory, with the biggest percentage gains in materials, financials and industrials.

Defensive utilities and real estate sectors were the only percentage losers.

Tesla Inc stock dipped 1.1 per cent, paring earlier losses following news that Chief Executive Elon Musk was scrapping his scheme to take the electric automaker private.

Chipotle Mexican Grill was the biggest percentage loser in the S&P 500, down 4.8 per cent after Wedbush downgraded the burrito chain's shares.

Luxury retailer Tiffany & Co ended the session down 1.3 per cent ahead of its second-quarter earnings report expected early on Tuesday.

Advancing issues outnumbered declining ones on the NYSE by a 1.80-to-1 ratio on Nasdaq, a 1.29-to-1 ratio favoured advancers.

The S&P 500 posted 54 new 52-week highs and no new lows the Nasdaq Composite recorded 159 new highs and 31 new lows.

Volume on US&nbspexchanges was 6.19 billion shares, compared with the 6.27 billion average over the last 20 trading days.

A senior US trade official announced a deal with Mexico to replace the North American Trade Agreement

A broad-based rally pushed the S&P 500 and the Nasdaq to record-high closes for the second straight session on Monday as a trade agreement reached between the United States and Mexico buoyed investor sentiment. Also Read:&nbspTrudeau, Trump have 'constructive conversation' on US-Mexico NAFTA deal Technology stocks led the Nasdaq above the 8,000 mark for the first time and the sector provided the biggest boost to the S&P 500. A senior US&nbsptrade official announced a deal with Mexico to replace the North American Trade Agreement and said talks with Canada were expected to begin immediately. The upbeat trade outlook was further boosted by news that Washington was pressuring the European Union to accelerate tariff talks. Disputes between the United States and its trading partners have been a drag on investor sentiment for much of the year despite solid economic fundamentals and two robust quarters of corporate earnings. "It takes a long time for people to come out of the concerns related to those thousand-point down days and feel a little bit more comfortable," said Robert Pavlik, chief investment strategist at SlateStone Wealth LLC in New York. "And the trade concerns and the tariffs, that played a part in it, that's what held it back. "People are feeling a little bit more positive," Pavlik added. Matt Blunt, president of the American Automotive Policy Council, said he was optimistic about the trade deal. Shares of Ford Motor Co&nbspwere up 3.2 per cent while General Motors rose 4.8 per cent. Tariff-sensitive companies Boeing Co and Caterpillar Inc were up 1.2 per cent and 2.8 per cent, respectively, leading the industrial sector's advance and pulling the Dow higher. The Mexico-focused iShares MSCI Mexico ETF was up 2.1 per cent. The Dow Jones Industrial Average rose 259.29 points, or 1.01 per cent, to 26,049.64, the S&P 500 gained 22.05 points, or 0.77 per cent, to 2,896.74 and the Nasdaq Composite added 71.92 points, or 0.91 per cent, to 8,017.90. Of the 11 major sectors of the S&P 500, nine ended the session in positive territory, with the biggest percentage gains in materials, financials and industrials. Defensive utilities and real estate sectors were the only percentage losers. Tesla Inc stock dipped 1.1 per cent, paring earlier losses following news that Chief Executive Elon Musk was scrapping his scheme to take the electric automaker private. Chipotle Mexican Grill was the biggest percentage loser in the S&P 500, down 4.8 per cent after Wedbush downgraded the burrito chain's shares. Luxury retailer Tiffany & Co ended the session down 1.3 per cent ahead of its second-quarter earnings report expected early on Tuesday. Advancing issues outnumbered declining ones on the NYSE by a 1.80-to-1 ratio on Nasdaq, a 1.29-to-1 ratio favoured advancers. The S&P 500 posted 54 new 52-week highs and no new lows the Nasdaq Composite recorded 159 new highs and 31 new lows. Volume on US&nbspexchanges was 6.19 billion shares, compared with the 6.27 billion average over the last 20 trading days.

US S&P 500, Nasdaq at record high on US-Mexico trade deal

Asian investors extended a rally on Tuesday, tracking another Wall Street record as investors cheered a fresh trade deal between the United States and Mexico that brings an end to one row picked by Donald Trump that had rattled global markets.

The agreement raises hopes the two-decade-old North American Free Trade Agreement, torn up by the White House soon after Trump's election, can be salvaged after Canada rejoins talks on Tuesday.

The pact was described by the US president as "a big day for trade" and it sent the S&P 500 and Nasdaq to fresh all-time highs, while the Dow broke 26,000 for the first time since January.

Monday's agreement comes after officials from Washington and Beijing held talks last week aimed at easing trade tensions that have seen them hit each other with tariffs on tens of billions of dollars worth of goods.

While the meeting did not achieve any breakthrough, the fact they took place was seen as a good sign.

Stephen Innes, head of Asia-Pacific trading at OANDA, said dealers were "in a festive mood" as the deal removed "one major hurdle that has been haunting North American investors for months".

He added: "Markets are revelling in any trade positives... After all, a deal is a deal."

Equities, which enjoyed a healthy run after Federal Reserve boss Jerome Powell indicated Friday the bank would not aggressively lift interest rates, continued to rise.

Tokyo went into the break 0.6 per cent higher with Toyota surging almost two per cent after saying it will invest about $500 million into Uber as part of a deal to work on mass-producing self-driving vehicles.

Hong Kong added 0.5 per cent and Shanghai rose 0.2 per cent.

Sydney climbed 0.7 per cent and Singapore was 0.8 per cent higher, with Seoul adding 0.4 per cent and Taipei 0.6 per cent stronger.

Manila, Wellington and Jakarta were also sharply higher.

The more upbeat outlook helped high-yielding currencies. Mexico's peso jumped more than one per cent on the news but struggled to maintain the gains on Tuesday, though the Canadian dollar was up 0.8 percent.

South Korea's won, the Australian dollar and the South African rand also enjoyed solid buying.

The Turkish lira fell 1.7 per cent to around 6.2 against the dollar as the country's markets reopened after a week-long holiday, with dealers continuing to fret over the financial crisis in the country.

The euro dipped by managed to hold gains that came on the back of data showing business confidence in the German economy, Europe's biggest, bounced back as fears over a US trade war eased.

The agreement raises hopes the two-decade-old North American Free Trade Agreement, torn up by the White House soon after Trump's election, can be salvaged after Canada rejoins talks on Tuesday.

Asian investors extended a rally on Tuesday, tracking another Wall Street record as investors cheered a fresh trade deal between the United States and Mexico that brings an end to one row picked by Donald Trump that had rattled global markets. The agreement raises hopes the two-decade-old North American Free Trade Agreement, torn up by the White House soon after Trump's election, can be salvaged after Canada rejoins talks on Tuesday. The pact was described by the US president as "a big day for trade" and it sent the S&P 500 and Nasdaq to fresh all-time highs, while the Dow broke 26,000 for the first time since January. Monday's agreement comes after officials from Washington and Beijing held talks last week aimed at easing trade tensions that have seen them hit each other with tariffs on tens of billions of dollars worth of goods. While the meeting did not achieve any breakthrough, the fact they took place was seen as a good sign. Stephen Innes, head of Asia-Pacific trading at OANDA, said dealers were "in a festive mood" as the deal removed "one major hurdle that has been haunting North American investors for months". He added: "Markets are revelling in any trade positives... After all, a deal is a deal." Equities, which enjoyed a healthy run after Federal Reserve boss Jerome Powell indicated Friday the bank would not aggressively lift interest rates, continued to rise. Tokyo went into the break 0.6 per cent higher with Toyota surging almost two per cent after saying it will invest about $500 million into Uber as part of a deal to work on mass-producing self-driving vehicles. Hong Kong added 0.5 per cent and Shanghai rose 0.2 per cent. Sydney climbed 0.7 per cent and Singapore was 0.8 per cent higher, with Seoul adding 0.4 per cent and Taipei 0.6 per cent stronger. Manila, Wellington and Jakarta were also sharply higher. The more upbeat outlook helped high-yielding currencies. Mexico's peso jumped more than one per cent on the news but struggled to maintain the gains on Tuesday, though the Canadian dollar was up 0.8 percent. South Korea's won, the Australian dollar and the South African rand also enjoyed solid buying. The Turkish lira fell 1.7 per cent to around 6.2 against the dollar as the country's markets reopened after a week-long holiday, with dealers continuing to fret over the financial crisis in the country. The euro dipped by managed to hold gains that came on the back of data showing business confidence in the German economy, Europe's biggest, bounced back as fears over a US trade war eased.

Asian markets push on with rally after US-Mexico trade deal

Gold prices held steady on Tuesday after hitting a two-week high in the previous session, with the dollar under pressure in the wake of a trade deal between the United States and Mexico.

* Spot gold <XAU=> was steady at $1,211.31 an ounce at 0047 GMT. Prices hit their highest since August 13 at $1,212.38 on Monday, while the metal rose about 1.7 per cent on Friday in its biggest one-day percentage gain since May 17, 2017.

* US gold futures were up 0.2 per cent at $1,217.90 an ounce.

* The dollar fell to a four-week low on Monday, as risk appetite improved and investors unwound some safe-haven bets on the currency after the United States and Mexico reached a trade deal.&nbsp

* The dollar index <.DXY> slid 0.1 per cent against a basket of six major currencies on Tuesday.

* The United States and Mexico agreed to overhaul the North American Free Trade Agreement (NAFTA), putting pressure on Canada to agree to the new terms on auto trade and other issues to remain part of the three-nation pact. An agreement could ease concerns about an escalation in global trade tensions.

* The dollar was also undermined by expectations of a more gradual pace in the US interest rate increases.

* Interest rate hike expectations have supported the dollar this year as the US economy tracked a stable growth path.

* However, since hitting a more than one-year high in mid-August, the dollar has fallen about 2.3 per cent after President Donald Trump criticized the Fed for raising interest rates at a time when the government was trying to stimulate the economy.

* China's net gold imports via main conduit Hong Kong fell about 45 per cent in July from the previous month amid lacklustre demand, data showed on Monday.

* Higher activity in gold options amid geopolitical tensions and a record-long bull market for US equities suggest that investors are betting gold prices have found a floor, traders said.

US gold futures were up 0.2 per cent at $1,217.90 an ounce.

Gold prices held steady on Tuesday after hitting a two-week high in the previous session, with the dollar under pressure in the wake of a trade deal between the United States and Mexico. * Spot gold was steady at $1,211.31 an ounce at 0047 GMT. Prices hit their highest since August 13 at $1,212.38 on Monday, while the metal rose about 1.7 per cent on Friday in its biggest one-day percentage gain since May 17, 2017. * US gold futures were up 0.2 per cent at $1,217.90 an ounce. * The dollar fell to a four-week low on Monday, as risk appetite improved and investors unwound some safe-haven bets on the currency after the United States and Mexico reached a trade deal. * The dollar index <.DXY> slid 0.1 per cent against a basket of six major currencies on Tuesday. * The United States and Mexico agreed to overhaul the North American Free Trade Agreement (NAFTA), putting pressure on Canada to agree to the new terms on auto trade and other issues to remain part of the three-nation pact. An agreement could ease concerns about an escalation in global trade tensions. * The dollar was also undermined by expectations of a more gradual pace in the US interest rate increases. * Interest rate hike expectations have supported the dollar this year as the US economy tracked a stable growth path. * However, since hitting a more than one-year high in mid-August, the dollar has fallen about 2.3 per cent after President Donald Trump criticized the Fed for raising interest rates at a time when the government was trying to stimulate the economy. * China's net gold imports via main conduit Hong Kong fell about 45 per cent in July from the previous month amid lacklustre demand, data showed on Monday. * Higher activity in gold options amid geopolitical tensions and a record-long bull market for US equities suggest that investors are betting gold prices have found a floor, traders said.

Gold prices steady as dollar sags on US-Mexico trade deal

Oil prices rose on Tuesday as risks of supply disruptions from places such as Venezuela, Africa and Iran triggered expectations of a tightening market.

International Brent crude oil futures were at $76.37 per barrel at 0215 GMT, up 16 cents, or 0.2 per cent, from their last close.

US West Texas Intermediate (WTI) crude futures were up 9 cents, or 0.1 per cent, at $68.96 a barrel.

Despite some concerns about an economic slowdown because of the US-China trade conflict, crude supplies are relatively tight due to disruptions as well as voluntary restraints on output by the Organization of the Petroleum Exporting Countries (OPEC).

The cartel's monitoring committee found that oil producers participating in a supply-reduction agreement, which includes non-OPEC member Russia, cut output in July by 9 per cent more than called for.

The findings for last month compare with a compliance level of 120 per cent for June and 147 per cent for May, meaning participants have been steadily increasing production.

OPEC and its allies agreed in late 2016 to cut output from 2017 by around 1.8 million barrels per day (bpd) versus October 2016 levels.

The International Energy Agency (IEA) on Monday also warned of further supply disruptions, especially from Venezuela, where an economic crisis has cut deep into the OPEC-member's oil output.

Venezuelan crude oil exports have halved in the previous two years to just 1 million bpd by mid-2018, according to trade flow data.

"We can expect a further fall," the IEA's Executive Director Fatih Birol told Reuters in Norway on Monday.

Birol also warned that African OPEC-members Libya and Nigeria "seem both still fragile countries" despite some recent improvements.

Birol said it was too early to gauge the impact of the US sanctions that will target Iran from November.

Beyond a relatively tight supply outlook, analysts said a fall in the dollar over the past two weeks was also supporting crude, as it makes oil purchases cheaper for countries using other currencies at home.

"The weaker US-dollar helped commodities in general," said Greg McKenna, chief market strategist at futures brokerage AxiTrader.

International Brent crude oil futures were at $76.37 per barrel at 0215 GMT, up 16 cents, or 0.2 per cent, from their last close.

Oil prices rose on Tuesday as risks of supply disruptions from places such as Venezuela, Africa and Iran triggered expectations of a tightening market. International Brent crude oil futures were at $76.37 per barrel at 0215 GMT, up 16 cents, or 0.2 per cent, from their last close. US West Texas Intermediate (WTI) crude futures were up 9 cents, or 0.1 per cent, at $68.96 a barrel. Despite some concerns about an economic slowdown because of the US-China trade conflict, crude supplies are relatively tight due to disruptions as well as voluntary restraints on output by the Organization of the Petroleum Exporting Countries (OPEC). The cartel's monitoring committee found that oil producers participating in a supply-reduction agreement, which includes non-OPEC member Russia, cut output in July by 9 per cent more than called for. The findings for last month compare with a compliance level of 120 per cent for June and 147 per cent for May, meaning participants have been steadily increasing production. OPEC and its allies agreed in late 2016 to cut output from 2017 by around 1.8 million barrels per day (bpd) versus October 2016 levels. The International Energy Agency (IEA) on Monday also warned of further supply disruptions, especially from Venezuela, where an economic crisis has cut deep into the OPEC-member's oil output. Venezuelan crude oil exports have halved in the previous two years to just 1 million bpd by mid-2018, according to trade flow data. "We can expect a further fall," the IEA's Executive Director Fatih Birol told Reuters in Norway on Monday. Birol also warned that African OPEC-members Libya and Nigeria "seem both still fragile countries" despite some recent improvements. Birol said it was too early to gauge the impact of the US sanctions that will target Iran from November. Beyond a relatively tight supply outlook, analysts said a fall in the dollar over the past two weeks was also supporting crude, as it makes oil purchases cheaper for countries using other currencies at home. "The weaker US-dollar helped commodities in general," said Greg McKenna, chief market strategist at futures brokerage AxiTrader.

Oil prices edge up on supply disruption worries