JPMorgan – The News Desk

Govt bonds’ JP Morgan index inclusion to boost rupee, help finance CAD: CEA

23Sep

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Govt bonds’ JP Morgan index inclusion to boost rupee, help finance CAD: CEA

The inclusion of Indian government bonds in JP Morgan's emerging market debt index is expected to broaden India's investor base, potentially appreciate the rupee, and make it easier for Indian financial institutions to lend money, Chief Economic Advisor V Anantha Nageswaran said on Friday. The move is also likely to simplify financing of the current account deficit (CAD) while reducing government borrowing costs, he said. Nageswaran, however, also stressed that India's fiscal and monetary policies would need to be cognizant of global perceptions and sensitivities. Increased foreign holdings could introduce volatility in the Indian bond market or currency during times of global uncertainty, even if these fluctuations were unrelated to Indian macroeconomic fundamentals, he obs...

Rupee rises 38 paise to 82.75 against US dollar in early trade

MUMBAI: The rupee appreciated by 38 paise to 82.75 against the US dollar in early trade on Friday, as the inclusion of India in the JPMorgan bond index boosted investor sentiment.Forex traders said the decision of JPMorgan Chase & Co to include Indian government bonds in its benchmark emerging-market index, is expected to have far-reaching implications for India's debt market and global investors.At the interbank foreign exchange, the domestic unit opened strong at 82.75, registering a gain of 38 paise from its previous close.On Thursday, the rupee consolidated in a narrow range to settle 2 paise lower at 83.13 against the dollar.India's inclusion in a major global bond index will open doors to increased foreign investment in the nation's debt market, traders said."The inclusion of In...

Share Sale: JPMorgan sees India share sale boom reaching $30 billion in 2024

India will see at least $30 billion raised annually through primary and secondary share sales in 2024 and in the years to come, as companies and their shareholders are more willing to tap the market for funding, according to JPMorgan Chase & Co.Sales of additional shares in listed companies in the country have surpassed $10 billion this year, more than the tally for all of 2022, according to data compiled by Bloomberg. The momentum can sustain into next year and beyond as owners of Indian companies are keen to raise funds for other investments, said Abhinav Bharti, India head of equity capital markets at JPMorgan. Demand from local asset managers as well as foreign investors is also driving share sales, he added.“In block trades, every year now you can average $10 billion from 2024 on...