This is a roundup of the day’s top stories in brief.
1. U.S. Stocks Rally For Fourth Straight Day...
Stocks rallied globally as investors rushed back into technology and health-care firms on bets that the U.S. election results will mean no major tax hikes or regulatory changes that would derail the sectors.
The S&P 500 jumped more than 1% for a fourth straight day and is headed for the best week since April.
The tech-heavy Nasdaq 100 surged another 2%, pushing its advance this week toward 9%.
Gold strengthened 1.4% to $1,929.79 an ounce.
Get your daily fix of global markets.
...As Biden Stands On The Brink Of Victory
Joe Biden stood on the brink of claiming the presidency from Donald Trump on Thursday, with a handful of states expecting to complete their vote counts despite Republicans opening legal fights to stop counting in at least two states.
Biden held 264 Electoral College votes out of the 270 needed to win the White House, according to the Associated Press. Trump has 214.
Biden needs only to win an additional outstanding state, such as Nevada, where he is narrowly leading, or Georgia, where his campaign believes mailed votes will push him over the top.
He also likely needs to hold Arizona, which the Associated Press has called in his favor but which the Trump campaign says it can still win.
A Biden win in Pennsylvania could also clinch the race.
Follow the final results of U.S. elections 2020 here.
2. Sensex Erases 2020's Losses
India equity markets gained along with Asian peers even as the verdict of the U.S. Presidential elections hangs in the balance.
The S&P BSE Sensex ended 1.8% or 740 points higher at 41,355, wiping out year-to-date losses.
The NSE Nifty 50 index too ended 1.8% higher at 12,120.
The 50 stock index is 48 points away from turning positive for 2020.
Follow the day’s trading action here.
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3. Modi Vows To Do All It Takes To Make India Investor Friendly
Prime Minister Narendra Modi invited global funds and businesses to invest in India, pitching the nation as a safe and stable destination.
Demand with democracy and stability with sustainability are things that India offers, Modi said Thursday in a virtual address to global investors including British Columbia Investment Management Corp., GIC Pte, and Korea Investment Corp.
It is also a place that provides growth with a green approach, he said.
Modi pledged to “do whatever it takes to make India the engine of global growth resurgence”.
Billionaires Mukesh Ambani and Uday Kotak were among those in attendance.
3. Saudi Arabia Pumps $1.3 Billion In Ambani’s Retail Venture
Saudi Arabia’s Sovereign Fund will buy a stake worth about Rs 9,555 crore ($1.3 billion) in Reliance Industries Ltd.’s retail business.
The Public Investment Fund will pick up a 2.04% stake in Reliance Retail Ventures Ltd., the holding arm for Mukesh Ambani’s retail business, according to media statements issued by RIL and PIF on Thursday.
The deal pegs the pre-investment equity valuation of Reliance Retail at Rs 4.58 lakh crore.
PIF joins other global investors that have invested in Ambani’s retail venture.
4. Legal Setback For Reliance Industries
The Securities Appellate Tribunal has dismissed an appeal filed by Reliance Industries Ltd., challenging a disgorgement order passed by the market regulator.
The Securities and Exchange Board of India had directed the company to disgorge an amount of Rs 447.27 crore, along with interest at 12%, on grounds that the oil-to-gas major made unlawful gains from a transaction where it offloaded 5% of its then holding in Reliance Petroleum Ltd., in March 2007.
RIL continued to assert that it had not violated any law or regulation while selling shares.
5. As Deadline Ends, Lenders Rush To Complete Compound Interest Refunds
As the deadline to refund the compounded interest component of loans ends on Thursday, not all borrowers are likely to receive an update from their lenders as banks face operational hiccups.
“The identification of eligible accounts that have outstanding borrowings of up to Rs 2 crore has been bit of a challenge. We are yet to receive that data from CIBIL (TransUnion CIBIL Ltd.) and that has caused some delay,” said PR Rajagopal, executive director at the Bank of India.
State Bank of India was “mid-way” into the disbursal process and will complete it within the deadline, Dinesh Kumar Khara, chairman, said on Wednesday.
6. IndiGo Defying Aviation Gloom
IndiGo, India’s biggest airline, is in talks with Pratt & Whitney and CFM International Inc. for its next batch of jet engine orders, people familiar with the matter told Bloomberg News.
The discussions with the rival manufacturers relate to engines that would power about 150 new Airbus SE A320neo jets, the people said, asking not to be identified because the negotiations are private.
Based on the size of IndiGo’s last engine order -- a $20 billion transaction with CFM that covered 280 planes and was the largest engine order in history -- the new agreement could be worth around $10.7 billion, including service, repair, and maintenance.
That any airline is negotiating over future orders is a surprise considering how thoroughly global aviation has been hit.
7. Rajasthan Budges On GST Compensation Issue, Will Borrow To Meet Shortfall
The state of Rajasthan has agreed to the central government's first option of borrowing funds to meet its Goods and Services Tax compensation shortfall.
Rajasthan is the only Congress-administered state apart from the Union Territory of Puducherry to have chosen the first option where the central government will borrow funds and transfer it as back-to-back loans to the states.
Rajasthan, hence, has been granted additional borrowing permission of Rs 5,462 crore, or 0.5% of the state's gross domestic product.
Rajasthan will receive the first weekly installment of the borrowing on Nov. 9.
9. A New Worry For Foreign Awards In India
A recent ruling by the Gujarat High Court will force Indian companies to reconsider their choice of jurisdiction to settle disputes. While domestic companies can choose to be governed by a foreign law for arbitration purposes, they can’t approach Indian courts for interim relief, the high court has said.
After GE Power Conversion India Pvt. won an award from an arbitral tribunal in Zurich, it approached the high court to enforce the directions against PASL Wind Solutions Pvt.
The arbitral tribunal ruled in favour of GE Power and directed PASL to pay over Rs 3 crore.
Here are the concerns that have arisen from the ruling.
10. Adani’s Australian Makeover
Adani Enterprises Ltd. renamed its Australian mining unit in a move critics see as aimed at distancing the rest of the conglomerate from a contentious new coal development.
Adani last year won approval to proceed with the 10 million-tonne per-annum Carmichael thermal coal project after a decade-long struggle with regulators and environmental protesters.
The company has renamed itself Bravus Mining & Resources to mark the 10-year anniversary of its operations in the country.
One expert says the Adani brand-name had become so toxic that insurers and financiers were abandoning it.
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