- Rupee rebounds to close at 56.09/$, steepest monthly fall in 6 months
- Sensex falls 94 points on Q4 GDP, Nifty holds on to 4,900
- India's fourth quarter GDP grows at 5.3%, below expected 6.1%
- Cabinet approves new telecom policy
- Kingfisher Airlines posts worst-ever quarter; no funding in sight
- Zuckerberg and I have a few things in common: Bill Gates
- Govt announces austerity measures; bans 5-star hotels, cars: Highlights
- How Spain went from boom to bust in 10 years
- In Greek suicide note: financial despair and political rage
- Market fears send key US interest rate to 66-year low
1) Rupee rebounds to close at 56.09/$, steepest monthly fall in 6 months
The rupee rebounded from record lows on Thursday after hitting a record intraday low of 56.52 against the dollar. It is now the worst performing Asian currency this year, falling 6.35 per cent in the month of May, the biggest monthly fall in six months.
Rupee free-fall: See full coverage here.
The Indian rupee ended stronger at 56.09/$ from Wednesday’s record closing low of 56.23/24 per dollar on the back of some genuine dollar sales. Euro too rebounded in trade against dollar, providing support to the Rupee. (Read More)
2) Sensex falls 94 points on Q4 GDP, Nifty holds on to 4,900
A recovery in the rupee and modest gains across European stocks helped the Sensex close off the day's low Thursday. It ended 93.62 points or 0.57 per cent lower at 16,218.53, while the broader Nifty index declined 26.50 points or 0.54 per cent to 4,924.
The BSE Sensex had earlier hit an intraday low of 16,086, falling over 200 points, after data revealed that the Indian economy grew at a slower than expected pace in the March quarter. The Nifty had slipped below the 4,900 mark. (Read More)
Also Read: Maruti, Suzlon fall on MSCI rebalance; Bank of Baroda gains
3) India's fourth quarter GDP grows at 5.3%, below expected 6.1%
India's annual GDP growth slumped in the January-March quarter to a nine-year low of 5.3 per cent as the manufacturing sector shrank and a fall in the rupee to a record low suggests the economy remains under pressure in the current quarter.
Also Read: India a gasping elephant, says HSBC on GDP numbers
Thursday's figures mark a dramatic slide in fortunes for a country that was growing in the years before the global financial crisis at more than 9 per cent, with ambitions to challenge China as the world's top emerging economy. Here are 10 things about the economy that the data tells us. (Read More)
For more on India's economic struggle, click here.
4) Cabinet approves new telecom policy
The Cabinet on Thursday approved a new telecom policy, replacing more than a decade-old rules, aiming to boost transparency and revive growth in one of the country's showpiece sectors that has been rocked by a massive scandal. The policy will separate telecom permits and radio airwaves, against the current practice of bundling them, and will charge a market-derived price for lucrative airwaves, among other things.
Under the new policy, India will also seek to re-farm, or switch, airwave bands held by government agencies and private telecom operators "from time to time" to make way for new technologies, telecom minister Kapil Sibal told reporters after a meeting of the cabinet.
Also Read: New telecom policy - Five points of interest for you, the consumer
5) Kingfisher Airlines posts worst-ever quarter; no funding in sight
Kingfisher Airlines' posted its worst-ever quarterly loss on Thursday, as huge cuts in the number of flights compounded the woes of a cash-strapped carrier facing high fuel prices and intense competition for low fares, sending its shares down to record lows.
Kingfisher was India's No. 2 airline until a year ago. It is now the smallest carrier in India by market share. Shares in the airline have plummeted more than 80 per cent since the beginning of 2011, shrinking the airline's market value to just under $100 million.
Also Read: 10 reasons why Kingfisher Airlines shares have hit record low
6) Zuckerberg and I have a few things in common: Bill Gates
In an exclusive interview, NDTV’s Vikram Chandra speaks to Bill Gates, Founder-Chairman of Microsoft on India’s growth story, his connection with Mark Zuckerberg, the Facebook IPO and what it takes to be happy. According to Gates, India’s growth story is still positive, although India needs to concentrate on more reforms if it wants to hit the 7-8 per cent growth target.
Here is an edited transcript of the interview. View the video here.
7) Govt announces austerity measures; bans 5-star hotels, cars: Highlights
The government announced a series of austerity steps on Thursday, including a 10 per cent cut in non-plan expenditure for 2012/13, in a bid to contain its ballooning fiscal deficit. India's non-plan expenditure for 2012/13 is estimated at Rs 97,000 cr.
However, the cut, according to a statement released by the Ministry of Finance, excludes interest payment, debt repayment, defence capital, salaries, pensions, and grants to states. Here are highlights of the measures.
8) How Spain went from boom to bust in 10 years
Spain is moving closer to the financial tipping-point that could force it to ask for a bailout as the country's borrowing costs neared unsustainable levels Wednesday. The country's economic fortunes have gone from boom to bust over the past decade. Here are the main developments.
Also Read: Spain debt woes spur flight out of risk assets
9) In Greek suicide note: financial despair and political rage
The note in the pocket of a Greek pensioner who hanged himself from a tree in Athens on Wednesday reflected the despair caused by an economic crisis and the politicised rage of a nation being driven to the brink.
Also Read: What would happen if Greece were to exit Eurozone?
Greece, which used to have one of the lowest suicide rates in the world, has seen a surge of people taking their own lives since it was plunged into the euro zone's worst economic crisis. Experts say the suicide rate probably doubled last year. (Read More)
10) Market fears send key US interest rate to 66-year low
The drop in a key interest rate to a 66-year low is a sign of one thing — fear. Traders don't actually think a Treasury note paying 1.62 per cent is a good investment. They just trust Uncle Sam to keep their money safe if Europe falls apart.
"When people just want to get their money back, there's not a lot of competition," said Bill O'Donnell, head of U.S. Treasury strategy at the Royal Bank of Scotland. The benchmark 10-year Treasury note fell Wednesday to its lowest level since November 1945 as worries about the European debt crisis roiled markets worldwide. Investors sold off stocks and plowed money into government bonds that are considered safe. (Read More)