need2know: Morning update on 9 macros that may matter to you

A mechanism is in the works to ensure that the poor are not deprived of cooking gas or kerosene subsidy, which is slowly being phased out, oil ministry officials said. State oil companies, on directions of the government, have been periodically raising prices of cooking gas and kerosene to eventually align them with market rates. Making sure only poor households receive fuel subsidy will require some hard work on consumer data, much of which is now available with the government.

Here’s a lowdown on the nine macro triggers that are likely to impact the market on Monday. This report was compiled from agency feeds.

Targeted Benefits
The government plans to use the Socio Economic and Caste Census 2011 data to identify individual beneficiaries for all its schemes to ensure that benefits meant for the deprived population reach the right people. A cabinet note will be moved soon to start this change. The note being prepared by the rural development ministry would suggest the use of SECC data for all schemes including the National Food Security Act and health programmes. Now, only the rural development ministry and a few departments use the Socio Economic and Caste Census (SECC) data for their programmes.

Record Kharif Harvest Likely
Foodgrain output in the ongoing 2017-18 kharif season is likely to surpass last year's record of 138.04 million tonnes due to higher acreage and good monsoon for the second straight year, Agriculture Secretary Shobhana K Pattanayak has said. So far, more than 80% of the sowing of kharif crops -- paddy, pulses, oilseeds, cotton, sugarcane and jute -- has been completed and the planting will continue in some parts till next month.

Luxury Car Cess Up, Relief For Textiles
Get readu to pay more fot your fancy SUVs and luxury sedans! The Goods and Services Tax Council is said to have decided to raise the cess on luxury automobiles to 25% from 15% now. The rates may not go up immediately as any increase in the cess will require an amendment to the GST compensation law. The overall view within the council was to have the cess on high-end automobiles pegged higher so that it can be increased if the need arises. The GST Council also revised rates on 19 services on Saturday including reducing the job work rate in the textiles sector to 5% from 18%. The reduction in the rate of job work will be applicable across the entire textile chain and takes care of the concerns of the industry.

Black Money Breakthrough
Switzerland found India's data security and confidentiality laws "adequate" for entering into an automatic exchange of information pact, which will open a continuous access to details about alleged black money hoarders in once-all-secret Swiss banks. In a detailed notification and fact sheet published in its official gazette for introduction of "automatic exchange of information relating to financial accounts with India", the Swiss government has also cited decisions by other financial centres like Liechtenstein and Bahamas to enter into similar pacts. The implementation is currently planned for 2018 and the first set of data should be exchanged in 2019.

Critical Care
In a move to make innovative medicines available for critical diseases like HIV, hepatitis and tuberculosis, the health ministry plans to waive off clinical trials in humans for select drugs which are essential for Indian patients and were approved in developed markets like the US, European Union, Japan, Canada and Australia at least two years ago. Though such waivers are still approved by the drug regulator on case to case basis, the ministry now plans to bring in legal provisions under the proposed rules for clinical trials. This will enable the regulator set a standard procedure and criteria for approvals. Companies, however, will also be required to do post marketing trials and submit data. This will save cost and time but in certain cases Indian genetic makeup must be considered.

The Next Retail Revolution
Retailers and consumer goods companies could unlock $2.95 trillion in value for the industry and consumers over the next decade by accelerating digital transformation, says a report by Accenture Strategy. According to the report, the retail and consumer goods industries will change more in the next 10 years than they have over the past 40. The report said eight technologies are expected to play a key role through 2025, impacting all major areas of the value chain: like Internet of Things, Autonomous Vehicles/Drones, Artificial Intelligence/Machine Learning, Robotics, Digital Traceability, 3D Printing, Augmented Reality/Virtual Reality and Blockchain.


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FUNDAMENTALS
Rupee Up: The rupee on Friday resumed its record- setting spree after a brief pause and closed at a fresh two- year high of 63.58, hardening by 11 paise even as panic dollar unwinding continued.

Bonds Down: Government bonds (G-Secs) declined on selling pressure from banks and corporates. The 6.79% 10-year benchmark bond maturing in 2029 weakened to Rs 100.50 from Rs 100.57, while its yield inched up to 6.73% from 6.72%. The 6.79% G-Secs maturing in 2027 slid to Rs 102.5050 from Rs 102.58, while its yield edged up to 6.44% from 6.43%. The 7.35% G-Secs maturing in 2024 slipped to Rs 103.87 from Rs 103.96, while its yield gained to 6.64% from 6.62%. The 7.68% G-Secs maturing in 2023 and the 6.97% G-Secs maturing in 2026 was quoted lower to Rs 105.75 and Rs 102.25 respectively.

Call Rates Flat: The overnight call money rates ended stable at Thursday's level of 6.05%, It resumed higher to 5.90% and moved in a range of 5.90% and 5.70%. The 3-days call money rates ended at 5.80%. It commenced 6.00% and moved in a range of 6.00% and 5.70%.

Liquidity: Reserve Bank of India, under the Liquidity Adjustment Facility, purchased securities worth Rs 33.10 billion in 10-bids at the 3-days repo operation at a fixed rate of 6.00% as on Friday, while it sold securities worth Rs 118.29 billion in 37-bids at the overnight reverse repo auction at a fixed rate of 5.75% as on August 3.