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Value Of India's Biggest Brands Dips 4% ⬇️

TCS has retained the top spot, with a brand value of $43 billion.

Author

ADITYA SINGH
September 29, 2023

Good Afternoon ☕

In 2022, India's leading brands faced a 4% value dip, totaling $379 billion, with TCS at the forefront according to Kantar. Diplomatic talks between Jaishankar and Blinken occurred, omitting discussions on Nijjar's case. Come 2023, India's 10-year yield spiked to 7.2% due to rising crude oil prices. EXIM Bank predicts a 5% drop in Q2 FY2024 merchandise exports. Additionally, a report suggests a ban on sugar exports from India starting October, adding a new dimension to its economic scenario.

Important News of the Day

1. India's leading brands witness a 4% drop in value in 2022; TCS maintains the lead

In 2022, India's top 75 brands experienced a 4% decline in brand value to $379 billion due to economic uncertainties, per Kantar. Tata Consultancy Services (TCS) retained its top spot in Kantar BrandZ Top 75 ranking with a brand value of $43 billion. HDFC Bank, Infosys, and Airtel held their positions, while SBI joined the list. The rankings, based on feedback from over 127,634 individuals on 1,500 brands across 106 categories, noted a modest brand value decrease despite India's significant GDP growth. Automotive and digital banking sectors saw notable brand value increases, while four new entrants joined the rankings. Over a decade, the top 50 brands' value surged from $69.6 billion to $339.9 billion, showcasing the resilient brand value growth amid global economic challenges.

2. Jaishankar-Blinken meet for bilateral talks; no mention of Nijjar's killing

India's Foreign Minister S Jaishankar met with US Secretary of State Antony Blinken in Washington DC on September 28, amid the diplomatic fallout between India and Canada over the killing of a Sikh separatist leader, Hardeep Singh Nijjar. Canadian Prime Minister Justin Trudeau had expected Blinken to raise the issue with India, but the US statement after the meeting made no mention of it. Nijjar was a Canadian citizen, but India had declared him a "terrorist" due to his support for the cause of Khalistan. The allegations of Indian involvement in his killing have led to tensions between Canada and India.

3. India 10-year yield ends at 7.2% in biggest single session rise of 2023 on high crude oil prices

Indian government bond yields climbed on Thursday, September 28, with the benchmark yield posting its biggest single-session rise in 2023, triggered by a relentless rise in oil prices as well as Treasury yields, while debt supply further hurt. The 10-year benchmark 7.18% 2033 bond yield ended at 7.2414% after ending at 7.1704% in the previous session. The yield posted its biggest single-session rise since November 3, 2022.

4. India’s merchandise exports to decline 5% in Q2 FY2024: EXIM Bank

According to India Exim Bank, India's merchandise exports are expected to decline by 5% in Q2 FY2024, with exports for the first half of FY24 expected to amount to $208 billion, while non-oil exports could amount to $172 billion. The bank also forecasts that India's merchandise exports for Q2 (July-September) of FY2023 will amount to US$ 114.4 bn, and non-oil exports to amount to US$ 91.7 bn. In the first quarter of the new fiscal year, non-oil exports are forecast to amount to USD 86.6 billion.

5. India to ban sugar exports in new season beginning October: Report

India is set to ban the export of non-basmati white rice starting from October 1, 2023. The ban was announced by the Ministry of Commerce and Industry in July 2023, and it includes semi-milled or wholly milled, polished or unpolished, and glazed or unglazed rice. The ban is aimed at ensuring adequate domestic availability of rice at reasonable prices and to control surging domestic food prices. The ban is expected to impact millions of people in Asia, Africa, and the Middle East, with Asian and African consumers set to bear the biggest brunt.

Stock Market Update 📈

India's current account deficit narrowed to $9.2 billion for the April-June period
India's current account deficit (CAD) broadened to $9.2 billion in the April-June 2023 quarter from $1.3 billion in the preceding quarter due to a higher trade deficit, lower surplus in net services, and a dip in private transfer receipts as per the Reserve Bank of India (RBI).

Mubadala in talks with Temasek for stake buy in India’s Manipal Hospitals
Abu Dhabi's Mubadala is considering buying a stake of less than 10% in India's Manipal Hospitals from Singapore's Temasek. The deal could be worth up to $500 million at a $5 billion valuation. Mubadala is interested in India's healthcare sector due to its high-profit potential, while Temasek aims to reduce risk.

Abu Dhabi's International Holding Company (IHC) is selling its $2 billion stake in two Adani Group companies as part of a portfolio rebalancing strategy.

Exicom Tele-Systems, a manufacturer of electric vehicle (EV) chargers in India, has initiated the process for a public offering to raise $48 million. The funds acquired from the IPO are expected to be used for scaling the company's operations and capitalizing on the growing EV market in India.

The National Stock Exchange (NSE) has achieved a significant milestone by surpassing 8 crore registered investors, indicating growing interest in India's stock market. This development reflects the country's increasing participation in the financial markets and highlights the NSE's pivotal role in fostering investment opportunities.

FTSE Russell has retained India on its watchlist for potential inclusion in the Emerging Markets Government Bond Index. The decision reflects India's progress in meeting the criteria for inclusion, signaling potential investment opportunities in the country's government bonds.

Plaza Wires IPO successfully raises ₹20 crore from anchor investors before its issue. The company is gearing up for its upcoming Initial Public Offering (IPO) as it continues to attract investor interest.

India 10-year yield ends at 7.2% in biggest single session rise of 2023 on high crude oil prices
Indian government bond yields climbed on Thursday, September 28, with the benchmark yield posting its biggest single-session rise in 2023, triggered by a relentless rise in oil prices as well as Treasury yields, while debt supply further hurt. The 10-year benchmark 7.18% 2033 bond yield ended at 7.2414% after ending at 7.1704% in the previous session. The yield posted its biggest single-session rise since November 3, 2022.

Nomura upgrades India to ‘overweight’ from ‘neutral’; Reliance, ICICI Bank, ITC, among top picks|
Nomura, a Japanese brokerage firm, has upgraded its rating for Indian equities from "neutral" to "overweight" citing strong top-down narrative and potential to benefit from the 'China+1' theme. The upgrade is expected to boost investor confidence in the Indian market. Nomura's top picks include Reliance, ICICI Bank, and ITC.

Breaking News: The Scoop You Can't Miss!

1. India bags 5th Gold in shooting at Asian Games in Hangzhou

The Indian men's shooting team of Aishwary Pratap Singh Tomar, Swapnil Suresh Kusale, and Akhil Sheoran won India's 7th gold medal in the 50m Rifle 3 Positions Team event at the Asian Games 2023. They shattered the world record with a score of 1769, surpassing the previous record of 1761 held by the USA. The Indian shooting contingent has won 15 medals out of their 27 from shooting alone. Swapnil and Aishwary qualified for the individual final too as the duo finished first and second, respectively, in the individual qualification.

2. India's external debt rises to $629.1 billion at end-June 2023

India's external debt rose marginally to $629.1 billion at the end of June 2023, according to data released by the Reserve Bank of India (RBI). However, the debt-GDP ratio declined to 18.6%. The increase in external debt was about $4.7 billion from $624.3 billion in the previous quarter. The rise in external debt is a cause for concern as it could lead to a higher debt burden for the country in the future.

3. Asian Games: Manipuri athlete Roshibina Devi breaks down after winning medal

Naorem Roshibina Devi, a silver medalist in wushu at the 2023 Asian Games, broke down while speaking to reporters in Hangzhou, thousands of kilometers away from her home in strife-torn Manipur. She expressed her concern for her family's safety and prayed for normalcy in the state. Unlike other competitors who only had to deal with the pressure of performing well, Roshibina had to additionally deal with the fear for the safety of her family in Manipur. She hopes for a peaceful resolution to the conflict in her home state.

4. ‘Will PM Modi resign for false CBI inquiry?’: Delhi CM Arvind Kejriwal

Delhi Chief Minister Arvind Kejriwal has challenged Prime Minister Narendra Modi to resign if nothing comes out of the Central Bureau of Investigation (CBI) investigation into alleged irregularities in the reconstruction of Kejriwal's official residence in Civil Lines. Kejriwal said that the investigation was a sign of the PM's nervousness. The official residence of the Delhi Chief Minister became the focal point of a political controversy in May after the Bharatiya Janata Party (BJP) alleged that ₹44.78 crore were spent to renovate the building in violation of guidelines.

5. 80 kg cocaine worth ₹800 crore recovered off Kutch coast in Gujarat

Gujarat Police has seized 80 kg of cocaine worth nearly ₹800 crore from the shore of a creek near the Gandhidham town in Kutch district. The drugs were found abandoned near the sea coast and were recovered during a combing operation. The Superintendent of Police, Kutch East, Sagar Bagmar, confirmed the seizure and stated that the value of the drugs in the international market is ₹800 crore.

World News 🌎

  • Nike reports Q1 profit of $1.45 billion, beats estimates

  • Microsoft negotiated with Apple to sell Bing search in 2020

  • US agency sues Tesla over alleged harassment of Black factory workers

  • Microsoft CEO Satya Nadella to testify in Google antitrust case on Monday

  • Open AI, ex-Apple designer Jony Ive in talks with SoftBank's Son to raise $1 bn to build ‘iPhone of AI’

  • OIL explores options to bring back millions stuck in Russia

  • SAIL to get coking coal from Russia

  • Netherlands shooting: 2 dead, 1 injured in twin shooting incidents in Rotterdam

  • Justin Trudeau issues 'unreserved' apology for past invitation to former Nazi

  • Evergrande's billionaire chairman is accused of crimes

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