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CAIT to Launch bharatemarket.in to Take on JioMart, Amazon and Flipkart

Professor of Financial Economics and Part-time Value Investor, Transfin.
May 3, 2020 3:51 AM 5 min read
Editorial

The Confederation of All India Traders (CAIT) has announced that it will soon launch an e-commerce platform - bharatemarket.in  - for retail traders across the country to take on the likes of JioMArt, Amazon and Flipkart. In a first, most Indian automakers, including Maruti, Hyundai, Toyota and Mahindra and Mahindra have reported zero domestic sales in April as factories and dealerships across the country remained shut to comply with the nationwide lockdown. US manufacturing activity contracted at the sharpest rate in 11 years in April as companies pulled back following lockdowns. The Food and Drug Administration (FDA) has granted emergency use authorization for Gilead’s remdesivir drug to treat coronavirus patients, President Donald Trump announced Friday.

 

 

 

INDIA INC

 

Automakers draw blanks in domestic sales in April. 

Drawing Blanks 

In a first, most Indian automakers, including Maruti, Hyundai, Toyota and Mahindra and Mahindra have reported zero domestic sales in April as factories and dealerships across the country remained shut to comply with the nationwide lockdown.

 

#ThrowBack

Nearly 250,000 vehicles were sold in the domestic market in April 2019.

 

However, as ports resumed operations, some manufacturers managed to restart exports. Maruti said it exported 632 units in April. Hyundai exported 1,341, while Mahindra and Mahindra exported 733 units.

 

Following this, the domestic automobile sector has written to the Government seeking relaxation from the lockdown to ensure full resumption of operations across the entire value chain, which includes factories of all component makers, vehicle and two-wheeler manufacturers as well as dealerships. [Business Today]

 

CAIT to launch bharatemarket.in to take on JioMart, Amazon and Flipkart.

Of the People, By the People, For the People

The Confederation of All India Traders (CAIT) has announced that it will soon launch an e-commerce platform - bharatemarket.in  - for retail traders across the country.

 

CAIT has tied up with the Department for Promotion of Industry and Internal Trade (DPIIT) to come up with an e-commerce platform for local retailers and grocery stores and plug millions of mom-and-pop or Kirana shops in the country to digital commerce. [Inc42

 

FINANCIAL SERVICES

 

Trading in corporate bond market spikes. 

A Bond Forever

Trading in the corporate bonds market witnessed an uptick this week, providing some relief to liquidity-hungry mutual funds that are facing redemption pressure in their debt funds, following the Franklin Templeton fiasco.

 

Daily trade volume has exceeded ₹10,000cr ($1,334m) in the three days to April 29th, 15% more than the daily average turnover in April, as per data from NSE.

 

On April 28th, bonds worth ₹13,762cr (1,836m) were traded, the highest in the month. [Livemint]

 

RBI Governor to meet bank chiefs today. 

We Need to Talk

RBI Governor Shaktikanta Das is scheduled to meet bank chiefs today to take stock of the financial sector and deliberate on steps to be taken to boost industry amid the COVID-19 crisis, as per sources.

 

The meeting will take stock of implementation of several steps announced by the RBI, including moderation in interest rate and its transmission, as well as liquidity infusion measures to support the industry.

 

Besides, various facilities provided to help the stressed MSME industry and rural sector would also be reviewed. [New Indian Express]

 

BUSINESS

 

UPI transactions see biggest monthly dip since inception in April. 

Don’t Panic!

UPI transactions slumped more than a fourth to ₹1.5trn ($20bn) in April, show data released by NPCI. This is the highest monthly plunge since UPI’s inception in 2016.

 

The decline in value and the number of transactions was a result of the nationwide lockdown. 

 

Similarly, IMPS channels also saw volumes and value plunge by 44% and 40%, respectively. The channel recorded 120 million transactions worth ₹1.2trn ($16bn) in April. [ET Tech]

 

Government defers release of April GST collection data. 

An Expected Delay

The Government has deferred the release of April GST revenue collection data due to the ongoing lockdown. It had last month extended the dead

 

COMPANIES

 

Exxon Mobil reports first loss in decades. 

Exxon on a Slippery Ground

Exxon Mobil on Friday reported its first loss in decades after a writedown of almost $3bn on the value of its oil reserves because of a collapse in US oil prices.

 

The oil giant reported a loss of $610m for the first quarter of the year vs a profit of $2.4bn last year.

 

Exxon posted a GAAP loss of 14 cents per share, and a non-GAAP profit of 53 cents per share. Revenue fell to $56.16bn. In the same quarter a year earlier the company earned $2.35bn, or 55 cents per share, on revenue of $63.63bn.

 

Shares of Exxon slipped 7.2% on Friday. [CNBC]

 

Amazon CEO called to testify before Congress.

As God As My Witness

Amazon CEO Jeff Bezos has been summoned by The United States House Judiciary Committee to testify about the company’s business practices, citing a recent report by the Wall Street Journal (WSJ) that had claimed that Amazon employees had access to third-party seller data in order to create similar private-label products.

 

According to the report, over 20 former employees of Amazon’s private-label business and documents reviewed by WSJ had revealed that the tech giant had provided access to independent sellers’ sales data to its employees for developing competing private-label products. [WSJ]

 

US

 

Manufacturing activity plunges to 11-year low. 

No Respite

US manufacturing activity contracted at the sharpest rate in 11 years in April as companies pulled back following lockdowns.

 

Manufacturing index fell to 41.5% from 49.1% in March - the lowest level since April 2009. [Reuters]

 

FDA allows emergency use of anti-viral vaccine remdesivir to treat coronavirus patients.

Nod of Approval

The Food and Drug Administration (FDA) has granted emergency use authorization for Gilead’s remdesivir drug to treat coronavirus patients, President Donald Trump announced Friday.

 

FDA's decision was based on a review of top-line data from two clinical trials. In a placebo-controlled phase 3 trial conducted by the National Institute for Allergy and Infectious Diseases, 1,063 critically ill patients receiving remdesivir had an average recovery time of 11 days, compared with 15 days in the placebo group. Those receiving the drug also had a lower mortality rate, although the mortality result was not proven with statistical significance. Patients in Gilead's own Simple-1 trial showed improvement as well, but that trial was for comparing two different durations of treatment and wasn't placebo-controlled. [The Motley Fool]

FIN.

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