need2know: Six macro triggers that market would watch today

Finance Minister Arun Jaitley will today look to break the deadlock over distribution of powers between centre and states to administer GST, an issue that is holding up launch of the new national sales tax from April.

The all-powerful GST Council, headed by Jaitley, will meet for the ninth time today with the issue of who gets to administer the Goods and Services Tax (GST) being the single biggest issue on agenda.


Here's a look at five other macro triggers that are likely to impact the market today

Tax revamp on cards? The upcoming budget may bring cheer to both individuals and corporate taxpayers as the government looks to lift sentiment in the wake of demonetisation. The measures will be aimed at reviving demand and stimulating private investment to boost overall growth. On the cards is a revamp of the income-tax framework for individuals to increase their takehome pay, thus persuading them to start buying more goods and services, and a reduction in the corporate tax rate to encourage companies to invest.

Raising FDI limit in print media to 49% under consideration: The government is considering a proposal to increase foreign direct investment (FDI) limit in print media sector to 49 per cent from 26 per cent at present. Currently, the FDI policy permits 26 per cent foreign direct investment in the publishing of newspapers and periodicals dealing with news and current affairs through government approval route. The government has started a consultation process on the matter with an aim to attract more foreign funds in the sector.

Economy not impacted much by demonetisation: The economy may have taken a few punches but hasn't been floored by demonetisation, show the first set of numbers since the November 8 announcement.



India's oil demand to beat China's: India's oil consumption is expected to rise 7-8 per cent this year, outpacing China's demand growth for the third consecutive year, as impact of demonetisation is likely to be short-lived, according to Platts. LPG and transport fuels demand will rise, while new petrochemical projects would a boon for naphtha demand.

Infra definition may be tweaked to include low-cost housing: The government may tweak the definition of the infrastructure sector in the upcoming budget to include low-cost or affordable housing, a move that would reduce costs for developers and attract investors, two people with the knowledge of the matter told ET. The change is being proposed about a month after Prime Minister Narendra Modi announced concessions on interest rates for low-cost housing loans under the Pradhan Mantri Aawas Yojana.

...and in financial markets last Friday

Rupee down: The rupee on Friday fell by 8 paise to close at 68.16 against the US currency on fresh bouts of dollar demand from banks and corporates amid capital outflows.

Bonds up: India 10-Year government papers increased 0.04% to 6.42% on Friday January 13 from 6.37 in the previous trading session.