MORNING NEWS CALL

FACTORS TO WATCH 10:00 am: Railway Minister Suresh Prabhu, Finance Secretary Ashok Lavasa, Niti Aayog CEO Amitabh Kant and other government officials at Business & Climate Summit 2017 in New Delhi. 10:30 am: Bosch annual general meeting in Bengaluru. 10:30 am: President of Swiss Confederation Doris Leuthard at CII event in New Delhi. 12:00 pm: Telecom companies to meet Minister Manoj Sinha to discuss easing call drop penalty in New Delhi. 3.30 pm: EXIM Bank Deputy Managing Director Debasish Mallick at EXIM event in Mumbai. 5:00 pm: RBI to release weekly foreign exchange data in Mumbai. LIVECHAT - QUIZ EAST The first of our Friday quizzes focuses on Asia and the week's top news. Tests your wits and googling speed, at 11:00 am IST. To join the conversation, click here INDIA TOP NEWS GDP growth hits three-year low in June quarter India's economy lost further steam in the quarter to June as growth slid to its lowest level in more than three years. Gross domestic product grew 5.7 percent in the latest quarter, its slowest pace since the January-March quarter 2014, government data showed. Modi's $87 billion river-linking gamble set to take off as floods hit India After years of foot-dragging India will begin work in around a month on an $87 billion scheme to connect some of the country's biggest rivers, government sources say, as Prime Minister Narendra Modi bets on the ambitious project to end deadly floods and droughts. Saab picks Adani as partner for India fighter jets contract -consultant Sweden's Saab will tie up with India's Adani Group to bid for a contract to make fighter aircraft in India, an aerospace consultant aware of the proposed partnership told Reuters on Thursday. Government defers BSNL stake decision as Jio rocks sector-sources India has deferred a decision on selling a stake in state-run telecoms firm Bharat Sanchar Nigam Ltd as falling profits and market share in the booming handphone sector dim the prospects of a successful sale, federal government officials said. PM plans cabinet revamp, some ministers offer to quit - sources Indian Prime Minister Narendra Modi plans to reshuffle his cabinet over the next two days and some mid-level ministers have offered to quit to pave the way for changes, sources in the party and aides to the ministers said. Old Mumbai building overdue for demolition collapses, killing 22 An 117-year-old condemned building collapsed in the Indian financial hub of Mumbai on Thursday after torrential rains this week, killing at least 22 people, with about 10 other people feared trapped, police and fire official said. Paytm Payments Bank in talks to partner full-service banks - CEO India's Paytm Payments Bank is in talks to partner with full-service banks to offer services such as loans and term deposits which it cannot do on its own due to regulatory restrictions, its chief executive told Reuters. Flipkart fashion arm says private labels post operating profit Flipkart's fashion arm posted an operating profit in its private labels business in the past two months, the chief executive of Myntra said on Thursday, boding well for its business outlook. GLOBAL TOP STORIES City loses water, thousands of Harvey survivors rescued, 38 dead A Texas city lost its drinking water supply and soldiers and police rescued thousands still stranded on Thursday as

REUTERS INDIA EDITION Friday, September 1, 2017

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MORNING NEWS CALL - INDIA EDITION September 1, 2017

storm Harvey inflicted more suffering on the Gulf coast after killing 38 people and displacing over a million. China August factory activity picks up to 6-month high as orders surge - Caixin PMI China's manufacturing activity expanded at the fastest pace in six months in August, a private survey showed, buoyed by a surge in export orders and higher prices. U.S. bombers drill over Korean peninsula after latest N.Korea launch South Korean and Japanese jets joined exercises with two supersonic U.S. B-1B bombers above and near the Korean peninsula on Thursday, two days after North Korea sharply raised tension by firing a missile over Japan.

STATE OF THE MARKETS The SGX Nifty Futures were trading at 9,944.00, trading up 0.1 percent from its previous close. Indian government bonds are likely to rise after the nation’s economy grew at the slowest pace in 13 quarters, raising prospects of further rate cuts. The yield on the benchmark 6.79 percent bond maturing in 2027 is likely to trade in a 6.49 percent-6.54 percent band, a trader with a foreign bank said. - Newsrise The Indian rupee will likely open slightly lower against the dollar, dragged down by the country’s weaker-than-expected April-June growth data. - Newsrise U.S. stocks closed higher on Thursday as investors reacted to economic data and took cautious hope from Washington's latest promises for long-awaited details of a tax reform plan. Asian equities followed Wall Street's gains overnight and edged higher while the dollar's advance slowed ahead of the U.S. jobs report due later in the session. The dollar edged down after tepid U.S. economic data casts doubts on whether the Federal Reserve will raise rates again this year, though investors were cautious ahead of the key monthly U.S. employment data later in the global session. U.S. Treasury prices gained on Thursday after consumer spending data showed continuing low inflation, and as tensions with North Korea kept up demand for the safe haven bonds. U.S. crude futures fell in early Asian trading, partly reversing sharp gains from the previous session, amid ongoing turmoil in the oil industry with nearly a quarter of U.S. refining capacity offline. Gold prices held steady near 9-1/2 month highs touched earlier this week as simmering tensions over the Korean peninsula fuelled safe haven demand.

CLOSE FII INVESTMENTS EQUITIES DEBT

PNDF spot 63.92/63.95 August 31 $12.14 mln $38.81 mln

10-yr bond yield 6.79 pct Month-to-date -$2.04 bln $1.99 bln

Year-to-date $6.94 bln $23.14 bln

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MORNING NEWS CALL - INDIA EDITION September 1, 2017

PICTURE OF THE DAY

Firefighters and rescue workers search for survivors at the site of a collapsed building in Mumbai, August 31. REUTERS/Shailesh Andrade

(Compiled by Benny Thomas in Bengaluru) For questions or comments about this report, contact: reuters.marketwatch@thomsonreuters.com For more information about our products: thomsonreuters.com/products_services Or send us a sales enquiry at: thomsonreuters.com/products_services/financial/contactus/ or call us on North America: +1 800 758 5555 You may instruct us to remove you from Morning News Call by clicking on the link - https://forms.thomsonreuters.com/MorningNewsCall/Unsubscribe/

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