Indian rupee rally mostly over; yuan to recover over time

June 6, 2014

Bangalore, Jun 6: The Indian rupee will only make scant gains in the next 12 months as the economy remains weak, although optimism around a new government and a narrowing current account deficit will underpin the currency, a poll found.

Indian rupee rallyThe rupee is among the best-performing emerging currencies this year, rising 4 four percent since January.

It hit a one-year high of 58.25 against the dollar on May 22 - a week after Prime Minister Narendra Modi's landslide victory in general elections.

But analysts believe its rally is largely over.

The poll of over 30 currency strategists, conducted June 2-5, predicted one U.S. dollar will fetch 59.25 rupees by the end of June, 59.20 in three months and 60.16 in a year. It was trading around 59.10 early on Friday.

Still, those are the strongest rupee forecasts in a long while. The consensus rose above 60 per dollar in the one- and three- month horizons for the first time since August and follow strong net inflows into Indian financial markets.

Over 337 billon rupees in foreign money poured into Indian stocks and bonds last month, up from almost nothing in April. India's stock market is trading near a record high.

"Much of the rupee's gains in May (were) driven by post-election optimism via portfolio flows into both equities and Indian government bonds," wrote Derek Halpenny at BTMU, who is expecting the rupee to trade at 59 per dollar in a year.

"Modi has been sending all the right signals so far, with considerations to allow at least 49 percent of foreign investments into all sectors."

The ruling Bharatiya Janata Party, the first to win a majority in three decades, is expected to quickly pass key economic reforms and raise foreign investment caps in various sectors of the economy, including defence companies.

The first peek into the new government's policies will come around early July when Finance Minister Arun Jaitley unveils his maiden budget.

Recent data showing a sharp narrowing in the current account deficit to just 0.2 percent of gross domestic product should also prop up the rupee in the interim.

Still, weak growth will probably prevent the rupee from any significant break higher. The economy grew just 4.6 percent in the Jan-March quarter.

The U.S. Federal Reserve's current track to end its economic stimulus before year-end will also hold it back. And the Reserve Bank of India has been intervening in the market daily, buying dollars to prevent sharp rises in the currency from strong foreign inflows.

YUAN

The Chinese yuan is expected to slowly recover from a sharp slide earlier this year. That correction was believed to be engineered by the central bank to curb speculation that the currency will only go one way - up.

The yuan has been the worst performing emerging currency in Asia so far this year, losing 3 percent against the dollar, which wiped out all of its gains seen in 2013.

But it has shown some signs of stabilising in recent weeks.

The yuan is expected to trade at 6.24 per U.S. dollar by the end of June, appreciating to 6.19 in three months and further to 6.07 by May 2015. It was at 6.25 on Friday morning.

Beijing has announced a series of modest stimulus measures in recent months after the economy got off to a weak start this year. Business surveys in the last week signal activity may be starting to stabilise but a slight pick-up in parts of the economy does not mean a solid, broader recovery is under way.

Short positions on the yuan are now at their smallest level since late February, a separate Reuters poll showed on Thursday.

That poll also showed long positions on the rupee fell by around a third in the last two weeks amid persistent central bank intervention.

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News Network
March 13,2020

Bengaluru, Mar 13: In the wake of fresh cases of Covid-19 reported in Karnataka, Infosys Foundation chairperson Sudha Murty has urged the Karnataka government to take steps to shut malls and theatres, saying the coronavirus multiplies in air-conditioned areas.

In a letter to the government, she said preventive measures should be taken to control the spread of coronovirus before it gets worse.

Murty, who also leads the State government-constituted Karnataka Tourism Task Force, said she has discussed the current situation with Chairman and Executive Director of Narayana Health, Devi Prasad Shetty.

She suggested closure of all schools and colleges with immediate effect, malls, theatres and “all air-conditioned areas where the virus multiplies”, and allow only essential services like pharmacy, grocery and petrol bunks.

“It is not scientifically proven that the virus dies in high temperature,” she said pointing to spread of the virus -- despite heat -- in peak summer in Australia and Singapore, which have “summer all 12 months”.

“I request you to vacate one government hospital with at least 500 - 700 beds for this purpose (to deal with coronavirus cases), which requires oxygen lines and pipes,” she said.

“Infosys Foundation, the philanthropic and CSR arm of software major Infosys, would do the civil work and Devi Shetty has agreed to share resources like medical equipment,” she added.

“We would like to work with the government proactively so that we can prevent this as early as possible,” Sudha Murty said.

The total number of confirmed coronavirus positive cases in Karnataka is five, including the 76-year old man from Kalaburagi who died on Tuesday night.

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Agencies
January 3,2020

Giving each and every app access to personal information stored on Android smartphones such as your contacts, call history, SMS and photos may put you in trouble as bad actors can easily use these access to spy on you, send spam messages and make calls anywhere at your expense or even sign you up for a premium "service", researchers from cybersecurity firm Kaspersky have warned.

But one can restrict access to such information as Android lets you configure app permissions. 

Giving an app any of these permissions generally means that from now on it can obtain information of this type and upload it to the Cloud without asking your explicit consent for whatever it intends to do with your data.

Therefore, security researchers recommend one should think twice before granting permissions to apps, especially if they are not needed for the app to work. 

For example, most games have no need to access your contacts or camera, messengers do not really need to know your location, and some trendy filter for the camera can probably survive without your call history, Kaspersky said. 

While decision to give permission is yours, the fewer access you hand out, the more intact your data will be.

Here's what you should know to protect your data.

SMS: An app with permission to send and receive SMS, MMS, and WAP (Wireless Application Protocol) push messages, as well as view messages in the smartphone memory will be able to read all of your SMS correspondence, including messages with one-time codes for online banking and confirming transactions.

Using this permission, the app can also send spam messages in your name (and at your expense) to all your friends. Or sign you up for a premium "service." You can see and conrol which apps have these rights by going to the settings of your phone.

Calendar: With permission to view, delete, modify, and add events in the calendar, prying eyes can find out what you have done and what you are doing today and in the future. Spyware loves this permission.

Camera: Permission to access the camera is necessary for the app to take photos and record video. But apps with this permission can take a photo or record a video at any moment and without warning. Attackers armed with embarrassing images and other dirt on you can make life a misery, according to Kaspersky.

Contacts: With permission to read, change, and add contacts in your address book, and access the list of accounts registered in the smartphone, an app can send your entire address book to its server. Even legitimate services have been found to abuse this permission, never mind scammers and spammers, for whom it is a windfall.

This permission also grants access to the list of app accounts on the device, including Google, Facebook, and many other services.

Phone: Giving access to your phone means permission to view and modify call history, obtain your phone number, cellular network data, and the status of outgoing calls, add voicemail, access IP telephony services, view numbers being called with the ability to end the call or redirect it to another number and call any number.

This permission basically lets the app do anything it likes with voice communication. It can find out who you called and when or prevent you from making calls (to a particular number or in general) by constantly terminating calls. 

It can eavesdrop on your conversations or, of course, make calls anywhere at your expense, including to pay-through-the-nose numbers, Kaspersky warned.

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Agencies
February 6,2020

Washington D.C., Feb 6: An international team of astronomers has found an unusual monster galaxy that existed about 12 billion years ago when the universe was only 1.8 billion years old.

The team of astronomers was led by scientists at the University of California, Riverside.

Dubbed XMM-2599, the galaxy formed stars at a high rate and then died. Why it suddenly stopped forming stars is unclear.

"Even before the universe was 2 billion years old, XMM-2599 had already formed a mass of more than 300 billion suns, making it an ultra massive galaxy," said Benjamin Forrest, a postdoctoral researcher in the UC Riverside Department of Physics and Astronomy and the study's lead author.

"More remarkably, we show that XMM-2599 formed most of its stars in a huge frenzy when the universe was less than 1 billion years old and then became inactive by the time the universe was only 1.8 billion years old," Forrest added.

The team used spectroscopic observations from the W. M. Keck Observatory's powerful Multi-Object Spectrograph for Infrared Exploration or MOSFIRE, to make detailed measurements of XMM-2599 and precisely quantify its distance.

The study results appear in the Astrophysical Journal.

"In this epoch, very few galaxies have stopped forming stars, and none are as massive as XMM-2599," said Gillian Wilson, a professor of physics and astronomy at UCR in whose lab Forrest works.

"The mere existence of ultramassive galaxies like XMM-2599 proves quite a challenge to numerical models. Even though such massive galaxies are incredibly rare at this epoch, the models do predict them."

"The predicted galaxies, however, are expected to be actively forming stars. What makes XMM-2599 so interesting, unusual, and surprising is that it is no longer forming stars, perhaps because it stopped getting fuel or its black hole began to turn on. Our results call for changes in how models turn off star formation in early galaxies," the professor stated.

The research team found XMM-2599 formed more than 1,000 solar masses a year in stars at its peak of activity -- an extremely high rate of star formation. In contrast, the Milky Way forms about one new star a year.

"XMM-2599 may be a descendant of a population of highly star-forming dusty galaxies in the very early universe that new infrared telescopes have recently discovered," said Danilo Marchesini, an associate professor of astronomy at Tufts University and a co-author on the study.

"We have caught XMM-2599 in its inactive phase," Wilson said, who led the W. M. Keck Observatory data acquisition
Co-author Michael Cooper, a professor of astronomy at UC Irvine, said this outcome is a strong possibility.

"Perhaps during the following 11.7 billion years of cosmic history, XMM-2599 will become the central member of one of the brightest and most massive clusters of galaxies in the local universe," he said.

"Alternatively, it could continue to exist in isolation. Or we could have a scenario that lies between these two outcomes," he stated.

The study was supported by grants from the National Science Foundation and NASA.

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