MORNING NEWS CALL

FACTORS TO WATCH 9:30 am: AU Small Finance Bank Managing Director Sanjay Agarwal, NABARD Chairman HK Bhanwala to inaugurate bank's corporate office in Mumbai. 11:45 am: Steel Minister Chaudhary Birender Singh at an event in Kolkata. 6:30 pm: Top industry officials at digital event organized by Cellular Operators Association of India in New Delhi. LIVECHAT - MARKETS FOCUS Patrick L. Young, Executive Director, DV Advisors joins us at 12:00 pm IST in the aftermath of the UK general elections to talk about the path forward for Brexit and Europe, his outlook on the markets and of course bitcoin. To join the conversation, click here INDIA TOP NEWS Cattle slaughter crackdown ripples through India's leather industry In the backstreets of Agra's Muslim quarter, where shoes have been made for centuries, small-scale manufacturers are firing workers and families cutting back on spending as a government crackdown on cattle slaughter ripples through the community. India's engineering exports to Doha hit by Qatar crisis India's exports of engineering goods to Doha have suffered after Arab powers led by Saudi Arabia severed ties with Qatar accusing it of supporting terrorism, the Engineering Export Promotion Council said in a statement on Wednesday. Saudi Aramco seeks exclusive talks over India oil refinery stake - India minister Oil giant Saudi Aramco wants to enter into exclusive talks with India to buy a stake in the planned 1.2 million barrels per day (bpd) refinery on the South Asian nation's west coast, India's oil minister said on Wednesday. India's wholesale prices rise 2.17 percent in May India's wholesale prices rose 2.17 percent year-on-year in May, government data showed on Wednesday. India antitrust watchdog imposes $13.6 million fine on Hyundai Motor's local unit India's antitrust watchdog on Wednesday imposed a fine of 870 million rupees ($13.6 million) on South Korean automaker Hyundai Motor Co's local unit, accusing the company of anti-competitive behaviour. ONGC keen to buy govt stake in refiner HPCL India's top explorer Oil and Natural Gas Corp (ONGC) is keen to acquire the government's stake in oil refiner Hindustan Petroleum Corp (HPCL), the country's oil minister said on Wednesday. Landslide, floods kill 156 in Bangladesh, India; toll could rise Heavy rains have triggered a series of landslides and floods in Bangladesh and neighbouring northeast India, killing at least 156 people over two days, and officials warned on Wednesday the toll could rise. GLOBAL TOP STORIES Fed raises rates, unveils balance sheet cuts in sign of confidence The Federal Reserve raised interest rates on Wednesday for the second time in three months and said it would begin cutting its holdings of bonds and other securities this year, signaling its confidence in a growing U.S. economy and strengthening job market. U.S. lawmaker Scalise in critical condition after attack by gunman at baseball field Congressman Steve Scalise, the No. 3 Republican in the U.S. House of Representatives, was in critical condition on Wednesday night after he and three others were shot as they practiced for a charity baseball game.

REUTERS INDIA EDITION Thursday, June 15, 2017

2

MORNING NEWS CALL - INDIA EDITION June 15, 2017

Trump under investigation for possible obstruction of justice -Washington Post U.S. President Donald Trump is being investigated by special counsel Robert Mueller for possible obstruction of justice, the Washington Post reported on Wednesday, citing unidentified officials. STATE OF THE MARKETS The SGX Nifty Futures were trading at 9,605.00, down 0.4 percent from its previous close. The Indian rupee will likely open little changed against the dollar, as media reports that the U.S. president is being investigated for likely obstruction of justice, and a weaker-than-expected inflation data offset greenback strength triggered by a widely expected rate increase by the Federal Reserve. -NewsRise Indian government bonds will likely edge higher in early trade tracking a sharp fall in U.S. Treasury yields, as slower-than-expected price gains in the world’s largest economy raised doubts about future rate increases by the Federal Reserve, after a widely-expected tightening yesterday. The yield on the benchmark 6.79 percent bond maturing in 2027 is likely to trade in a 6.44 percent-6.50 percent band today. -NewsRise A slide in technology stocks pulled down the Nasdaq Composite on Wednesday and the S&P 500 ended slightly lower, as investors worried about the pace of economic growth after weaker-than-expected inflation numbers and an interest rate hike from the Federal Reserve. U.S. stock futures and Asian shares slid, hit by soft U.S. economic data, a relatively hawkish Fed and a media report that U.S. President Donald Trump is being investigated by a special counsel for possible obstruction of justice. The dollar nursed losses as weak U.S. inflation data left investors wondering if the Federal Reserve would follow up its latest rate hike with another later this year. Long-dated U.S. Treasury yields tumbled to their lowest since early November on Wednesday after surprisingly weak data on inflation and retail sales overshadowed an interest rate hike by the Federal Reserve. Oil prices wallowed near their lowest levels in seven months, hurt by high global inventories and doubts over OPEC's ability to implement production cuts. Gold edged up from a near three-week low hit in the previous session, as Asian stocks fell on a report that U.S. President Donald Trump is being investigated for possible obstruction of justice.

CLOSE FII INVESTMENTS EQUITIES DEBT

PNDF spot 64.16/64.19 June 14 -- $73.25 mln

10-yr bond yield 6.81 Month-to-date $529.58 mln $3.23 bln

Year-to-date $8.51 bln $16.67 bln

3

MORNING NEWS CALL - INDIA EDITION June 15, 2017

PICTURE OF THE DAY

Men arrange Iftar (breaking fast) meals inside a mosque during the holy fasting month of Ramadan, in Ahmedabad, June 14. REUTERS/Amit Dave

(Compiled by Pathikrit Bandyopadhyay 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/

© 2017 Thomson Reuters. All rights reserved. This content is the intellectual property of Thomson Reuters and its affiliates. Any copying, distribution or redistribution of this content is expressly prohibited without the prior written consent of Thomson Reuters. Thomson Reuters shall not be liable for any errors or delays in content, or for any actions taken in reliance thereon. Thom-son Reuters and its logo are registered trademarks or trademarks of the Thom-son Reuters group of companies around the world. Privacy Statement: To find out more about how we may collect, use and share your personal information please read our privacy statement: http://thomsonreuters.com/site/financial-risk-privacy-statement/ You can manage your Thomson Reuters Financial and Risk communication preferences via the link - https://pc2.mypreferences.com/ThomsonReutersFR/