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How India’s Fiscal & Monetary Settings Are Shaping Investment Flows

Markets on Edge: Global Tensions and Domestic Triggers

Markets on Edge: Global Tensions and Domestic Triggers

From Middle East conflict to IPOs and foreign flows, multiple factors are set to steer the Indian stock market this week.

Rising Geopolitical Uncertainty: Israel-Iran Conflict in Focus

Recent military developments in the Middle East, including reported airstrikes and countermeasures, have raised alarms across global markets.

Brent crude hovering near the \$80 per barrel mark is particularly worrisome for an energy-import-dependent economy like India.

Higher oil prices could impact inflation, widen the current account deficit, and put additional pressure on the Indian rupee, which is already approaching the 87 mark against the U.S. dollar. Investors are likely to adopt a risk-averse stance, with volatility expected across mid- and small-cap segments.

Foreign and Domestic Investment Flows

Foreign Institutional Investors (FIIs) have recently displayed a mixed trend, oscillating between net buyers and sellers depending on global cues and domestic market sentiment. The ongoing geopolitical stress may push FIIs to adopt a cautious approach, potentially withdrawing or pausing inflows in the short term.

At the same time, Domestic Institutional Investors (DIIs) have been providing a counterbalance by maintaining a steady flow of capital into Indian equities. Their participation may continue to support market stability, especially in large-cap and defensive sectors like FMCG, IT, and pharmaceuticals.

IPO Activity Gathers Momentum

On the domestic front, primary markets are heating up. Several companies are either opening their IPOs or listing on the exchanges this week, attracting significant investor attention.

Other ongoing or upcoming IPOs in sectors like infrastructure, renewables, and manufacturing may also impact liquidity, especially as retail and institutional investors realign portfolios to participate in these public offerings.

Economic Indicators and Global Cues

Domestically, key figures such as the fiscal deficit, foreign exchange reserves, and GST collection data are due in the coming days. Any surprises in these metrics could spark sharp sector-specific movements.

Sectoral View: Defensive and Export-Driven Stocks May Gain

With the current level of uncertainty, defensive sectors are expected to outperform. FMCG and IT stocks—typically seen as safer bets—could attract capital due to their stable earnings outlook and relatively lower exposure to inflationary pressures.

However, companies heavily reliant on imported raw materials could face margin pressures due to rising input costs.

Technical Outlook and Market Sentiment

On the technical side, the Nifty 50 faces resistance near the 23,500–23,600 level, while support remains around 22,900. A decisive breach in either direction could define near-term momentum.

Market sentiment remains sensitive to headline risk. Analysts expect increased volatility through the week, with traders likely to adopt a cautious, stock-specific approach rather than broad index bets.

Conclusion: Brace for Volatility Amid Mixed Signals

The Indian stock market is likely to experience heightened volatility in the coming week, driven by a complex mix of global tensions, IPO activity, foreign fund flows, and macroeconomic data. Investors are advised to remain cautious, focus on fundamentally sound stocks, and maintain diversified portfolios.

Traders, in particular, should be prepared for swift market reactions to news related to oil prices, geopolitical developments, and upcoming domestic economic indicators.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Bitcoin Dips Below $77K, Ether Drops 6%!

Bitcoin Dips Below $77K, Ether Drops 6%!

Bitcoin Dips Below $77K, Ether Drops 6%!

Bitcoin Dips Below $77K, Ether Drops 6%!

Broader Risk-Off Sentiment Sparks Crypto Selloff as Investors Brace for Economic Uncertainty and U.S. Rate Jitters

Summary:
Bitcoin fell below the $77,000 threshold on Tuesday, extending its recent losses as global stock markets sold off sharply. Ether followed suit with a 6% decline, reflecting broader risk aversion among investors. Experts cite upcoming macroeconomic data, U.S. rate outlook, and overbought technicals as key reasons for the correction. However, strong buying support is expected around $73,000–$70,000 for Bitcoin, suggesting a possible short-term floor for the leading cryptocurrency.

Crypto Markets Crumble as Equities Weaken
In a sharp turn of sentiment, the cryptocurrency market slipped into the red early Tuesday, led by declines in Bitcoin and Ether. At 10:22 a.m. in Singapore, Bitcoin was trading at $79,477, having briefly breached the $77,000 mark. Ether, the second-largest cryptocurrency, fell by 6%, sparking wider worries across the digital asset market.
This decline comes amid a global selloff in risk assets, with equity markets from Asia to Europe facing pressure from a hawkish U.S. Federal Reserve, fragile economic data, and rising geopolitical risks. The correlation between crypto and traditional financial markets appears to be strengthening, particularly during periods of volatility.

Investor Caution Rises Ahead of U.S. Economic Data
Investors are becoming more cautious as the market prepares for important U.S. economic reports coming later this week, such as jobless claims, consumer spending figures, and an inflation report that many observers are paying close attention to. These data points are expected to offer more clarity on the Federal Reserve’s stance regarding interest rate cuts in 2025.
The uncertain rate outlook has put pressure on speculative assets like crypto. Higher yields make traditional assets more attractive, diminishing the appeal of non-yielding, volatile instruments like Bitcoin.
Hayden Hughes, head of crypto investments at family office Evergreen Growth, highlighted this sentiment by stating, “There will be strong buying at the $73,000 and $70,000 levels.” He believes those levels represent technical support zones that could trigger renewed accumulation.

Risk-Off Sentiment Intensifies as Bulls Retreat
The recent downtrend has caught several bullish traders off guard. Bitcoin had rallied strongly in early 2025, briefly touching all-time highs near $84,000, driven by strong ETF inflows, halving anticipation, and increasing institutional interest. However, the recent correction suggests the bull run may be cooling off, at least in the short term.
Technical analysts point out that Bitcoin’s Relative Strength Index (RSI) has reached overbought territory, suggesting that a pullback may be on the horizon. Given the broader economic challenges, the selloff seems to represent more of a consolidation phase rather than a trend reversal.

Ether Slides Sharply: Regulatory Uncertainty Lingers
While Bitcoin’s decline was relatively measured, Ether’s 6% drop reflects deeper concerns. The Ethereum ecosystem continues to face regulatory scrutiny, particularly in the U.S., where the Securities and Exchange Commission (SEC) has yet to offer clear guidelines on Ethereum’s status.
Additionally, the slow uptake of Ethereum Layer-2 scaling solutions and delays in expected upgrades have dulled enthusiasm around Ether. Institutional interest remains primarily focused on Bitcoin, further widening the divergence between the two leading digital assets.

Altcoins, DeFi, and NFTs Follow Suit
The overall cryptocurrency market reflected the losses experienced by the leading coins. Key altcoins like Solana (SOL), Avalanche (AVAX), and Polkadot (DOT) all dropped 4–8%, while primary DeFi tokens, including Aave, Compound, and Uniswap, also saw red. The NFT sector continues to face liquidity issues and declining floor prices, further evidence of declining speculative interest.
The total market capitalization of cryptocurrency has dropped below $2.9 trillion, declining by almost $100 billion in just 24 hours, as reported by CoinMarketCap. Trading volumes surged, indicating panic selling or aggressive rebalancing by traders and institutions alike.

What’s Next? A Recovery or Prolonged Consolidation?
Despite short-term weakness, most analysts remain optimistic about crypto’s long-term growth trajectory. Factors like Bitcoin ETF inflows, rising global inflation hedging, and blockchain innovation are expected to drive medium- to long-term adoption.
Short-term price action will largely depend on how markets digest macroeconomic data and Fed commentary over the coming weeks. If the Fed signals a pause or potential cuts by year-end, crypto could rebound strongly.
On the other hand, continued rate-tightening rhetoric or weak economic data could push Bitcoin closer to the $70,000 support area—possibly testing market conviction before another leg higher.

Expert Insights: Is This a Buying Opportunity?
While fear has returned to the market, some seasoned investors view the correction as a healthy pullback. According to Hughes, “This isn’t the end of the bull run—it’s a breather. Smart money will start accumulating at key technical levels.”
Long-term holders, also known as “HODLers,” continue to maintain their positions, with on-chain data showing minimal movement of older wallets, suggesting conviction remains strong among core believers.

Key Takeaways:
Bitcoin fell below $77K amid global stock market turmoil.
Ether dropped 6%, reflecting broader weakness across altcoins.
Investors await U.S. economic data that could influence rate policy.
Analysts anticipate that there will be buying interest in Bitcoin within the range of $70,000 to $73,000.
Market fluctuations might persist until there is greater clarity in the macroeconomic landscape.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Raymond Realty Sets Bold Growth Trajectory: Six Project Launches and Higher Targets for FY26

GST Relief Powers Tractor Stocks: Escorts Kubota and VST Tillers Soar Up to 14%

Tel Aviv Stock Exchange Soars as U.S. Enters Israel-Iran Conflict

Tel Aviv Stock Exchange Soars as U.S. Enters Israel-Iran Conflict

Despite missile barrages and rising geopolitical risks, Israeli equities rally to record highs, while Gulf markets show mixed reactions as the U.S. targets Iran’s nuclear sites.

Introduction
The Tel Aviv Stock Exchange (TASE) has soared to record levels after the U.S. military launched direct strikes on critical Iranian nuclear sites, intensifying its involvement in Israel’s ongoing conflict with Iran.
While Israeli equities display remarkable resilience, Gulf markets—particularly in Kuwait and Oman—have experienced volatility, reflecting investor concerns about regional escalation. This article explores the latest developments, market reactions, and what lies ahead for the region’s financial landscape.

U.S. Strikes on Iran: A New Phase in Regional Tensions
Early Sunday, the U.S. military, under President Donald Trump, launched coordinated airstrikes on three major Iranian nuclear sites: Fordo, Isfahan, and Natanz. This intervention marks a dramatic escalation in the Israel-Iran conflict, which had already entered its second week of hostilities. The U.S. used advanced B-2 stealth bombers equipped with bunker-buster munitions, targeting Iran’s most fortified nuclear infrastructure.
President Trump, in a nationally televised address, declared the destruction of Iran’s nuclear facilities and warned of further action should Iran retaliate. Iranian officials, however, asserted that their nuclear ambitions remain undeterred and promised a robust response, heightening fears of a broader regional confrontation.

Tel Aviv Stock Exchange: Defying Expectations Amid Crisis
Contrary to conventional wisdom, Israeli equities have not only weathered the storm but have flourished. On Sunday, the TASE 125 index surged 1.5%, while the TA-35 index climbed 1.6% at the opening bell, with both benchmarks hitting record highs.
Over the preceding week, the TA-35 gained 5%, and the TA-90 soared by 7.6%, with the shekel stabilizing against the dollar after initial volatility.
This bullish trend persisted even as Iran launched missile attacks on Israeli cities, including direct hits near Tel Aviv and damage to civilian infrastructure. Despite these threats, the TASE closed at 6,161.00 ILA, representing a 1.67% increase in a single session and a cumulative 14% gain since the conflict’s onset.

Why Are Israeli Stocks Rallying?
Several factors underpin this unexpected market resilience:
• Investor Confidence: Market participants appear to believe in the robustness of Israel’s economy and its ability to withstand external shocks.
• Perceived Resolution: Some traders interpret the U.S. intervention as a potential catalyst for a quicker end to hostilities, reducing long-term uncertainty.
• Economic Policy Signals: Israeli officials have begun easing domestic restrictions, signaling a return to normalcy and bolstering investor sentiment.
• Sector Leadership: Financial stocks, particularly banks, have led the rally, reflecting confidence in the stability of Israel’s financial sector.

Gulf Markets: Volatility and Divergence
While Israeli equities rallied, Gulf markets responded with initial caution. On Sunday, the majority of Gulf markets opened lower as investors assessed the fallout from U.S. airstrikes on Iran.
However, some markets managed to recover:
• Kuwait: The Boursa Kuwait Premier Market Index recovered from initial declines, signaling a measure of investor confidence amid prevailing regional uncertainties.
• Oman: The MSX30 Index in Muscat fell by 0.3–0.6%, signaling continued concern over the conflict’s potential economic impact.
• Qatar and Saudi Arabia: Qatar’s main index rose over 1% after an initial dip, while Saudi Arabia’s Tadawul All Share Index posted modest gains, buoyed by strong performances from major banks.

Oil and Energy Markets
Amid the turmoil, oil prices have surged, with Brent crude jumping as much as 7% in recent sessions. The threat of supply disruptions—especially if Iran were to block the Strait of Hormuz, a vital global shipping lane—has added to market jitters. Qatar, which jointly operates the vast South Pars gas field with Iran, has initiated emergency discussions with major energy firms to evaluate possible ramifications.

The Broader Economic and Political Context
The escalating conflict has further deepened uncertainty in a region already grappling with heightened geopolitical instability.
The U.S. move is widely viewed as a “game changer,” not only for the fate of Iran’s nuclear program but also for the regional economic outlook. While Israeli markets display resilience, global investors remain wary, with many bracing for possible volatility in global equities and a flight to safe-haven assets if the conflict widens.
Iran’s vow to retaliate and the lack of clarity over the U.S.’s next steps mean that markets could face further turbulence. The situation is fluid, and much depends on whether the conflict spreads or remains contained.

Conclusion
The remarkable surge in the Tel Aviv Stock Exchange amid active conflict and missile attacks underscores both the resilience of Israel’s economy and the complex calculus of regional investors. While Israeli equities have soared to record highs, Gulf markets have experienced mixed fortunes, reflecting both immediate concerns and longer-term hopes for stability. The U.S. intervention has undoubtedly shifted the dynamics, but with Iran promising retaliation and the potential for further escalation, the region’s markets remain on edge.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Icon Facilitators IPO Launches June 24 with Price Band of ₹85–91

BEML Secures $6.23M Export Orders from Russia, Uzbekistan!

India Suspends Tea Exports to Iran: Market Crisis Looms

India Suspends Tea Exports to Iran: Market Crisis Looms

India has halted tea exports to Iran in light of escalating tensions between Iran and Israel. This move could threaten the premium orthodox tea trade and access to West Asian markets through the Strait of Hormuz.

Summary:
Due to the escalating conflict between Iran and Israel, India has put a temporary hold on its tea exports to Tehran. The halt, prompted by diplomatic caution and disrupted communication channels, directly affects the shipment of premium orthodox tea valued at ₹100–150 crore. Concerns are mounting over trade routes through the Strait of Hormuz, threatening broader West Asian market access and raising fears of prolonged economic implications for India’s tea industry.

India’s Tea Trade Stalls Amid Israel-Iran Conflict: Strategic and Economic Ramifications
As tensions escalate between Iran and Israel, ripple effects are being felt far beyond the Middle East, with India suspending its tea exports to Iran—a major buyer of premium Indian orthodox tea. The decision, although unofficially termed “temporary,” is deeply rooted in the growing security concerns and communication breakdown triggered by the ongoing conflict.
According to trade sources and industry officials, tea shipments valued between ₹100–150 crore annually—primarily comprising high-quality orthodox tea from Assam and Darjeeling—have now come to a halt. This marks a significant blow to India’s tea exporters, especially at a time when the industry is already grappling with global inflation, shipping disruptions, and rising input costs.

Why Did India Halt Tea Exports to Iran?
The tea export halt comes amidst a diplomatic deadlock and geopolitical volatility stemming from the active Iran-Israel conflict, which has intensified military actions, cyber warfare, and threats to regional shipping routes.
Several Indian tea exporters have reported:
Breakdown in banking and payment communication with Iranian counterparts.
Concerns over logistical risks in West Asia, especially due to threats around the Strait of Hormuz, a vital trade artery for India’s exports.
A general de-risking approach advised by export associations and government advisories amid rising tensions.
A Kolkata-based tea exporter stated, “We’ve had to stop processing orders for Iran because there’s no clarity on payments, and the insurance cost for shipments has spiked. Even letters of credit are now being reviewed more stringently.”

Impact on the Indian Tea Industry
India exports nearly $800–900 million worth of tea annually, with Iran ranking among the top five buyers—particularly for orthodox teas, which fetch higher margins compared to standard CTC (crush-tear-curl) teas.
Key implications of the suspension include:
Revenue Loss: An immediate impact on shipments valued at ₹100–150 crore, mostly for orthodox tea, which is costlier to produce and has fewer buyers globally.
Inventory Pile-Up: Exporters and tea gardens in Assam and Darjeeling fear accumulation of unsold stock, leading to cash flow bottlenecks.
Price Pressure: Domestic tea prices may fall due to oversupply in the absence of Iran-bound exports, hurting tea growers and small producers.
Market Uncertainty: With Russia and the UAE already facing sanctions-related trade scrutiny, Iran’s exit, even temporarily, squeezes options for Indian exporters.
Tea Board officials have expressed concern over these developments and are closely monitoring the situation. While some exporters are exploring alternative markets in Central Asia and Eastern Europe, such transitions take time and do not guarantee the exact pricing or volume.

Strait of Hormuz: A Strategic Choke Point
A significant concern is the Strait of Hormuz, which serves as a passage for about 20% of the world’s oil and a large amount of cargo, including exports from India. Any military escalation that impairs navigation through this strait could:
Disrupt West Asian trade routes
Increase shipping insurance premiums
This leads to delays or cancellations in high-value cargo deliveries
If the conflict expands further, India’s entire export strategy for the West Asia-North Africa (WANA) region may need revision, with wide-ranging effects on agro-products, textiles, and pharmaceuticals in addition to tea.

Industry Reaction & Government Engagement
The Tea Exporters Association of India (TEAI) and other trade bodies are urging the Indian government to intervene diplomatically and help set up alternative payment mechanisms or consider re-routing shipments through neutral ports.
A senior member of the Indian Tea Association (ITA) said, “The government should assess possibilities of barter trade or localized payment arrangements like rupee-rial trade, as used earlier, to mitigate the crisis. Iran remains a vital market for orthodox tea.”
Meanwhile, small tea growers in North Bengal and Assam have started protesting delayed payments from private buyers and auction houses, citing the Iran disruption as one of the root causes.

Geopolitical Tensions and Economic Fallout
India has so far maintained a neutral stance in the Israel-Iran conflict, calling for de-escalation and peaceful resolution through dialogue. However, economic interests like energy security and trade stability are deeply intertwined with regional peace.
Experts argue that:
The instability of the Middle East could impact India’s oil import bill and foreign exchange reserves.
Strategic sectors like tea, spices, and agro-exports could suffer due to shipping insurance surges and war risk premiums.
If the conflict persists or escalates, there may be long-term trade realignments, affecting India’s traditional trade partners and pushing it to diversify export geographies.

Looking Ahead: Contingency and Adaptation
With no immediate resolution in sight, Indian tea exporters are now being advised to:
Pause new orders to Iran until clarity on trade channels is restored.
Diversify into Africa, Central Asia, and Southeast Asia to reduce dependency on West Asia.
Enhance domestic marketing of orthodox tea to absorb excess stock.
Government agencies may also step in with export subsidies or support schemes to assist affected stakeholders in the tea supply chain.

Conclusion
The sudden halt in India’s tea exports to Iran, prompted by the ongoing Israel-Iran conflict, underscores how deeply global geopolitical tensions can impact localized industries and small businesses. As diplomacy races against time and military escalations, India’s tea sector stands at a critical crossroads—one that will test its resilience, adaptability, and strategic foresight in global trade.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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BEL Bags Fresh Defence Orders Worth ₹585 Crore, Expands Strategic Focus

Forex Reserves Hit $698.95 Billion: Key Factors Behind India’s Surge

Forex Reserves Hit $698.95 Billion: Key Factors Behind India’s Surge

Forex Reserves Hit $698.95 Billion: Key Factors Behind India’s Surge

A robust rise in foreign currency assets and gold holdings pushes India’s reserves near record highs, signaling strength and resilience in the external sector.

Introduction
As of June 13, 2025, India’s foreign exchange holdings grew by $2.29 billion to stand at $698.95 billion. This marks the second consecutive weekly gain and brings reserves close to their all-time high. The surge is driven by strong foreign currency assets, higher gold reserves, and continued global investor confidence, reinforcing India’s ability to weather external shocks and maintain economic stability.

The Latest Numbers: Breaking Down the Surge
During the week ending June 13, 2025, the Reserve Bank of India (RBI) recorded a $2.29 billion rise in foreign exchange reserves, building on a stronger $5.17 billion surge reported the week before. This brings the total reserves to $698.95 billion, just shy of the record $704.885 billion set in September 2024.
Key Components of the Reserve Growth
• Foreign Currency Assets:
The largest portion of India’s reserves, these assets rose by $1.739 billion to $589.426 billion. The value reflects not only dollar holdings but also assets denominated in euros, yen, and pounds, whose appreciation contributed to the overall increase.
• Gold Reserves:
India’s gold holdings added $428 million, now totaling $86.316 billion. Gold continues to serve as a strategic buffer, especially in times of global uncertainty.
• Special Drawing Rights (SDRs):
SDRs, an international reserve asset created by the IMF, rose by $85 million to $18.756 billion.
• IMF Reserve Position:
India’s position with the IMF increased by $43 million, now at $4.452 billion, reflecting enhanced financial standing in the international community.

Why Are Forex Reserves Rising?
Strong Foreign Inflows
The sustained increase is largely attributed to continued foreign investment inflows, both in equity and debt markets. India’s robust economic growth, stable macroeconomic indicators, and improving corporate balance sheets have made it an attractive destination for global investors.
Stable External Environment
Despite ongoing global uncertainties, India’s external sector has shown remarkable stability. The RBI’s prudent management of the rupee and timely interventions in the forex market have helped prevent excessive volatility, supporting the steady build-up of reserves.
Gold’s Strategic Role
Rising gold reserves underscore India’s commitment to diversifying its reserve portfolio. Gold acts as a hedge against currency fluctuations and global economic shocks, providing additional security to the country’s financial system.

Economic Implications
Import Cover and Debt Security
With reserves now sufficient to cover more than 11 months of imports and about 96% of outstanding external debt, India’s position as a resilient economy is reinforced. This buffer is crucial for managing trade imbalances and shielding the economy from sudden capital outflows or external shocks.
Confidence in the Rupee
A strong reserve buffer provides the RBI with enhanced ability to manage currency market fluctuations, aiding in rupee stabilization during turbulent periods. This contributes to bolstering investor trust and ensuring stability in financial markets.
Support for Policy Initiatives
High reserves provide the government and central bank with the headroom needed to pursue growth-oriented policies without the immediate fear of external financing pressures. This is particularly important as India continues to invest in infrastructure, technology, and social welfare programs.

Nearing Record Highs: What’s Next?
India’s foreign exchange reserves have risen by almost $7.5 billion over the past two weeks, bringing them within reach of their record peak. Analysts expect that, barring unforeseen global disruptions, reserves could soon surpass the previous record, further strengthening India’s economic foundation.

RBI’s Perspective
RBI Governor Sanjay Malhotra recently highlighted the resilience of India’s external sector, noting that key vulnerability indicators have improved steadily. He expressed confidence in the country’s ability to meet all external financing requirements, emphasizing that the current reserve build-up is a testament to the strength of India’s fundamentals4.

Conclusion
India’s rising forex reserves are more than just a statistical achievement—they are a reflection of the country’s economic resilience, prudent policymaking, and growing global stature. As reserves approach record levels, India is better equipped than ever to navigate global uncertainties, support the rupee, and maintain investor confidence. The outlook remains positive, with the nation well-positioned to sustain its growth momentum and safeguard its economic interests.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Silver Finally Confirms Platinum’s Take: 2025’s Precious Metals Rally Enters New Phase

Government Mulls Relaxing FDI Rules for E-Commerce Exports — Who Wins, and by how much?

India Rises to 15th in Global FDI Rankings!

India Rises to 15th in Global FDI Rankings!

India Rises to 15th in Global FDI Rankings!

UNCTAD Report Highlights India’s Resilience as FDI Magnet, Bolstered by Greenfield Projects and Policy Initiatives

Summary:
India has improved its global standing by moving up one rank to the 15th position among top foreign direct investment (FDI) destinations in 2024, according to the latest World Investment Report by UNCTAD. While overall FDI inflows slightly declined to $27.6 billion from $28.1 billion in 2023, the country witnessed a strong surge in greenfield project announcements, underscoring its long-term attractiveness for investors despite global economic uncertainty.

India Moves Up to 15th Rank in Global FDI List Despite Decline in Inflows: UNCTAD
India has demonstrated its resilience and investment appeal by climbing one notch to 15th place among the world’s top Foreign Direct Investment (FDI) destinations in 2024, even as its total FDI inflows slightly dropped, the latest World Investment Report 2024 by the United Nations Conference on Trade and Development (UNCTAD) has revealed.

FDI Inflows: A Marginal Decline, But Big Picture Positive
The report indicates that India received $27.6 billion in Foreign Direct Investment (FDI) in 2024, a slight decrease from $28.1 billion in 2023, representing a decline of approximately 1.8%. This drop, however, must be viewed in the context of global headwinds: overall global FDI flows fell by 2% to $1.3 trillion in 2024, following a sharper 12% drop in 2023, reflecting economic uncertainty, geopolitical tensions, tighter monetary policies, and declining corporate profits worldwide.
Despite this modest dip, India’s performance stands out positively when compared with other developing economies. The report highlighted that the number of announced greenfield projects — which is a strong indicator of long-term investor confidence — in India, the number of greenfield project announcements increased by more than 20%, positioning the country as third in the world.

Greenfield Surge: The Underlying Strength
UNCTAD’s report underscores that India’s strength lies not just in short-term inflows but in long-term investment commitments. The country has recorded a remarkable increase in greenfield project announcements, especially in the renewable energy, electronics, automotive, and digital infrastructure sectors.
Sectors such as electric vehicles (EVs), semiconductor manufacturing, solar and wind energy, and data centres have witnessed robust investor interest. Companies like Foxconn, Micron Technology, and Tesla’s suppliers have either committed or shown interest in establishing new facilities in India, encouraged by government incentives and schemes such as PLI (Production Linked Incentive) and ‘Make in India’.
The greenfield momentum also reflects India’s demographic advantage, rapid digital transformation, policy consistency, and a growing consumer market that continues to attract global corporations despite short-term macroeconomic challenges.

FDI Inflows by Region: Asia Remains Dominant
Asia maintained its position as the top global recipient of foreign direct investment (FDI), securing $621 billion in 2024. India remains a bright spot within South Asia, accounting for over 80% of the region’s FDI, as per UNCTAD estimates. In contrast, FDI inflows to China fell significantly due to geopolitical factors and a subdued property market, whereas Southeast Asia saw moderate inflows supported by regional trade agreements and supply chain diversification.
The United States continued to be the leading destination for foreign direct investment, with China, Singapore, and Brazil following behind. Notably, countries like Vietnam, Indonesia, and the UAE also saw improvements in FDI rankings due to aggressive trade policies and infrastructure enhancements.

Government Response and Reform Agenda
India’s Ministry of Commerce and Industry welcomed the findings, stating that the improved rank in the UNCTAD index is reflective of the continued trust global investors place in India’s policy regime and long-term potential.
In the last year, the Indian government has implemented a number of significant reforms, including:
Simplifying FDI norms across key sectors like telecom, defence, and retail
Creating a National Single Window System to streamline investment approvals
Expanding PLI schemes to cover additional sectors
Fast-tracking land and labour reforms at the state level to make the business environment more investor-friendly
These proactive initiatives are aimed at not just attracting FDI but ensuring that it leads to job creation, technology transfer, and regional development.

Challenges Still Loom
Despite the positives, experts caution that India must tackle specific persistent challenges to sustain this momentum. These include:
Regulatory complexities and policy unpredictability at the state level
Infrastructure bottlenecks in tier-II and tier-III cities
Delays in contract enforcement and land acquisition
Rising concerns over data privacy and cybersecurity in the digital economy
Moreover, global factors such as rising interest rates in developed markets and political instability in key partner nations may continue to impact short-term capital flows.

Outlook: Cautious Optimism Prevails
Analysts believe that India’s position as an emerging global FDI hub is only strengthening, particularly as global companies diversify supply chains and seek alternatives to China. The convergence of favourable demographics, proactive policy interventions, and improving infrastructure gives India a strong foundation to capitalize on global investment flows in the coming decade.
The slight fall in actual inflows is thus not a sign of weakness but rather a temporary blip in a broader upward trajectory.

Conclusion
India’s rise to the 15th position in global FDI rankings amid a worldwide slowdown in investment flows is a testament to its underlying economic resilience and improving ease of doing business. While inflows declined marginally, the surge in greenfield project announcements indicates strong investor confidence in India’s long-term growth story. With continued reforms, infrastructure upgrades, and policy stability, India is poised to attract even greater FDI in the years to come.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Woodside and Petronas Secure Long-Term LNG Pact Backed by U.S. Project

China’s Renewed Spark: How Rising Demand Is Reviving Natural Diamond Exports

China’s Renewed Spark: How Rising Demand Is Reviving Natural Diamond Exports

China’s Renewed Spark: How Rising Demand Is Reviving Natural Diamond Exports

After years of decline, new retail strategies and shifting consumer sentiment in China are fueling hopes for a rebound in the global diamond trade.

Introduction: From Gloom to Glimmer
The global diamond industry has weathered a challenging period, marked by pandemic disruptions, shifting consumer preferences, and economic headwinds. Nowhere has this been felt more acutely than in India, the world’s leading exporter of cut and polished diamonds, where exports to China have halved over the past three years. Nevertheless, 2025 appears to be emerging as a pivotal year. A confluence of new retail tactics and changing consumer sentiment in China is breathing new life into the diamond trade, suggesting a long-awaited revival may be underway.

The Downturn: What Went Wrong?
Between 2021 and 2024, India’s diamond exports to China saw a sharp decline, dropping from more than $6.5 billion to merely $3.3 billion. Several factors contributed to this decline:
• Changing Preferences: Chinese consumers increasingly favored gold over diamonds, drawn by gold’s perceived value and security during uncertain times.
• Economic Slowdown: The Chinese economy’s post-pandemic recovery was slower than anticipated, dampening discretionary spending on luxury goods.
• Health Concerns: The emergence of new viruses, such as HMPV, added fresh uncertainty, further curbing consumer confidence and retail activity.
This combination led to a surplus of unsold inventory, falling prices, and a cautious outlook among exporters and traders.

Signs of Recovery: What’s Changing in 2025?
1. Innovative Retail Strategies
The most significant catalyst for renewed demand is the introduction of diamond buyback schemes by major Chinese jewelry retailers, including Chow Tai Fook and Chow Sang Sang. These programs allow customers to return their diamond purchases for a guaranteed value, reducing perceived risk and making diamonds a more attractive investment. The response has been swift: retailers report a surge in inquiries and foot traffic, especially among younger buyers.
2. Shift in Consumer Sentiment
After years of prioritizing gold, Chinese shoppers are showing renewed curiosity about diamonds—particularly smaller stones and accent pieces set in gold jewelry. This trend was evident at recent Hong Kong trade shows, where demand for smaller diamonds stabilized and even began to rise. Industry analysts point out that diamonds are once again capturing attention as symbols of prestige and romance, particularly among urban millennials and Gen Z buyers.
3. Stabilizing Prices and Inventory
The glut of unsold diamonds that plagued the market in recent years is easing. Prices have begun to stabilize, and inventory levels are returning to healthier norms. This has boosted confidence among traders and exporters, who are cautiously optimistic about sustained recovery.

India’s Diamond Industry: Ready for a Comeback
India, which polishes and exports more than 90% of the world’s diamonds, stands to benefit the most from China’s reawakening demand. The Gem and Jewellery Export Promotion Council (GJEPC) reports that while exports remain below their pre-pandemic highs, the pace of decline has slowed, and inquiries from Chinese buyers are on the rise.
Industry leaders expect the real impact to be felt from September 2025 onward, as the buyback schemes gain traction and consumer sentiment continues to improve. The upcoming wedding and festival seasons in China are also expected to drive a fresh wave of purchases.

Challenges Remain: Proceeding With Caution
While the outlook is brighter, several challenges could temper the pace of recovery:
• Global Competition: Other diamond-producing countries are also targeting the Chinese market, intensifying competition.
• Economic Uncertainty: Lingering concerns about China’s economic growth and potential new health crises could still affect consumer confidence.
• Changing Tastes: The long-term trend toward smaller stones and diamond accents may limit the recovery in high-value, large-stone exports.
Nonetheless, the consensus is that the worst is over, and a gradual, sustainable rebound is underway.

The Global Picture: Ripple Effects Beyond China
China’s renewed interest in diamonds is already having ripple effects across the global supply chain. Exporters in Belgium, Israel, and Africa are watching the Chinese market closely, hoping for a broader lift in demand. Meanwhile, the stabilization in prices is encouraging miners and traders worldwide to ramp up production and marketing efforts.

Conclusion: A New Chapter for Diamonds
After a prolonged downturn, the diamond industry is finally seeing reasons for optimism. China’s evolving retail landscape, innovative buyback schemes, and a shift in consumer sentiment are laying the groundwork for a revival in natural diamond exports. While challenges remain, the industry’s resilience and adaptability are on full display. As the world’s second-largest diamond market reignites its passion for these precious stones, exporters—especially in India—are preparing for a brighter, more sparkling future.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Axiscades Soars with Indra Sistemas Partnership!

Indian Steelmakers Gain as Import Duties Continue and China Cuts Supply

UK-US Trade Deal Progress: Steel Tariffs Unresolved

UK-US Trade Deal Progress: Steel Tariffs Unresolved

New UK Prime Minister Keir Starmer indicates progress in UK-US trade negotiations regarding important industries, but the issue of steel tariffs is still unresolved.

Summary:
The UK and the United States have reportedly reached an agreement on a long-anticipated trade deal, with UK Prime Minister Sir Keir Starmer indicating that significant aspects related to the automotive and aerospace sectors are complete. However, tariff issues—particularly concerning steel—are still under negotiation. The development signals renewed economic cooperation between the two allies, though lingering trade barriers continue to pose challenges.

In a significant development for post-Brexit trade relations, UK Prime Minister Sir Keir Starmer confirmed that a UK-US trade agreement is “done”, albeit with key details—most notably, tariffs on UK steel exports to the US—still being ironed out. Starmer’s announcement has raised optimism for a new chapter in transatlantic commerce, even as it highlights the complexities that remain in sensitive industrial areas.
The announcement came during Starmer’s first overseas trip as Prime Minister, where he met with US President Joe Biden and other global leaders at the NATO summit in Washington D.C. While the overarching framework of the trade agreement appears to be settled, Starmer acknowledged that “some technical elements, particularly around steel tariffs,” require further negotiation.

Breakthrough in Autos and Aerospace
Speaking to reporters, Starmer hinted that automotive and aerospace-related trade matters, which had been under prolonged discussion since the Trump administration, have been finalized. These sectors are critical for the UK’s industrial economy, particularly given their export orientation and role in sustaining thousands of skilled jobs across the Midlands and the North of England.
In particular, the agreement is expected to ensure tariff-free access for UK car manufacturers and aerospace component suppliers while also paving the way for enhanced regulatory cooperation on safety standards, emissions, and certifications. This is a vital win for UK-based companies such as Jaguar Land Rover, Rolls-Royce, and BAE Systems, which rely heavily on exports to North America.
“Securing agreement on these sectors has been a major priority,” said a senior UK government trade official, “especially as the UK shifts focus towards high-tech, low-carbon manufacturing. This will help British industries compete on a more level playing field.”

Steel Tariffs Still a Sticking Point
Despite the progress, tariffs on UK steel and aluminium exports to the US, imposed initially under former President Donald Trump in 2018 under Section 232, remain unresolved. While the EU successfully negotiated the removal of similar tariffs in 2021 under the Biden administration, the UK—operating independently post-Brexit—has faced a more complex path.
Currently, UK steel exports to the US are subject to 25% tariffs, making them less competitive and putting pressure on a sector already dealing with high energy costs and global overcapacity. British Steel and Tata Steel, two major producers in the UK, have consistently advocated for tariff relief, cautioning that ongoing trade restrictions might jeopardize both investments and employment.
“We welcome progress in other areas, but the steel issue is absolutely critical,” said Gareth Stace, Director General of UK Steel. “Without lifting these tariffs, we remain at a disadvantage in a key export market.”
Analysts suggest that while the broad contours of the UK-US trade pact are settled, the Biden administration is treading carefully on steel due to domestic political sensitivities, particularly in Rust Belt states like Pennsylvania and Ohio ahead of the US elections.

Political and Economic Implications
For Prime Minister Starmer, who took office with a focus on economic stability and international collaboration, concluding the UK-US trade agreement marks a notable diplomatic success. It offers early validation of his “Britain Reconnected” foreign policy, aimed at mending international ties and restoring trust among allies strained during the post-Brexit and Johnson years.
The deal also signals a strategic recalibration of UK trade policy, moving away from bombastic free trade rhetoric toward more targeted, sectoral agreements with major economies.
For the United States, the agreement reinforces its trade relationship with a key NATO ally amid growing global instability and competition from China. Although not a full-fledged Free Trade Agreement (FTA), the deal could serve as a framework for future cooperation, including in green technology, defence, and digital services.

Industry Reaction: Cautious Optimism
Industry bodies on both sides of the Atlantic responded to the announcement with measured enthusiasm. The Confederation of British Industry (CBI) welcomed the finalization of key sector agreements, calling it “a step in the right direction.” However, it also urged the government to press for early resolution of unresolved tariff issues.
Meanwhile, US Chamber of Commerce representatives indicated that American firms are eager to tap into Britain’s evolving green economy and digital innovation landscape, especially given regulatory clarity under the new UK administration.
“Both sides benefit when trade is open, fair, and rules-based,” said a Chamber spokesperson. “The UK remains a top investment destination for U.S. firms, and this agreement provides renewed momentum.”

Next Steps: Ratification and Implementation
While the deal has been declared “done,” its formal ratification process remains underway. UK officials will soon present the final documents to Parliament, and public consultations are expected. On the US side, any significant changes involving tariffs or regulatory standards may require Congressional review, depending on the deal’s structure.
Additionally, ongoing discussions on climate cooperation, digital trade, and AI standards are expected to be added to the UK-US trade agenda later this year.

Conclusion
The UK and the United States have reached a landmark point in trade negotiations, with key progress in the automotive and aerospace sectors. However, tariffs on UK steel and aluminium exports remain unresolved, indicating that while the trade deal is “done” in spirit, its full benefits are yet to materialize. Still, the announcement marks a turning point in post-Brexit UK foreign trade policy and offers renewed hope for a broader, more inclusive economic partnership between the two allies.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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India Eyes Landmark Oil Discovery in Andaman Sea, Signals Energy Breakthrough

Port of Los Angeles Records Significant Drop in Imports Due to U.S. Tariff Impact

Port of Los Angeles Records Significant Drop in Imports Due to U.S. Tariff Impact

Port of Los Angeles Records Significant Drop in Imports Due to U.S. Tariff Impact

The Port of Los Angeles, a vital entryway for international goods entering the United States, has experienced a significant drop in imports this May. The port reported a 19% fall in cargo inflows, indicating the growing impact of U.S. tariff regulations and shifting global trade dynamics.

Tariff Increases Trigger Import Reduction

The major reason behind this steep decline is the series of tariff hikes implemented on a wide variety of Chinese imports. Earlier this year, U.S. authorities raised tariffs on several Chinese products, with some duties spiking to as much as 145%. Although a temporary agreement later reduced some tariffs to 30%, the cost burden remains too high for many importers.

In response, many U.S. companies have either postponed or scaled back their orders from China or have begun sourcing products from other countries. This adjustment in sourcing strategies has been a key factor in the reduced import volumes at the Port of Los Angeles.

Import Decline Spreads to Other Major Ports

The decline in shipments extends beyond Los Angeles. Several significant U.S. ports have reported similar downward trends:

Port of Long Beach: Reported a decline in import volumes of more than 20%.

Seattle and Tacoma Ports: Experienced even larger import declines.

East and Gulf Coast Ports: Major ports such as New York, New Jersey, Norfolk, Mobile, and Houston also experienced significant drops in incoming shipments.

These consistent drops across different ports signal a nationwide shift driven by U.S.Trade restrictions and evolving global market trends.

Reduced Availability of Key Consumer Products

The falling import volumes are now affecting the availability of everyday products in the U.S. Markets are seeing lower arrivals of essential goods such as electronics, furniture, toys, automobile components, and home appliances—most of which have traditionally been imported from China.

Retailers across the country are starting to face supply shortages, which could worsen during high-demand periods like the back-to-school season, year-end sales, and the holiday shopping period. Some companies may also need to raise prices as they look for alternative sourcing options, increasing costs for consumers.

Port Activity Slowdown Impacts Local Employment

The lower import levels have led to a slowdown in port operations at Los Angeles. The daily number of vessel arrivals has significantly dropped, declining from approximately twelve ships a day to just five.

This reduced activity is creating challenges for local workers and businesses connected to port operations. Dockworkers, truck drivers, warehouse operators, and logistic service providers are facing decreased working hours and fewer job opportunities. The downturn is having a direct negative effect on the Los Angeles port community and the surrounding economy.

Temporary Tariff Cuts Offer Limited Relief

Although there was a short-term agreement between the U.S. and China to lower tariffs for a 90-day period, the impact of this decision has been limited. Even after the adjustment, many goods still carry a 30% duty, discouraging large-scale imports.

Uncertainty about future trade policies continues to be a major issue for businesses. Companies remain cautious about placing new orders, unsure whether tariffs will stay the same, increase, or eventually be lifted.

Companies Shift Global Sourcing to New Markets

Given the persistent risk of tariffs, many American firms are now focusing on diversifying their supply chains. Countries such as Vietnam, India, and Mexico are emerging as preferred sourcing destinations, offering more affordable and stable options compared to China.

However, this transition is complex and takes time. Small and medium-sized businesses, in particular, may find it challenging to establish new supplier relationships, arrange logistics, and manage the additional costs associated with longer shipping routes and unfamiliar production bases.

As companies work through these adjustments, consumers may also face higher prices, at least in the near future, as supply chains continue to evolve.

Outlook Remains Uncertain for the Coming Months

Industry experts believe there could be a modest recovery in import levels over the next few months if the temporary tariff reductions remain in place. However, if tariffs increase again or remain high, cargo volumes at major U.S. ports like Los Angeles may stay low for the rest of the year.

Ports across the country are preparing for potentially extended periods of reduced shipping activity unless a long-term resolution to U.S.-China trade tensions is reached.

Conclusion

The 19% drop in imports at the Port of Los Angeles clearly demonstrates how U.S.Trade policies are reshaping international business and disrupting supply chain networks. The impact is being felt across multiple ports, industries, and consumer markets, directly affecting port workers, businesses, and shoppers nationwide.

Although a short-term tariff easing has provided limited relief, the uncertainty over future trade policies continues to cloud the outlook. Until greater clarity is achieved, many companies are likely to proceed cautiously, and global supply chains may continue to shift in response to ongoing trade challenges.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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India’s Defence Sector Transforms: 11 Years of Strategic Growth and Self-Reliance

Chinese Tech Giants Export India-Made Electronics to Global Markets

Chinese Tech Giants Export India-Made Electronics to Global Markets

Chinese Tech Giants Export India-Made Electronics to Global Markets

Major Milestone for India’s Tech Exports

In a pivotal turn for India’s electronics manufacturing landscape, several Chinese technology firms have begun *shipping smartphones and electronic devices produced in India* to international markets, including *the United States, West Asia, and Africa. This move signals a significant departure from their earlier export dependency on facilities in China and Vietnam, and is being hailed as a breakthrough for India’s “Make in India” mission.

Manufacturing Pivot: From China to India

This production shift is driven by a growing trend among global firms to *diversify manufacturing locations* in light of rising geopolitical tensions and supply chain vulnerabilities. Often referred to as the *”China Plus One” strategy, this approach encourages businesses to **limit overdependence on Chinese manufacturing* by setting up alternative bases.

The Indian government has actively pushed to develop the country as a global production hub, with schemes like the *Production-Linked Incentive (PLI)* program designed to make Indian manufacturing globally competitive.

Strengthening Global Supply Chains

The relocation of production facilities to India is not only beneficial for the companies involved but also contributes to *strengthening global supply chains. It adds a layer of **resilience and flexibility* by decentralizing production and reducing the bottlenecks that come with regional disruptions. With India now producing devices for export under some of the world’s most recognized tech brands, the country is becoming an *integral part of global electronics logistics*.

A New Phase for India’s Export Economy

The ongoing expansion of *India-based manufacturing for export purposes* has implications beyond just trade. It shows the country’s capability to *match international quality standards, scale rapidly, and meet the logistics demands of distant markets like the U.S. and West Asia. With Chinese companies now relying on Indian factories to fulfill export orders, it also flips the traditional dynamic, presenting India not just as a consumer, but as a credible supplier to global markets.

Road Ahead: Opportunities & Requirements

The momentum is encouraging, but sustaining this growth will demand consistent effort. The Indian government and private sector must continue to *invest in infrastructure, digital readiness, workforce training, and logistics efficiency. With continued focus, India can evolve from a regional production base to a global electronics export powerhouse.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Diamond Power Lands ₹175 Cr Conductor Deal Under ₹100