Ride hailing cab Uber announced further job cuts in the second round of layoffs as a result of COVID-19; Shares of Bharti Airtel Ltd surged 10% to a record high on Tuesday, as customers upgraded their data and calling plans and the Indian telecom operator raised mobile tariffs, helping boost average revenue per user.Sensex, Nifty finally snapped the 3-day losing run tracking positive global peers.
Here’s your daily dose of developments in the financial world in one capsule.
In the news
Uber to cut 3,000 more jobs in second round of layoffs; 'made incredibly difficult decision to reduce workforce', says CEO in mail to employees
After Uber laid off 3,500 of its workforce via a Zoom call that lasted for a little over three minutes last week, the ride-sharing firm has now announced it is cutting 3,000 more jobs in its second round of lay offs. Uber Technologies Inc, the San Francisco-based ride-hailing company, is laying off 25 percent of its staff. It will cut a total of 6,700 jobs, including the 3,700 it had announced earlier this month, Chief Executive Officer Dara Khosrowshahi said, adding that the company plans to reduce investments in several "non-core projects," according to Reuters. Read more
TikTok Vs YouTube: Ratings drop for TikTok as users boycott app to support Carry Minati
COVID-19 pandemic and the resultant lockdown have led to a rise in popularity of a few apps, including TikTok. Last month, it was reported that TikTok hit one billion users mark. But now, the app is witnessing a drop in ratings due to the ongoing battle between YouTubers and TikToker. Read more
WeWork India lays off 20% of workforce as COVID-19 lockdowns weigh
WeWork's India franchise said on Tuesday it laid off 100 employees, or 20 per cent of its workforce, as the office-sharing startup joins a slew of firms that are cutting costs and revamping operations as a prolonged nationwide lockdown to curb the coronavirus has kept people indoors. Read more
Package for financial sector to ease asset risks, but won't fully offset COVID-19 blow: Report
Moody's Investors Service on Tuesday said the measures announced by the government for financial institutions as part of Rs 20 lakh crore-economic package will help ease their asset risk, but will not fully offset the negative impact from the COVID-19 outbreak. The government last week announced a support package of Rs 3.70 lakh crore for micro, small and medium enterprises (MSME) sector, Rs 75,000 crore for non-banking financial companies (NBFCs) and Rs 90,000 crore for power distribution companies. Read more
Micromanager Modi gives 58-point stimulus package but no solution
“Micromanager in chief” this is how the Wall Street Journal described Prime Minister Narendra Modi in a March 2017 article, a few months after he announced the demonetisation of Rs 1,000 and Rs 500 currency notes.
The article described how Modi took this decision almost unilaterally, consulting only a handful of close advisers, keeping much of the government in the dark.
Rupee opens stronger at 75.77 per US Dollar
Rupee in Tuesday's (May 19, 2020) trade opened with gains at 75.77 against previous day's close of 75.91 per US dollar. On Monday, buoyed by sell-off in Indian equity markets, the rupee was again dragged close to levels of 76. On a year to date basis, the rupee is down almost 6.5% against the greenback and hit a record low of 76.91. Read more
Sensex, Nifty snap 3-day losing run tracking positive global peers
Benchmark indices gave up most of their early gains but managed to break the three-session losing streak by closing in positive territory on Tuesday, tracking enthusiasm in global markets over a potential COVID-19 vaccine. After rallying over 700 points in a volatile session, the 30-share BSE Sensex finished 167.19 points or 0.56 per cent higher at 30,196.17. Read more
Oil steady on signs of output cuts but demand concerns weigh
Oil prices were steady on Tuesday amid signs that producers are cutting output as promised while traders awaited more clarity on the demand picture as some countries ease out of lockdowns. Benchmark Brent crude was up 4 cents or 0.1% at $34.85 a barrel by 1205 GMT. Read more
Bharti Airtel shares rise 10% after reporting loss of Rs 5,237 Cr in Q4; data demand, tariff hikes help
Shares of Bharti Airtel Ltd surged 10% to a record high on Tuesday, as customers upgraded their data and calling plans and the Indian telecom operator raised mobile tariffs, helping boost average revenue per user.
The company's average revenue per user, a key metric for the telecom sector, rose 25% to 154 rupees at its India mobile services business during the quarter ended March 31. Read more
Mutual Funds sit on highest cash levels in 8 months on corona uncertainties
During April when benchmark indices had a sigh a relief with a recoup of 20% losses from the recent lows seen in the brutal March sell-off, mutual funds emerged as the biggest sellers in a span of 4 years as per the SEBI data. Read more
Tata Motors introduces new finance scheme amid COVID-19 pandemic
Tata Motors introduces a new finance scheme called the 'Keys to Safety' amid the on-going Covid-19 pandemic in India. With the new finance scheme the company aims to offer more convenience for first time car buyers during these unprecedented times. Read more
An easing of coronavirus prevention measures helps China's auto plants rev up
In the eastern Chinese city of Yuyao, a group of five face-masked workers at a Geely [GEELY.UL] auto plant, stood almost shoulder to shoulder behind an SUV as they conducted paint and other quality checks. That scene would not have been possible a month ago. Read more
Documents needed when availing a car loan and the importance of paperwork
Owning a car is a costly affair. But auto loans have made buying a car affordable and easy. Non-Banking Financial Companies (NBFCs) and banks offer car loans at attractive interest rates. Most lenders offer car loans with a repayment tenure of up to 7 years with Equated Monthly Instalments (EMIs). Certain banks offer 100% finance of the on-road price of the car. Therefore, it has become much easier for an individual to own his/her dream car. While taking a car loan, an applicant needs to furnish various important documents to the lender. The documents requirement vary from bank to bank. Here is a lowdown about the documents required while availing a car loan. Read more
FBI manages to break into a US gunman's iPhone without Apple's assistance
The US government has accessed an iPhone of a terrorist involved in December shooting at Naval Air Station Pensacola, Florida, without any help from Apple despite repeated requests. In a media briefing, US Attorney General William Barr said that Mohammed Alshamrani, the Saudi air force officer accused of killing three classmates and injuring eight others at Florida Naval Air Station on December 6 was affiliated with Al Qaeda. Read more
Investor James Richman who survived 2008 crash warns of imminent financial crisis
The stock market is still in a bad shape when compared to the heights it reached in February this year when S&P reached 3,386 points. Then shortly after that, it plummeted to a record-low that almost touched the 2200 level on March 23, 2020. Read more