To access the newsletter, click on the link: http://share.thomsonreuters.com/assets/newsletters/Indiamorning/MNC_IN_05232017.pdf If you would like to receive this newsletter via email, please register at: https://forms.thomsonreuters.com/india-morning/ FACTORS TO WATCH 10:00 am: NITI Aayog CEO Amitabh Kant at an event in New Delhi. 11:00 am: Power Minister Piyush Goyal at an event in New Delhi. 11:45 am: Steel Minister Birender Singh to brief media in New Delhi. 12:30 pm: Law & IT Minister Ravi Shankar Prasad to brief media in New Delhi. 3:00 pm: GAIL India press briefing in Mumbai. 4:00 pm: Tata Motors earnings press meet in Mumbai. GMF: LIVECHAT - EMERGING MARKETS With developed markets still weathering some political risk factors, we take a look at the impact on emerging markets with Kaan Nazli, senior economist at Neuberger Berman at 2:30 pm. To join the conversation, click on the link: https://forms.thomsonreuters.com/communities/ INDIA TOP NEWS • India central bank outlines broad plans on $150 billion bank bad loan resolution The Reserve Bank of India outlined on Monday the broad contours of a plan to resolve the $150 billion bad debt problem plaguing the country's banks. • Indian automakers say proposed tax could make hybrids unviable Indian automakers will this week urge the government to lower a proposed sales tax on hybrid vehicles, as they fear the planned rate could make development of the technology unviable, industry sources and executives told Reuters on Monday. • India moving beyond oil as seeks alternatives to OPEC OPEC production cuts and the prospect of more expensive oil are pushing India to consider U.S. and Canadian suppliers, as well as encouraging it to turn to renewable energy, the country's petroleum and natural gas minister said on Monday. • Adani defers Australian coal project investment decision India's Adani Enterprises on Monday deferred a final investment decision on its long-delayed Australian Carmichael coal project as the Queensland state government has yet to sign off on a royalty deal for the mine. • INTERVIEW-India could invest in Aramco IPO to strengthen ties India said on Monday its state refiners could become cornerstone investors in Saudi Aramco when it floats its shares next year, as New Delhi seeks to strengthen ties with the world's largest oil producer. • Indian digital payments firm Paytm launches niche payments bank Indian digital payments firm Paytm launched a niche payments bank, aiming to acquire 500 million customers in the next three years, the company said in a statement. • India's GAIL Q4 profit falls on impairment charge State-run gas utility GAIL (India) Ltd posted a 69 percent fall in fourth-quarter profit on account of impairment charge on an investment. • Bank of India posts Q4 loss of 10.46 billion rupees Bank of India Ltd, the country's sixth-biggest lender by assets, reported a fourth-quarter net loss of 10.46 billion rupees as provisions for bad loans remained high. GLOBAL TOP NEWS • At least 19 killed in blast at Ariana Grande concert in British arena At least 19 people were killed in a blast at a concert in the English city of Manchester on Monday where U.S. singer Ariana Grande had been performing and two U.S. officials said a suicide bomber was suspected in the explosion. • Flynn declines U.S. Senate subpoena in Russia probe Former White House national security adviser Michael Flynn declined on Monday to comply with a subpoena from the Senate Intelligence Committee as it investigates possible Russian interference in the 2016 U.S. election. • North Korea says missile ready for mass production, U.S. questions progress North Korea said on Monday it successfully tested what it called an intermediate-range ballistic missile, which met all technical requirements and could now be mass-produced, although U.S. officials and experts questioned the extent of its progress. LOCAL MARKETS OUTLOOK (As reported by NewsRise) • The SGX Nifty Futures were trading at 9,472.00, up 0.25 pct from its previous close. • The Indian rupee will likely open little changed against the dollar, as the greenback came under pressure after German Chancellor Angela Merkel’s comments lifted the euro, even as a deadly explosion in Britain’s Manchester city weighed on risk appetite. • Indian government bonds will likely open higher, as talks that implementation of the proposed goods and services tax will further ease inflation sparked optimism the central bank will be less hawkish when it details the monetary policy outlook next month. The yield on the benchmark 6.97 pct bond maturing in 2026 is likely to trade in a 6.73 pct-6.78 pct band today. GLOBAL MARKETS • U.S. stocks rose on Monday, boosted by technology shares and by defense companies, which gained after the United States and Saudi Arabia signed a multi-billion dollar arms deal. • Japanese stocks were flat as a risk-averse mood kept investors sidelined following an explosion in the English city of Manchester, which lifted the safe-haven yen and depressed some export-oriented shares. • The euro hovered near a six-month high against the dollar after German Chancellor Angela Merkel said the currency was "too weak," while the pound sagged against the yen after a blast at a concert in Britain's city of Manchester killed at least 19 people. • U.S. Treasury yields were marginally higher on Monday as light selling tied to this week's government and corporate bond supply overrode safe-haven bids underpinned by worries about probes into U.S. President Donald Trump's 2016 campaign. • Oil prices fell after U.S. President Donald Trump proposed the sale of of half of the country's strategic oil reserves in his budget plan, just as producer club OPEC and its allies are cut back output to tighten the market. • Gold prices were steady despite a blast at a concert in the English city of Manchester that left at least 19 people dead in what British police said was being treated as a terrorist incident. CLOSE FII INVESTMENTS EQUITIES DEBT PNDF spot 64.56/64.59 May 22 -$49.78 mln $123.78 mln 10-yr bond yield 7.09 Month-to-date $1.39 bln $2.53 bln Year-to-date $7.75 bln $11.93 bln For additional data: India govt bond market volumes Stock market reports Non-deliverable forwards data Corporate debt stories [IN CORPD] Local market closing/intraday levels [IN SNAPSHOT] Monthly inflows [INFLOWS RTRS TABLE IN] ($1 = 64.55 Indian rupees) (Compiled by Pathikrit Bandyopadhyay in Bengaluru)