Category: 阿拉爱上海

US Stocks: Futures tick higher ahead of Powell’s speech

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U.S. stock index futures edged higher on Thursday after a broad market rebound in the previous session, with investors looking ahead to Federal Reserve Chair Jerome Powell’s speech for clues on monetary policy tightening plans.

Wall Street’s main indexes climbed the most in about a month on Wednesday as bond yields retreated after a recent surge that was driven by expectations of hawkish central bank policies.

Also Read: European markets face fresh reckoning threatening further losses

Hawkish remarks from Fed officials and recent data signaling strength in the U.S. economy have pushed money markets to bet on an 80% chance that the Fed will hike interest rates by another 75 basis points at this month’s meeting.

Goldman Sachs, too, raised its policy rate forecast to a 75 basis point hike this month from 50 basis points previously.

Powell may also shape expectations about what is to come when he speaks on Thursday, in what are likely to be his final public comments before this month’s policy meeting. He is scheduled to speak at 9:10 a.m. ET.

Concerns over a recession, stirred by aggressive central bank rate hikes and signs of economic slowdown in China and Europe, have dented the appetite for risk assets globally this year.

Data at 8:30 a.m. ET is expected to show 240,000 jobless claims were filed in the U.S. for the week ended September 3.

At 07:26 a.m. ET, Dow e-minis were up 35 points, or 0.11%, S&P 500 e-minis were up 2.75 points, or 0.07%, and Nasdaq 100 e-minis were up 3.5 points, or 0.03%.

GameStop Corp rose 7.1% in premarket trading after the video game retailer reported a smaller-than-expected quarterly loss.

American Eagle Outfitters Inc slumped 15.3% after the retailer missed second-quarter profit estimates and said it would pause quarterly dividend as it fortifies its finances against a hit from inflation.

MCX crude oil September futures support at 6500; US FOMC meet to guide crude oil movement

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The oil market is going through a rough patch as investors continue to grapple with inflation, demand fears and lockdown in China. US CPI which came higher than expected started cascading effect of selling pressure in all commodities including crude. While crude prices have taken a big hit, oil and gas stocks have fared even worse with energy equities experiencing nearly double the selling pressure compared to WTI crude. However recently the selling pressure has abated and WTI is steady at around $85. The market had taken in stride the outlook by IEA for almost zero growth in oil demand in the fourth quarter due to a weaker demand outlook for China however OPEC has forecasted 3.1 million bpd growth for the rest of the year. Sentiment also suffered from comments by the U.S. Department of Energy that it was unlikely to seek to refill the Strategic Petroleum Reserve until after fiscal 2023.

Also read: Gautam Adani becomes world’s 2nd richest person, beats France’s Bernard Arnault as group stocks rally

Also read: Gold prices to remain under pressure till US Fed; trend looks bearish, support seen at Rs 48800

In MCX, the price is taking resistance at a 20-day moving average since 30th August. It has failed to close or trade higher above the 20-day moving average so the immediate resistance is 7071. Above that, the next resistance is at 7470 where the 200-day moving average and swing high are. On the downside, 6650 and 6500 are the support which was a recent swing low. We don’t anticipate any major trend in crude owing to the news which is both positive and negative and thus counterbalancing the price at the centre. Any major or clear direction is expected after 21st September when the US Fed will give guidance about future rate hikes. Till then, the expected prices to trade in a broader range of 6500-7500.

(Bhavik Patel is a commodity and currency analyst at Tradebulls Securities. Views expressed are the author’s own. Please consult your financial advisor before investing.)

US stocks: Wall Street closes with sharp gains as final quarter begins

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Wall Street‘s three major indexes rallied to close over 2% on Monday as U.S. Treasury yields tumbled on weaker-than-expected manufacturing data, increasing the appeal of stocks at the start of the year’s final quarter. The U.S. stock market has suffered three quarterly declines in a row in a tumultuous year marked by interest rate hikes to tame historically high inflation, and concerns about a slowing economy.

“The U.S. yield markets (are) pulling back – that’s been a positive … and that connotes a more risk-on environment,” said Art Hogan, chief market strategist at B. Riley Wealth in Boston. Further supporting rate-sensitive growth stocks, the benchmark U.S. 10-year Treasury yield fell after British Prime Minister Liz Truss was forced to reverse course on a tax cut for the highest rate.

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Megacap growth and technology companies such as Apple Inc and Microsoft Corp rose over 3% respectively, while banks advanced 3%. Data showed manufacturing activity increased at its slowest pace in nearly 2-1/2 years in September as new orders contracted, likely as rising interest rates to tame inflation cooled demand for goods.

The Institute for Supply Management said its manufacturing PMI dropped to 50.9 this month, missing estimates but still above 50, indicating growth. “The economic data stream actually came in worse than expected. In a very counterintuitive fashion that likely represents good news for equity markets,” said Hogan.

Also read| Share Market LIVE: Nifty, Sensex may open in green on positive global cues; Electronics Mart IPO opens today

“(While) good economic data, strong readings had been a catalyst for selling, this is the first time we’ve actually seen some negative news be a catalyst.” All three major indexes ended a volatile third quarter lower on Friday on growing fears that the Federal Reserve’s aggressive monetary policy will tip the economy into recession.

The Dow Jones Industrial Average rose 765.38 points, or 2.66%, to 29,490.89; the S&P 500 gained 92.81 points, or 2.59%, at 3,678.43; and the Nasdaq Composite added 239.82 points, or 2.27%, at 10,815.44.Volume on U.S. exchanges was 11.61 billion shares, compared with the 11.54 billion average for the full session over the last 20 trading days.

Tesla Inc fell 8.6% after it sold fewer-than-expected vehicles in the third quarter as deliveries lagged way behind production due to logistic hurdles. Peers Lucid Group gained 0.9% and Rivian Automotive fell 3.1%.Major automakers are expected to report modest declines in U.S. new vehicle sales, but analysts and investors worry that a darkening economic picture, not inventory shortages, will lead to weaker car sales.

Citigroup and Credit Suisse became the latest brokerages to lower 2022 year-end targets for the S&P 500, as U.S. equity markets bear the heat of aggressive central bank actions to tamp down inflation.Credit Suisse also set a 2023 year-end price target for the benchmark index at 4,050 points, adding that 2023 would be a “year of weak, non-recessionary growth and falling inflation.”

Advancing issues outnumbered decliners on the NYSE by a 5.04-to-1 ratio; on Nasdaq, a 2.70-to-1 ratio favored advancers. The S&P 500 posted one new 52-week high and 23 new lows; the Nasdaq Composite recorded 58 new highs and 282 new lows.

Sebi tightens IPO disclosure norms

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The Securities and Exchange Board of India (Sebi) has brought in a slew of important changes, including disclosure of key performance indicators (KPIs) in public issues, in its board meeting held on Friday. Other mandates include allowing pre-filing of IPOs, inclusion of units of mutual fund units under insider trading regulations, framework to facilitate online bond platform providers, flexibility in approval process for appointment and removal of independent directors and monitoring of QIP and preferential issue proceeds.

Issuers coming out with IPOs will have to make disclosure of KPIs and price per share of issuer based on past transactions and past fund raising done by the issuer from the investors under ‘Basis for Issue Price’ section of the offer document, and in Price Band Advertisement.

Also Read: Sterlite Power postpones IPO plans on current market volatility

Issuer shall disclose details of pricing of shares based on past transactions and past fundraising from investors based on secondary sale or acquisition of shares during the 18 months period prior to IPO. In case there are no such transactions, information shall be disclosed for price per share of issuer company based on last five primary or secondary transactions, not older than three years prior to IPO.

“The regulator had for several months increased the questioning on pricing of issues and the details of previous issues, including KPIs. They have now made this disclosure mandatory, including for secondary transfers. Some of this may not be known to the issuer, however, will now have to be provided,” said Yash Ashar, partner, head – Capital Markets, Cyril Amarchand Mangaldas.

The Board has given IPO issuers the option to pre-file offer documents. The pre-filing mechanism will allow issuers to carry out limited interaction with without having to make any sensitive information public. Further, the document which incorporates Sebi’s initial observations would be available to investors for a period of at least 21 days

“The pre-filing of offer documents is a well-established procedure in several mature international jurisdictions, aimed at preserving confidentiality of nuanced business and financial information from competitors until an issuer is certain of a launch. This will go a long way in preventing price speculation which currently happens before an IPO,” said Arka Mookerjee, partner, JSA.

The Board has decided to bring mutual fund units under the Sebi (Prohibition of Insider Trading) Regulations, 2015.

“Ambiguity in rules and given that mutual funds are a large asset class, this ambiguity has to go. Since they are different from listed entities, we have chosen to have a new chapter on this so that all processes are clearly defined,” said Buch.

On being asked about the recent SC rulings that went against Sebi in insider trading matters, Buch said the regulator was reviewing its processes and that legislative changes will need to be looked at.

She further said that the norms on ultimate beneficial owners for FPIs had to looked at from a global perspective and in conjunction with exisiting PMLA norms.

On July 8, Sebi had issued a consultation paper with a proposal to include mutual fund units under the purview of insider trading regulations. The regulator doesn’t want those aware of unpublished price-sensitive information to unfairly exit a scheme.

The regulator, in its proposals, has cited the example of a few key personnel of a fund house that were found to have redeemed their holdings in the schemes ahead of an adverse liquidity event while in possession of certain sensitive information that was not communicated to the unit holders of the schemes.

The regulator has made the appointment or removal of independent directors flexible. Currently, this is done through a special resolution. Under the new norms, in case the special resolution for appointment of an independent director does not get the requisite majority, then two other thresholds – ordinary resolution and majority of minority shareholders – would be tested. If the resolution crosses the above two thresholds, in the same voting process, then such a resolution for appointment of the ID would be deemed to be approved by shareholders

The regulator has relaxed certain provisions in the takeover regulations for disinvestments of public sector undertakings (PSUs). This is usually a long-drawn out process and information relating to the same comes in public domain through government decisions and statements made from time to time.

“Considering the unique nature of transaction and process involved in a PSU disinvestment spanning over a long period, such a requirement of determination of open offer price under the takeover regulations many a time, acts as an impediment in fructifying such strategic disinvestment of PSUs. The Board, therefore, approved the proposal to dispense with requirement of calculating 60 days’ VWAMP for determination of open offer price in case of disinvestment of PSU Companies, wherein it results in its change in control, either by way of direct acquisition or indirect acquisition,” the note put out by the regulator said.

The Board allowed net settlement of the cash and F&O segments upon expiry of stock derivatives to facilitate efficient settlement.

“The earlier sequential settlement required investors to bring commitment separately for each transaction. The two were not netted. Any entities which are not mandated to take physical delivery would be now permitted to do net settlement. The cash required for trades can come down significantly,” said Buch.

The regulator has approved monitoring utilisation of issue proceeds raised through preferential issue and qualified institutions placement (QIP) issue.

Online bond platform providers will now have to register with the Sebi as stock brokers under the debt segment of the stock exchanges.

The Board will prescribe a timeline for declaring first close of a scheme of an alternative investment fund, along with the minimum corpus at which the first close may be declared.

Rupee likely to depreciate on strong dollar, risk aversion in markets, weak Asian peers; USDINR may hit 81

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The Indian rupee likely to depreciate on Friday amid risk aversion in equity markets, weak Asian peers, and strong dollar. Spot USDINR now has resistance in the area of 81.25 to 81.40, according to analysts. In the previous session, rupee tanked to close at an all-time low against the US dollar after the US Federal Reserve’s interest rate hike and its hawkish stance weighed on investor sentiments. The US Fed’s rate hike and escalation of geopolitical risk in Ukraine led to sapped risk appetite which weighed on the domestic unit, according to Forex traders. At the interbank foreign exchange market, rupee opened at 80.27, and ended at 80.86, down 90 paise over its previous close.

Also Read: Share Market LIVE: Nifty, Sensex may open in red amid weak global cues; big consolidation drive at Tata Steel

“The Indian rupee is expected to open slightly lower and may face resilience around 81 in anticipation of the central bank’s intervention. However, the direction will depend on broad-based dollar movement. The forward market is indicating that USDINR could open around 80.95. Spot USDINR now has resistance in the area of 81.25 to 81.40, while the previous top 80.12 is likely to act as support. Asian stocks headed for a sixth weekly decline following another day of losses for US shares and surging Treasury yields that underscore expectations for tighter monetary policy and a slowing global economy.”

Anindya Banerjee, VP, Currency Derivatives & Interest Rate Derivatives, Kotak Securities

“USDINR spot closed at 80.86, up 89 paise, to all-time high. Post super hawkish Fed and sell-off in equity markets, there was significant unwinding of shorts in the dollar. The central bank seems to have not intervened aggressively. However, in the coming sessions, we expect RBI to step in and contain volatility. Therefore, a range of 80.40 and 81.20 can be seen.”

Gaurang Somaiya, Forex & Bullion Analyst, Motilal Oswal Financial Services

“Rupee fell to fresh all-time lows following a surge in the dollar after the Fed raised interest rates by another 75 basis points and signalled more large increases at its upcoming meetings. The Fed’s new projections showed its policy rate rising to 4.4% by the end of the year, before peaking at 4.6% in 2023 to curb uncomfortably high inflation. Fed Chairman said there is no painless way to bring inflation down, reiterating that it wants to act aggressively now and keep at it. Yen fell after the Fed policy statement and also after the Bank of Japan maintained a dovish stance. The BoJ came in to support the yen soon after Europe opened.”

Also Read: Will bears drag Nifty towards 17400 amid weak global cues? 5 things to know before share market opening bell

“Volatility and uncertainty have risen as the market comes to grips with a policy regime that is reducing liquidity after a decade of abundance. Apart from BoJ, the Bank of England released its policy statement and raised rates by another 50bps and said it would continue to “respond forcefully, as necessary” to inflation, despite the economy entering recession. The BoE now expects inflation to peak at just under 11% in October, below the 13.3% peak it forecast last month. Today, focus will be on preliminary manufacturing PMI number from the US, EZ and the UK. We expect the USDINR(Spot) to trade sideways and quote in the range of 80.70 and 81.20,” Somaiya added.

(The recommendations in this story are by the respective research analysts and brokerage firms. FinancialExpress.com does not bear any responsibility for their investment advice. Capital markets investments are subject to rules and regulations. Please consult your investment advisor before investing.)

Will bulls take a backseat as bears drag Nifty below 17800? 5 things to know before market opening bell

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Bulls are likely to take backseat on Friday as SGX Nifty hinted at a negative start for Indian equities. Nifty futures traded 111 points, or 0.62% lower at 17,768 on the Singapore Exchange, signaling that NSE Nifty 50 and BSE Sensex were headed for a negative start. “We broadly remain positive on the markets and suggest buying on dips. Nifty trades with a positive bias on monthly basis but short term momentum indicators suggest some jitters. This could result in a phase of correction/consolidation. IT and select BFSI stocks remain attractive while Banking can witness some profit booking,” said Sahaj Agrawal, Head of Research- Derivatives at Kotak Securities.

Also Read: Adani Ports, PVR, Tata Power, UPL, Reliance, BPCL, Ami Lifesciences stocks in focus on 16 September 2022

Technical view: “A long negative candle was formed on the daily chart, that has engulfed the long bull candle of Wednesday on the downside. Technically, this market action signal emergence of selling pressure at the resistance of 18100 levels. On the downside, the Nifty is expected to find support around 17750-17700 levels in the short term. The short-term trend of Nifty continues to be range bound around 18100-17700 levels. There is a possibility of further consolidation or minor downward correction in the short term,” Nagaraj Shetti, Technical Research Analyst, HDFC Securities.

Levels to watch for: “The trading set up suggests that a fresh round of selling is possible only after the dismissal of 17800 support level. If the index trades above 17800 then it could retest the level of 18100- 18150. On the flip side, below 17800, a quick intraday correction is not ruled out. Below which, it could slip till 17700-17650,” said Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities. Bank Nifty has support at 40700 levels while resistance at 41700 levels, according to technical charts.

IPO watch: Harsha Engineers IPO was subscribed 10.35 times on day two. The reserved portion of non-institutional investors witnessed a subscription of 24.91 times. Retail Investors saw a robust demand and was subscribed 9.14 times. The employee portion was subscribed 6.34 times. The qualified institutional buyer portion was subscribed 1.63 times. The issue kicked off for subscription on Wednesday, September 14, and will close today (September 16).

Also Read: Sensex, Nifty fall for 2nd straight day on weekly F&O expiry; Bank Nifty looks bullish, use buy on dips

Stocks under F&O ban on NSE: Indiabulls Housing Finance and RBL Bank are the two equities under the NSE F&O ban list for September 16. Securities thus banned under the F&O segment include companies where derivative contracts have crossed 95 percent of the market-wide position limit.

Harsha Engineers shares settle at 47% higher in debut trade

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Shares of Harsha Engineers International on Monday made a stellar debut on the bourses, listing at Rs 444 apiece on the BSE, a premium of 34.5% over the issue price. The shares hit a high of Rs 527 during intraday trade before settling at Rs 485.9 apiece on the BSE, up 47% over the issue price.

The total quantity traded on the NSE stood at 3.61 crore shares, while 24.9 lakh shares changed hands on the BSE.

The company had raised Rs 225.7 crore from anchor investors.

Harsha Engineers International, incorporated in 2010, is the largest manufacturer of precision bearing cages, in terms of revenue, in the organised sector in India, and among the leading manufacturers of precision bearing cages globally. It has 50-60% of the market share in the organised segment of the Indian bearing cages market and 6.5% of the market share in the global organised bearing cages market for brass, steel and polyamide cages in CY2021.

Also read: Harsha Engineers premium listing on BSE, NSE: Shares end 47% up from IPO price even as Sensex, Nifty fall 2%

The company reported a net profit of Rs 92 crore and net sales of Rs 1,321 crore in the twelve months ended March 31, 2022.

“The company has long-standing relationships with its customers, which are leading global bearing manufacturers in the automotive, railways, aviation and aerospace, construction, mining, agriculture, electrical and electronics and renewables sectors. At the offer price of Rs 330, the stock trades at a P/E valuation of 32.7x its FY2022 post-IPO diluted EPS. Given the company’s strong market share in the bearing case market and strong relationships with its customer, the company’s growth prospects look promising,” brokerage Sharekhan said in its pre-IPO note.

Cygnet introduces Cygnet Digital, an innovative framework

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According to an official release, Cygnet, a provider of enterprise transformation and IP-based solutions for smarter compliance and finance transformation, announced a transformation into Cygnet Digital, as a part of the Cygnet Infotech family. Cygnet Digital unveils the innovative framework, Cygnet COSMOS, which is a customer-first, co-ideation, co-creation, and co-innovation ecosystem.

“The digital landscape is evolving rapidly, and our commitment is to ensure that Cygnetians, customers, communities, and partners remain at the forefront of this digital revolution. Our new identity plans to include ‘Living the Trust,’ with every service, solution, and offering within this innovative framework,” Niraj Hutheesing, founder, MD, Cygnet Digital, explained.

“We aim a vision of achieving 4X growth and delivering best-in-class customer-centricity while expanding the Cygnet family internationally,” Narasimha Murthy, Chief Business and Operations Officer, Cygnet Digital, concluded.

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MCX crude oil October futures shows continuation of bearish trend, go long only above Rs 7050/bbl

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By Bhavik Patel

For the past three to four months, the oil market has been struggling to gain traction on the upside due to growing fears of imminent recessions in Europe and possibly in the United States. Since June, when the Fed started aggressively hiking key funds rates, oil prices have lost around $40 per barrel, slumping below $86 a barrel from $130 last year. Not just recession fears but demands for destruction have also soured sentiment for bulls. The zero Covid policy in China with snap lockdowns and mass mobility restrictions, coupled with concerns about the slowing growth in the Chinese economy, have also weighed on market sentiment. Oil prices have also been volatile as liquidity has dried up.

There was discord between reality and paper oil futures as demand still was holding up but speculators were pushing prices down in anticipation of a recession. OPEC+ had also said that prices are not reflecting the true picture. In fact, with supply constraints increasing due to the implantation of Russian sanctions in winter, there will be a shortage of crude as other OPEC countries don’t have enough capacity to increase production. Demand is still holding up as more demand will come for oil by switching from natural gas, whose sky-high prices have become prohibitive for many industries and power-generating units in Europe. Supply will struggle to catch up with demand once China’s economy rebounds, and possibly up to 2 million BPD of Russian crude oil and products have to find new homes outside the EU and the G7 this winter.

Also read: India’s current account deficit may rise to 3.3% of GDP in Q2FY23 on revival in demand, high commodity prices

So we conclude that oil prices have less space to fall but surely the floor is not set. Below $80, OPEC+ will come into action and start cutting production to prop up prices but slowing economies and interest rate hikes are set to keep investors and traders off risk assets like crude oil, meaning oil prices may not exceed $100 per barrel again this year. Oil prices may struggle in the short term, but once economies rebound, the world will find itself short of supply of oil and other commodities. So in the medium to long term, we are bullish but in the near term, prices are still set to trade in a range.In MCX, Oct future contract still is in a bearish trend with lower top and lower bottom formation on the daily scale.Trend line resistance comes at 7050 so break out or change in trend is only possible above 7050 closing basis. Last week we had recommended not to initiate a long position until 7100 is breached and we are again reiterating the advice to go long only above 7050. Till then the trend is bearish and will remain vulnerable to selling pressure at every bounce.

(Bhavik Patel is a commodity and currency analyst at Tradebulls Securities. Views expressed are the author’s own.)

Russia’s exclusion may pave way for India into global bond index

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India has the biggest bond market among emerging economies that’s not covered by global indexes, but bankers say that may change soon, potentially drawing in billions of dollars in inflows. Russia’s recent exclusion is one reason why. Morgan Stanley expects an announcement that India will be included in JPMorgan & Chase Co.’s emerging markets bond index as early as mid-September with the actual entry in the third quarter next year. Goldman Sachs Group Inc. sees that announcement coming in the fourth quarter this year and inclusion in the second or third quarter in 2023. Both expect India’s weight at 10%, the maximum for a country in the index, and potential inflows of $30 billion from the move.

Getting high-yielding Indian sovereign bonds into global indexes would make it easier for overseas investors to put their money into Asia’s third-biggest economy with its $1 trillion debt market. It would follow many false starts over the years that resulted from wariness about debt inflows and disagreements including one on tax breaks for foreigners. Russia’s exclusion from the JPMorgan gauges after it invaded Ukraine may have added to incentives for the index compilers to fill the hole with Indian debt.

JPMorgan, one of the major index providers, has been collecting feedback from investors over including India in its Government Bond Index – Emerging Markets Global Diversified, or GBI-EM. More than 60% of real money investors are ready or almost ready for India’s inclusion, a Morgan Stanley survey showed. A spokesperson for JPMorgan in India declined to comment.

“India would offer much needed diversification to the GBI-EM index given the different structure of its economy, and so would be a strong addition to the index from a long-term perspective,” said Nivedita Sunil, portfolio manager for Asia and EM debt at Lombard Odier (Singapore) Ltd. “We have held consultations with the index provider and we are broadly supportive of it.”

Bond traders in India have had their hopes dashed in the past on index inclusion. There were widespread expectations in February that the government would announce a tax break for foreign investors in the budget that would facilitate trading of the nation’s debt on platforms such as Euroclear.

Dashed Expectations

Instead, the budget was silent on the issue. Officials have said they decided not to exempt international bond transactions from taxes, and they would like settlement of bonds to be done locally. “India has its own size and heft to act on its own,” said Aninda Mitra, head of Asia macro and investment strategy at BNY Mellon Investment Management. “But it is important to make a strategic decision and stick with it, rather than send out conflicting signals.”

Meanwhile, in the GBI-EM index Russia had a weight of about 8% before it was removed, and now there are seven countries with a weight of 10% each and 13 countries sharing the remaining 30%, according to the Morgan Stanley note. “The exclusion of Russia has made the index more concentrated and unbalanced,” Morgan Stanley strategists Min Dai, Madan Reddy and Gek Teng Khoo wrote in a note early September. “Hence JPMorgan has more incentive to include India even without Euroclear, as long as GBI-EM investors don’t object to that.”

India is currently ‘on track’ to be placed on index watch for inclusion in JPMorgan’s bond index, according to the bank. It’s also on the FTSE Russell watch list to get into its emerging market debt index. Bloomberg LP is the parent company of Bloomberg Index Services Ltd, which administers indexes that compete from those by other service providers. Renewed market talk on index inclusion helped revive flows into rupee-denominated bonds last month after six continuous months of outflows. Foreign inflows will be crucial to meet the nation’s ever-growing bond supply as its funding needs expand.

Also Read: Petrol and Diesel Price Today, 9 Sep 2022: Fuel cost steady; Check rates in Delhi, Mumbai, Noida, other cities

Authorities have taken some steps to ease rules for foreigners. Recent regulations like allowing custodian banks to pre-fund trades on behalf of foreign investors and extended settlement timings are examples, according to Goldman Sachs. Still, key issues remain. “We think the two biggest operational challenges are account opening time and the burdensome trading requirements,” said Eric Lo, a fixed-income fund manager at Manulife Investment Management. He said it can take up to nine months to open a local India bond trading account, but operational constraints like those aren’t a “show stopper” for the firm to invest in the market.