Newscasts - Asia Markets Briefing: Indian shares fall as government raises tax on capital gains

HYBE

23/07/2024 10:00

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Source: 'Reuters - Business videos'

Description: Indian shares turned negative, after Finance Minister Nirmala
Sitharaman said in her budget speech on Tuesday that the Indian government was
raising the tax rate for equity investments held for less than one year to 20%
from 15%.
Short Link: https://refini.tv/4d9dxyf

Video Transcript:

Indian shares fall as government raises tax on capital gains. Welcome to Asia
Markets Briefing. I'm Ludovica Brignola. The first budget of Indian Prime
Minister Narendra Modi after this year's general election will focus on
employment and the middle class, Finance Minister Nirmala Sitharaman said. The
government will allocate INR2 trillion to create jobs over the next five
years. The government also lowered its fiscal deficit target of 4.9% of GDP
for the financial year ending March 2025 from 5.1% in the interim budget in
February, aided by surplus transfer from the central bank and robust tax
revenues. Indian shares turned negative after the Indian government raised the
tax rate for equity investments held for less than one year. And in China,
liquor shares are dragging stocks down as the country's efforts to spur
domestic consumption and fuel growth through key interest rate cuts did not
stave off market pessimism. Japanese shares closed flat after they rebounded
on Tuesday from a three-week low hit in the previous session, as chip sector
stocks tracked an overnight rally in the US. Nippon Steel is to dissolve its
joint venture with China's Baoshan Iron & Steel, slashing the Japanese
company's steel production capacity in China by 70%, the Nikkei Business Daily
reported. Instead, the company will focus on expansion in the United States
and India as its key customers - Japanese carmakers - are facing tough
competition with Chinese electric vehicle makers. Chinese electric truck
startup Windrose plans to set up a US assembly plant for its semi-trucks for
delivery there from 2025, directly challenging Tesla in its home market,
Founder and Chief Executive Han Wen said in an interview. The move comes after
Republican presidential candidate Donald Trump has repeatedly said he would
support such investments in the US. In South Korea, stocks of messaging app
Kakao plunged after founder Brian Kim was arrested on Tuesday. He is accused
of inflating the stock price of K-pop agency SM Entertainment, which was the
center of a controversial bidding war in early 2023 between Kakao, SM's
current parent, and a rival agency HYBE. Kim has denied any wrongdoing. Indian
PMI, which trended higher in June thanks to gains in manufacturing and
services, is out tomorrow. Japanese PMI is also due tomorrow. Last month,
factory activity expanded for a second straight month, but at a slower pace,
as orders weakened and cost pressure intensified. That's it from your Asia
Markets Briefing