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Stocks in News

• HG INFRA: Received completion certificate for a Rs 4,971 crore EPC project in Uttar Pradesh from Adani Road Transport

• RAILTEL CORP: Received a Rs 41.3 crore order from the Uttar Pradesh Police Recruitment and Promotion Board for security-related ancillary services.

• NIIT LEARNING: Ireland arm to restructure its Canada subsidiary. NIIT Canada will reduce its share capital to CAD 4.1 million, with capital to be returned to NIIT Ireland due to lower operational requirements.

• HINDUSTAN ZINC: Signed an MoU with TERI for a 250-hectare restoration project in Rajasthan.

• KNR CONSTRUCTION: JV received a Rs 3,361 crore LoA from South Eastern Coalfields for the Kusmunda coal mining project. KNR holds a 51% stake in the JV.

• MOIL: Incorporated a JV with MP State Mining Corporation for manganese ore mining. MOIL will hold a 51% stake, while MPSMCL will hold 49%.

• CRETIVE NEWTECH: Received a Rs 3,195 crore advance work order from BSNL for the BharatNet network project in Odisha.

• NESCO: The company plans to surrender all four sites on the Raipur?Visakhapatnam Expressway due to operational challenges; financial impact not quantified.

• HERITAGE FOODS: The company launches Heritage Creamy Shakes in Badam and Mango variants, priced at Rs. 40 for 195 ml.

Economic News

• RBI’s forex swap support could halve hedging costs, making overseas borrowing attractive for PSUs: RBI is considering a concessional forex swap facility for PSUs, under which it may absorb at least 50% of the 3.5 to 4% annual hedging cost on External Commercial Borrowings (ECBs), making overseas borrowing more viable. The move is aimed at attracting foreign inflows, supporting the rupee, and reducing the landed cost of foreign loans for entities such as REC, PFC, NaBFID, Power Grid, and oil PSUs. Lower hedging costs could bring overseas borrowing rates closer to domestic borrowing costs, improving funding economics for infrastructure and public utility projects. While RBI Governor Sanjay Malhotra indicated the facility would be limited to PSUs due to their broader public benefit, borrowers are awaiting detailed guidelines and have sought flexibility to raise funds in multiple currencies, with PSU executives suggesting that at least a 60-bps hedging advantage is necessary to make foreign borrowing attractive.

Global News

• US Jobs Growth Beats Expectations, Strengthening Fed’s Higher-forLonger Stance: The U.S. labor market remained resilient in May, with nonfarm payrolls rising by 172,000, well above expectations, while upward revisions added 93,000 jobs to March-April data. The unemployment rate stayed steady at 4.3%, reflecting continued labor market strength despite geopolitical uncertainties and inflationary pressures from rising oil prices. Strong hiring across leisure & hospitality, healthcare, construction, and government sectors helped offset weakness in finance, retail, and transportation. While annual wage growth moderated to 3.4%, easing concerns of wage-driven inflation, the robust jobs data strengthened expectations that the Federal Reserve will keep rates higher for longer, with markets increasing the probability of a rate hike later this year. However, rising long-term unemployment and weak labor force participation indicate underlying challenges remain.

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