Stablecoin Terra's broken dollar peg hits wider cryptocurrency markets

 

HONG KONG (Reuters) - TerraUSD, the world's fourth-biggest stablecoin, lost 33% of its worth on Tuesday, frightening digital money financial backers and halfway adding to bitcoin's tumble beneath $30,000 without precedent for a very long time.

Stablecoins are computerized tokens fixed to the worth of conventional resources, like the U.S. dollar. They are well known as places of refuge in the midst of strife in crypto showcases and are a typical mode of trade, frequently utilized by brokers to move assets around and estimate on other digital currencies.

TerraUSD, an alleged algorithmic stablecoin that is presently the fourth-biggest by market capitalisation, on Tuesday broke its 1:1 stake to the dollar and fell as low as $0.67, as per cost site Coingecko.

The symbolic shot to noticeable quality recently when non-benefit Luna Foundation Guard, a partner of Terraform Labs, the organization behind TerraUSD, swore to gather $10 billion worth of bitcoin to help its dollar stake.

Dissimilar to other stablecoins that have saves in conventional resources, TerraUSD keeps up with stake through a calculation moderates organic market in an intricate interaction including the utilization of another adjusting token, Luna.

Luna Foundation Guard said in a tweet on Monday that it would protect TerraUSD's dollar stake through $1.5 billion in credits to over-the-counter exchanging firms, half in bitcoin and half in TerraUSD....KNOW MORE

Singapore ramps up rooftop farming plans as Covid-19 upends supply chains

Singapore on Wednesday announced new measures to boost local food production, including a plan to turn car park rooftops in public housing estates into urban farms, as the coronavirus pandemic disrupts global supply chains.

As part of that project, the Singapore food agency will launch a tender for rooftop farms on public housing car parks for urban farming starting next month, authorities said.

The densely populated city-state produces only about 10% of its food requirement but has plans to increase that as climate change and population growth threaten global food supplies.

Around the world, restrictions on population movement because of the coronavirus outbreak are wreaking havoc on farming and food supply chains and raising concern of widespread shortages and price increases.

"The current Covid-19 situation underscores the importance of local food production, as part of Singapore's strategies to ensure food security," authorities said in a statement. "Local food production mitigates our reliance on imports, and provides buffer in the event of food supply disruptions."

Authorities have repeatedly assured locals that the city-state has sufficient food supplies, amid bouts of panic buying that have gripped the island during the outbreak

In response to the outbreak, authorities aim to speed up local production over the next six months to two years.

This includes providing a S$30 million ($21 million) grant to support production of eggs, leafy vegetables, and fish in the shortest time possible, and identifying alternative farming spaces, such as industrial areas and vacant sites.

Coronavirus outbreak delays job offers in Asia's biggest financial hubs

Current Affairs
Monetary firms working in Singapore and Hong Kong are postponing contracting as the coronavirus episode upsets their organizations.
Both household and remote establishments have eased back enlistment, as indicated by talent scouts in the monetary center points. They've been affected by isolates, limitations on movement to and from China, remote working game plans and choices not to lead up close and personal meetings.
It's another part of the aftermath from the infection, which has additionally caused plant terminations, upset stockpile chains and started the world's biggest work-from-home investigation. Enrolling has gotten to a lesser extent a need as firms including DBS Group Holdings Ltd. have featured the income effect of exacerbating business conditions.
"Everyone is occupied," said Gurj Sandhu, an overseeing executive at Morgan McKinley Group Ltd. in Singapore. Procuring is tumbling down the "hierarchy," he stated, while including that no one is dropping jobs yet.
Bloomberg talked with six enlistment firms, all of which affirmed the stoppage. Procuring procedures and migration plans are taking longer all things considered organizations in view of calculated challenges. While some budgetary firms are leading meetings by video gathering or telephone, bringing home the bacon is increasingly dangerous, particularly at speculation banks and riches the board units.

Investors are "expensive things," said Hubert Tam, an overseeing accomplice at Sirius Partners Ltd. in Hong Kong. Private banks and speculation banks are holding off on procuring until they can meet applicants face to face, "regardless of whether they performed well a year ago," he said. Likewise, numerous private investors covering China would need to head out to the nation to meet customers and "get their gifts" before they move banks, as indicated by Amod Jain, a Morgan McKinley specialist in Singapore. "Not all things can be finished by telephone."...READ MORE

We share your concerns over divestment: Air India chief to employees

International News
Air India chief Ashwani Lohani said on Thursday that the airline's management shares the concerns of its staff and is taking necessary steps to protect their interests, even as its employees' unions are planning to protest against the government's disinvestment move.
While the government is planning to invite bids for the national carrier next month, its employee unions on Wednesday decided to oppose it, saying there is no clarity regarding salary arrears and pensions.
Lohani in a communication to the employees said, "Air India, your very own national carrier, is easily the most well-known Indian brand across the globe. It is incumbent upon all of us together to ensure that the brand retains its sheen even in the present testing times."
He said it is natural that many employees would be concerned about the future in light of the disinvestment scenario as any change in ownership brings about changes in the work culture and environment.
"Kindly be rest assured that the management fully shares your concerns and is taking necessary steps to protect the genuine interests of all Air Indians," said the airline's chairman and managing director.The government would be conducting roadshows at global financial centres like London and Singapore this month to entice investors for the disinvestment.
Lohani said Air India has been going through an extremely stretched financial situation, primarily due to huge debt servicing liabilities that has been affecting the airline."It (disinvestment) may enable sustainability as well as help in attaining the full inherent potential of the national carrier, thereby also helping the nation in attaining its economic goals," he noted.

"At this juncture, despite considerable constraints, it is essential that Air Indias as always continue to put in their best efforts in their area of responsibility," Lohani said....READ MORE

Why are 65-year-olds learning how to program software in aging Singapore?

International News

Most 65-year-olds would be looking to wind down their careers as they hit retirement.
But in Singapore, which has one of the highest life expectancies in the world at nearly 85 years and where the government soon plans to raise the retirement age, workers are being pushed to learn new skills to stay productive.
Valerie Yeong-Tan, who’s worked for 47 years at Singapore Telecommunications Ltd., is one such example. She’s an administrator in the human resources department with no prior programming knowledge, but was recently persuaded to take bot-building courses to improve her skills.
“Learning is a lifelong process, and I want to keep my mind active,” the 65-year-old said in an interview at a new Singtel office in Singapore, where it will conduct training. “I also hope to encourage and inspire the younger generation of workers, and show them that you can learn new skills no matter how far you are in your career.”
Yeong-Tan attended a four-day Bot Maker Training course and a two-day Bot Maker Hackathon, both organized by Singtel, where the basic programming terminology was alien to her. Now she uses her new-found skills to automate work processes like doing reports, drafting budgets and other repetitive tasks, saving her hours in her day.In Singapore, where productivity is falling as the labor force gets older, workers are being encouraged to adopt new skills for a digital world.

 Government agencies like Workforce Singapore and SkillsFuture Singapore run a number of programs to help workers reskill and find jobs. Last year, 431,000 Singaporeans made use of the SkillsFuture Credit ...Read More

Surprise! India has the third highest expat salary packages in Asia

International News

With Hong Kong and Singapore routinely topping the charts as the most expensive places to live and play, it may come as some surprise that Japan offers the best pay packets for expats in Asia.

The average expatriate pay package provided by companies in Japan to mid-level employees is $386,451 a year, eclipsing what’s on offer anywhere else in the region, according to a report by consultancy ECA International. Japan also saw the biggest increase in expat package values last year, thanks to a stronger yen and steeper housing costs, said Lee Quane, a regional director at the firm.
ECA's annual MyExpatriate Market Pay Survey measured expat packages by cash salary along with other perks including accommodation allowances and international school subsidies. It also took the various countries’ tax systems into account.Perhaps because of some of the challenges living in India entails -- think bad traffic, overcrowding and pollution -- it came in at No. 3, with companies offering mid-level staff an average package of $299,728 to attract overseas talent.

Hong Kong, the world’s least-affordable city, took the No. 4 slot in Asia, with firms shelling out $276,417 to international employees. Add-on benefits over and above salary were the highest in the region.Singapore only just squeezes into the top 10. The city-state, known for its low taxes, good schooling and easy outdoor lifestyle, mean companies don’t need to offer as many other bells and whistles.

On balance, it’s still better to be based in Asia as an expat, the ECA study found. Packages in the U.S. averaged just $250,028. In Australia, seen as a


 dream destination for many because of its wide open spaces and coastal cities, packages were $266,848.Topping the list globally was the U.K., with an average expat package of $421,798....Read More

Achilles heel: High oil prices to complicate India's inflation, says report

Economy News
The surging price of oil is an Achilles heel for the Indian economy, complicating its inflation, current account, fiscal balance and currency outlook, a market report by Singapore's DBS banking group has said.

"The sharp rally in oil weighed on all asset classes; USD-INR jumped to 69.87 high before closing slightly lower, while equity markets ended in red," said the report by Economist Radhika Rao and FX Strategist Philip Wee of the DBS Group Research

For bond markets, the worry is two-pronged with the concern being that high oil prices might pose a fresh risk to the fiscal math, if subsides return, by extension requiring higher borrowing, said the duo.
Also, pipeline inflation risks due to high oil prices further raise the hurdle for rate-cuts.
The Reserve Bank of India's minutes from the April meeting had already left the market divided-- some see members as keeping the door open for rate cuts on worries over growth, whilst rest see the RBI cautious over inflationary risks, said Rao and Wee.

"These themes are likely to keep 10-Year INR bond yields (generic) above 7.45% this week, with break below to be shallow," said the duo in the report.

"2028 paper tested past 7.6% yesterday (Monday) and is likely to move in the higher 7.55-7.65% band this week.


 We had noted last week that short-tenor yields (1Y-2Y) have already bounced off lows; nonetheless sharper jump in 10Y yields saw the curve return to a widening bias," the report said.

Morgan Stanley raises 2019 targets for MSCI EM, MSCI Asia Pacific indices

Companies News

Morgan Stanley has raised the 2019 targets for the MSCI Emerging Market (EM) and MSCI Asia Pacific (excluding Japan) indices, boosting prospects for markets like India.

Aggressive stimulus by China, US Federal Reserve’s decision to put interest rate hike on hold and signs of a thaw in the US-China trade war have prompted the brokerage to take an optimistic view on the EM universe.

“The aggressive China stimulus, a longer Fed pause, positive signs for the US-China trade negotiations and a shares index inclusion lead us to raise our targets,” said Jonathan Garner, chief strategist Asia and EM, Morgan Stanley in a note dated March 10.

The target for the MSCI EM index has been raised by 8 per cent to 1,130 from 1,050. The index hovered around 1,035 on Monday. The target for the MSCI Asia ex-Japan index has been increased by 3 per cent to 540.

morganMorgan Stanley has raised 2020 earnings per share (EPS) forecast for EMs to $98.4 from $95.1. It has re-rated the MSCI EM index, assigning it forward price-to-earnings (P/E) of 11.5 times, from 11 times earlier.

It the note, the brokerage said it remains overweight on EM equities and has outlined five key drivers that will boost the markets.

Morgan Stanley says the next Fed rate hike has moved from June to December with a lower US real rates profile, and this will boost EM valuations. Also, earnings season data was “slightly better than feared”, it said.


 Within EMs, Morgan Stanley is overweight on Brazil, China, India, Indonesia and Singapore. On the other hand, it is underweight on Australia, Mexico and the Philippines.

Smaller nations are the world's healthiest, Canada tops list

Current Affairs

There’s more to life than money, and economists know it. As new assessments of global living standards proliferate, attempting to gauge how healthy, happy and successful humans are depending on where they live, a pattern is slowly emerging.

While slight variations in data can throw up different winners, smaller countries are increasingly dominating the top of the lists while big countries with booming economies fall behind.

A new analysis, the Global Wellness Index published by investment firm LetterOne, ranks Canada as the best country out of the 151 nations evaluated. The US trails far behind, coming in at 37. In a tighter ranking of G-20 nations combined with the 20 most populous countries on the planet, South Africa comes in dead last, below Ukraine, Egypt and Iraq.

Based on a basket of metrics ranging from government healthcare spending to rates of depression, alcohol use, smoking, happiness and exercise, the new index is the latest attempt by economists to evaluate the world beyond economic growth. Last month, Bloomberg’s own research named Spain the world’s healthiest country.

A common thread in both surveys, and others like them, is that the top ranks are increasingly filled with smaller countries. This may be tied to researchers developing new metrics for the modern world, measures that don’t necessarily correlate economic health with actual health—let alone wellness—at the expense of other, more nuanced barometers.


 “The old concerns about growth—that it does not include every country, or every person in growing countries—are ever present,” said Richard Davies, a former Bank of England and UK Treasury economist who compiled the Global Wellness Index...Read More

Rupee could weaken past 75 if Modi fails to win second term: Expert

Economy & Policy:

Two of Asia’s biggest emerging economies will soon elect leaders, and wagers are already being placed on their currencies. The consensus: Indonesia’s rupiah will trump India’s rupee.
RupeeRupee It boils down to who retains power among the two pro-business incumbents. Opinion polls show Indonesian President Joko Widodo is set to win the April 17 vote, while Indian Prime Minister Narendra Modi’s position appears less secure following regional defeats for his party late last year.

“The rupiah offers a better risk-reward for investors than the rupee,” said Rainer Michael Preiss, an executive director at Taurus Wealth Advisors Pte. in Singapore. “With regard to Indonesia, our view is that consistency is good. If Modi doesn’t get re-elected, some people might think this is a negative and that could lead to more volatility in the rupee.”
The two nations are often compared as they offer high-yielding assets with large consumer bases. The duo is also vulnerable to changes in U.S. interest-rate policy.
Already a Winner

Judging by their performance this year, the rupiah is a defeats for his party late last year.
“The rupiah offers a better risk-reward for investors than the rupee,” said Rainer Michael Preiss, an executive director at Taurus Wealth Advisors Pte. in Singapore. “With regard to Indonesia, our view is that consistency is good. If Modi doesn’t get re-elected, some people might think this is a negative and that could lead to more volatility in the rupee.”


 Indonesia’s stocks and bonds have lured almost $3 billion from overseas funds since Jan. 1, while Indian assets have seen net outflows of about $100 million.

Vistara to raise frequency on existing domestic routes, says Leslie Thng

Companies News:

Vistara, joint venture of Tata Sons and Singapore Airlines, is to raise its frequency on existing domestic routes, besides adding one or two destinations, Chief Executive Leslie Thng said.

It began flying in January 2015 and operates 130 daily flights, with 22 aircraft. Thng said they were aiming at double-digit capacity growth and would add six to 10 of Airbus’ A320neo planes in 2019. Deliveries will begin from the second half of the year. There is no plan to take more aircraft on lease.

The airline has 56 planes on order — 50 of Airbus (A320s and A321neos) and six of the Boeing 787-9s. It will induct the Boeing planes from the first quarter of 2020 and has begun training its pilots for this.

ALSO READ: Govt committee to decide if Vistara should get foreign flying permit


 “We are still waiting for final approval for international operations,” said the chief executive. The airline was originally aiming to ply abroad from the end of 2018. Government rules require an airline to have a minimum of 20 planes before this could be allowed. Vistara became eligible last year and had applied the civil aviation ministry in June, with a plan for flights to Bangkok, Phuket, Colombo and Male by the winter schedule of 2018...Read More