TMSEp396: US Fed rate hike, Bisleri, air pollution, Credit Suisse AT1 bonds

Notwithstanding the banking crisis in the US, the Federal Reserve went ahead with its planned rate hike of 25 basis points or bps on Wednesday. However, this time the central bank sounded less hawkish and left its target Fed funds rate unchanged. Fed officials also anticipate that the banking turmoil will tighten credit availability and impact consumer demand in the US. This could help ease the inflationary heat. So, how will this dictate the Reserve Bank of India’s or RBI’s rate hike trajectory and the equity markets? 
 

Bottled water company Bisleri was almost destined to go to the Tata Group. However, both the sides recently said that the Rs 7,000-crore deal is off the table. One of the most famous brands in India, Bisleri is now moving forward with its new leadership. So, what next for Bisleri? 

Mumbai has been in the news for an unenviable reason lately. With a majority of its January days registering “poor” and “very poor” on the Air Quality Index, Mumbaikars have been left gasping for breath as cases of respiratory ailments soared. But India’s financial capital isn’t the only one. The air in the Delhi-NCR region remains among the most polluted in the world. Cities like Kolkata, Bengaluru and others are also on the list. So, why are Indian cities unable to solve their air pollution problem? 

The takeover of Credit Suisse by the UBS Group has been a hot topic for the last two weeks. Last week, after the deal, Swiss authorities and UBS Group announced that they are writing off $17 billion worth of AT1 bonds of Credit Suisse, leaving investors in a fix. But what are these AT1 bonds and why are investors so worried? Listen to this episode of the podcast for answers.