Oil prices rose for the fifth straight week due to the increase in demand as global economies continue to rebound. Brent crude's August futures gained 0.3%, to $76.40 a barrel, while US WTI for August was trading at $74.30 a barrel.
With this, oil prices have climbed to the highs of October 2018 as OPEC has continued to maintain production cuts. Crude prices are also on a boil over the halted nuclear deal with the United States and Iran. It is delaying the entry of Iran into the crude market.
The upcoming meeting between OPEC and its allies is going to be crucial. The group has scheduled its meeting for July 1, and global markets are expecting them to ease restrictions and increase production. The US and Iran are also looking to revive their negotiations over Iran's nuclear deal. It is crucial to increase the supply and reduce global crude prices.
Union Minister Piyush Goyal has called out e-commerce giants for flouting Indian laws and accused them of arrogance. The minister also warned them against using muscle or money power and instead follow the laws of the land. He also called out their practices for being detrimental to mom and pop stores and hurting the interest of domestic consumers.
Several retail outfits and commerce bodies have repeatedly filed complaints against e-commerce companies. The complainant has accused e-commerce players of favouring selected sellers on their platforms. Thereby, creating an uneven playing field and also limiting the choices of the consumers.
They have also accused e-commerce players of controlling inventory by creating a web of subsidiaries which is a clear violation of Indian laws.
The government had passed laws in 2019 to curb the unfair practices of all e-commerce firms. But, they apparently managed to find their way around those rules and continued with their unfair trade practices. The government, in response, has again proposed new stringent laws and passed a new draft bill last week to streamline the market.
Bad Bank's Pile of Bad Debt
India's experiment with 'Bad Bank' is expected to begin with the stressed debt of Rs 2 lakh crore on its book. Bad Bank is likely to commence its operation by the end of June or the first week of July.
The entity is expected to house about a quarter of the nation’s non-performing debts. And help in achieving speedy resolution of these assets.
While the Bad Bank's intention is noble, it is unlikely to create an immediate impact. India needs to address the concerns around its insolvency law, which have lost its credibility due to the constant delays in closing cases. These laws need to develop more teeth for Bad Bank to be effective.