Stock markets in India are presently trading marginally higher. Sectoral indices are trading on a mixed note with stocks in the metal sector and auto sector witnessing maximum buying interest.
The BSE Sensex is trading up 24 points (up 0.1%) and the NSE Nifty is trading up 13 points (up 0.1%). The BSE Mid Cap index is trading up by 0.6%, while the BSE Small Cap index is trading up by 0.9%. The rupee is trading at 64.71 to the US$.
In a recent development under GST, the government has warned that legal action will be taken against manufacturers for not printing the revised maximum retail price (MRP) post the rollout of GST.
As per an article in the Economic Times, Food and Consumer Affairs Minister Ram Vilas Paswan said the government has allowed three months' time till September to reprint the revised MRP with the implementation of the landmark Goods and Services Tax (GST).
With GST being implemented from this month, things are rolling at a fast pace and for the betterment of the economy. One of the major changes GST brings is making it difficult for the unorganised sector to get away with underreporting and cheating.
With the changes in GST, the unorganised sector is forced to report and pay taxes on everything they sell. And this development is set to give a big boost to the organized sector.
As we wrote in yesterday's 5 Minute WrapUp:
The above shift towards the white economy bodes well for all stakeholders including businesses, consumers, and the government.
While there may be short term hiccups in the implementation of GST, we believe the positives will far outweigh the negatives in the long term.
One of the short-term pain being witnessed is the slowdown in India's manufacturing sector.
As per the data, the growth in India's manufacturing sector fell to a four-month low in June amidst a slowdown in new order and production ahead of the implementation of the goods & services tax (GST).
The Nikkei India Manufacturing Purchasing Managers' Index (PMI) slipped to 50.9 in June from 51.6 in May, as can be seen from the chart below:
However, on a brighter side, the PMI survey showed strong foreign demand for Indian-manufactured products in June.
Also, with the impact of demonetisation largely over, Pollyanna De Lima, Economist at IHS Markit and the author of the report, does not expect GST to derail consumer spending and has forecast real GDP growth at 7.3% for 2017-18.
In other news, the government has proposed to set up a registry of unique identification numbers - a central system where carriers can share information on stolen or lost devices and prevent them from getting reactivated even if the SIM is changed.
With this, the government is looking forward for consumers to safeguard their mobile phones and private data on them from theft.
The move comes just in time as we see rising frequency and magnitude of cyberattacks.
One must note that the threat of cyberattacks is real. They can take down businesses and governments...and compromise national security. They can sabotage your personal finances...and spy on your private information.
And its important you take specific steps to protect yourself from the above cyberattacks. Our latest premium edition of The 5 Minute WrapUp highlights six simple steps to stay safe online and protect yourself from the above threats. You can read it here (subscription required).
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