Good morning. Ah. The weekend. When you can sip your morning coffee and read your favourite Indian newsletter without everything being on fire. Least not until Monday.

In this edition:

• 📉 Silvergate stocks plummet as crypto clients pull out

• 📈 India’s service sector hits highest PMI in 12 years

• 📱 Foxconn is planning a new $700M plant in India

MARKETS

*Stock data as of market close. Source.

Markets: India's benchmark stock index, the Nifty saw a recent upswing. However, the index's performance at the crucial 17,600 level will be key to sustaining the upward momentum. Investors are keeping a close eye on market trends.

CRYPTO

Crypto clients abandon Silvergate Bank, causing stock value to halve

📉 Silvergate Bank's share price has fallen more than 50%, hitting an all-time low, after the bank announced it would have to review its books with its auditors and warned of several headwinds. Here's what you need to know:

The Fallout

• Coinbase, Circle, Paxos, Crypto. com, Bitstamp, Cboe Digital Markets, Galaxy Digital, and Gemini have all announced they would suspend Automated Clearing House (ACH) transfers and other business operations with the bank.

• Only Kraken appears to be continuing to use Silvergate Bank at this time.

Warning Signs

• On Wednesday, Silvergate Bank disclosed that it would postpone submitting its annual 10-K because it needed to respond to inquiries from its independent auditors and accounting firm.

• The bank issued a warning about potential probes from regulators and the US Department of Justice.

The Impact

• In response to the news, the vast majority of Silvergate Bank's crypto industry clients have either left or are in the process of leaving the company.

• Following the news, Bitcoin’s price slipped by 5% in just an hour amid the uncertainties around Silvergate.

TECH

India's services sector on the rise with fastest pace in 12 years

📈 In exciting news for the Indian economy, the country's services sector grew at its fastest pace in 12 years in February. India's Services Purchasing Managers' Index (PMI) rose to 59.4 in February, up from 57.2 in January.

This marks the fastest rate of expansion in the services sector since 2011. The figures, produced by a private business survey, exceeded the expectations of a poll from Reuters and business forecasts elsewhere.

What's Driving the Growth:

• According to experts, the uptick in business activity is due to a combination of factors, including a rebound in demand and the easing of COVID-19 restrictions.

• In particular, the hospitality and tourism sectors have seen a boost in activity as travel resumes and consumers feel more confident spending money.

BUSINESS

Apple partner Foxconn blueprints $700M plant in India

📱 Taiwan-based electronics manufacturer Foxconn, a key partner of Apple Inc., has announced plans to invest $700 million in building a new plant in India as part of its ongoing shift away from China. The move comes as tensions between the US and China continue to simmer, leading many multinational companies to reassess their supply chains and look for alternative manufacturing locations.

A prop for India's manufacturing industry. The new facility is expected to create thousands of jobs and bolster India's position as a major player in the global manufacturing landscape. India has been actively courting foreign investment in recent years, particularly in the wake of the Covid-19 pandemic, which has highlighted the risks of overreliance on a single manufacturing hub.

A Win-Win Situation? The move to India could also prove beneficial for Apple, which has faced criticism in recent years for its heavy reliance on Chinese manufacturers. By diversifying its supply chain and expanding into new markets, the tech giant could reduce its exposure to geopolitical risks and strengthen its position in the global market.

INDIA EDITION: WHAT ELSE IS ON THE BIRDWATCH

• 💸 Adani announces first raise after Hindenburg bash. Adani Group has announced it secured $1.87B in investment from Florida-based GQG Partners. The asset management firm has purchased shares in four of the group's companies, according to Adani's statement to investors.

• 🚌 Return of the CNG Buses. The Brihanmumbai Electric Supply and Transport (BEST) has announced plans to bring back 400 Compressed Natural Gas (CNG) buses to the streets of Mumbai, following a hiatus caused by recent fire incidents.

• 🏏 ICC rates pitch in India-Australia Test match as “poor” with concerns raised over balance between bat and ball. Former players criticize the pitch for being excessively dry and favoring spinners, leading to uneven bounce throughout the match. The Board of Control for Cricket in India has two weeks to appeal against the sanctions.

FUNDING DEALS

Catch up on the Indian funding flows from the past 24hrs:

• Evera, an Indian EV cab service provider, has successfully raised $7M in funding, jumping on the right track to electrify the transportation sector in India.

• B Capital, the venture capital firm co-founded by Indian-American entrepreneur Raj Ganguly, has announced the closure of its first healthcare-focused fund, with a corpus of $500M.

• What's Up Wellness, the Indian health and wellness startup that caught the attention of Shark Tank India judges, has successfully raised Rs. 60 lakh in funding

WORLD

Headline Explorer

🇬🇧 The UK’s warming up the hub for Indian workers. The UK government has launched a new migration scheme aimed at attracting top tech talent from India. The scheme will allow Indian tech workers to apply for a fast-track visa to work in the UK for up to two years.

🦁 Brave hops onto AI bandwagon. Brave, the privacy-focused web browser, has announced the launch of a new AI-powered search engine called Brave Summarizer. The tool uses natural language processing (NLP) technology to summarize web pages and provide users with a quick and easy way to find the information they need.

🛰️ China launches Starlink competitor. SpaceX's Starlink may face tough competition from China's latest satellite, which promises to provide high-speed internet to remote regions. The satellite, called "Shiyan-9" was successfully launched into orbit earlier this week

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