Nifty Auto index was up over half a per cent.
Share Market News Today | Sensex, Nifty, Share Prices LIVE: Domestic equity market benchmarks BSE Sensex and Nifty 50 gave up all the morning gains post RBI policy announcement on Friday. BSE Sensex gave up 52,200, while Nifty 50 fell below 15,700 after surging to a new record high in morning deals. ONGC, L&T, Tech Mahindra, Mahindra & Mahindra, Power Grid Corporation of India, Bharti AIrtel, UltraTech Cement were among top Sensex gainers. Nestle India, Hindustan Unilever Ltd (HUL), SBI, HDFC Bank, Titan Company, RIL stocks capped Sensex gains. The Nifty sectoral indices mostly negative, with Nifty Pharma index down 0.36 per cent per cent, leading the laggards. Nifty Auto index was up over half a per cent.
The monetary policy committee of the Reserve Bank of India kept the repo rate unchanged at 4 per cent while the reverse repo rate at 3.35 per cent. It has also decided to continue with an accommodative stance. RBI had kept the policy rates unchanged in the last MPC meeting held in April this year.
While the sector has been severely impacted in the second lockdown, the problems have been aggravated with a considerable rise in the cost of raw materials such as steel and cement. In such a scenario, an unchanged repo rate makes more sense than an increased one which would have added more pressure on the sector. However, we also need to be mindful of the impact on prospective home-buyers due to the uncertain conditions. This set of buyers are apprehensive in coming ahead and have instead chosen to wait to buy a home. There is a need for stimulant policy measures that would enhance liquidity for the sector, ease credit provisions and increases buyer’s confidence. Any announcements in these forms would have been much appreciated Surendra Hiranandani, Chairman and Managing Director, House of Hiranandani
Hotel stocks such as Indian Hotels, Lemon Tree Hotels, EIH Associated Hotels, HLV surged up to 20 per cent after the Reserve Bank of India (RBI) Governor Shaktikanta Das announced liquidity support to contact intensive sectors like the Hotel industry. Das announced a separate liquidity window of Rs 15,000 crore to mitigate the adverse second COVID wave impact on certain contact-intensive sectors such as hotels and restaurants.
MPC meeting outcome was mostly in-line with expectations as RBI, in addition to maintaining status quo about policy rates, focused upon ensuring sufficient liquidity in the system and supported MSMEs and corporate hit in second wave. Special liquidity of Rs160bn for SIDBI to support SMEs and increased on-tab liquidity support of Rs150bn to banks for offering three years tenor of loan to contact-intensive sector augur well to spur economic activities in coming months. Further, incremental bond purchase of Rs400bn on 17th June’21 under G-SAP 1.0 and Rs1.2 trillion in 2QFY22 under G-SAP 2.0 augur well. In our view, reduction in real GDP target for FY22E from 10.5% to 9.5% was mostly on expected line. However, moderate increase in inflation target could be a near term overhang, but it remains under RBI’s reference range. Binod Modi, Head Strategy at Reliance Securities
Reserve Bank of India's decision to keep key policy rates unchanged is in line with our expectation. We appreciate the accommodative stance of the RBI given the tough times the nation is going through with the onset of the second wave of COVID19 pandemic. Although the downward revision of GDP growth forecast for FY22 to 9.5% from 10.5% earlier is a dampener, it reflects the current economic challenges. GSAP 2.0, under which the RBI has proposed to buy government securities worth 1.20 lakh crore rupees in Q2 will open the floodgates of liquidity and is a welcome step. Ravindra Sudhalkar, CEO, Reliance Home Finance
RBI Governor Shaktikanta Das announced a special liquidity facility of Rs 16,000 crore to SIDBI in order to support MSMEs
RBI Governor Shaktikanta Das said that under Resolution Framework 2.0, coverage of Covid 2.0 recast scheme from Rs 25 crore to Rs 50 crore will cover more MSMEs and small businesses
CPI inflation is very much in the target range of the Reserve Bank of India, so at this juncture, accommodative policy with a status quo in the key policy rates is welcome. Expecting an appropriate cut in repo rate in the next review by RBI as depressed demand has to be rejuvenated with enhanced liquidity for businesses and people. Sanjay Aggarwal, President at PHDCCI
RBI maintains accommodative stance, keeping all rates unchanged. vowing to keep conditions as supportive as possible to revive growth. Impact of second wave on inflation could be handled through supply side measures. The policy bodes well for financial assets as well as the real economy, growth and employment as RBI has again stated its resolve to maintain conducive conditions to support durable growth. The policy is pragmatic, at the same time progressive and preemptive in its approach. Sandeep Bagla, CEO Trust AMC
To mitigate the COVID-19 second wave impact on certain contact intensive sectors, a separate liquidity window of Rs 15,000 cr has been opened till March 31, 2022 with tenors of up to 3 years at the repo rate
RBI Governor Shaktikanta Das said that RBI will conduct next leg of G-SAP worth Rs 40,000 crore on June 17, 2021. Of this, Rs 10,000 crore would be part of State Development Loans (SDL)
Foremost endeavour of RBI through the pandemic has been to create conducive financial conditions, so that fin institutions and market continue to function normally
The Reserve Bank of India reduced Q1FY22 GDP forecast to 18.5 per cent from the earlier estimate of 26.2 per cent
Shaktikanta Das said that FY22 real GDP seen at 9.5 per cent. CPI Inflation projected at 5.1% in 2021-22, 5.2% in first quarter; 5.4% in second-quarter; 4.7% in third quarter; and at 5.3 per cent in fourth quarter
BSE Sensex surged to a day's high of 52,389 levels after RBI announced to keep interest rates steady and stance accommodative
RBI Governor Shaktikanta Das said that the forecast of normal monsoon, the resilience of farm economy, gathering global economic recovery can provide tailwinds to the domestic economy as COVID-19 second wave recedes
RBI Governor Shaktikanta Das said that data suggests that India's FY21 GDP contracted 7.3 per cent
Nifty 50 index surged higher to a new record high of 15,730 on Friday, after RBI announced to keep the repo rate unchanged at 4%
The Reserve Bank of India's monetary policy committe continues with 'accommodative' stance
The Reserve Bank of India (RBI's) Monetary Policy Committee maintained the repo rate at 4%
The Nifty is trading above 15700 this morning. It is all poised to achieve 15900-16000 as it's next target. The index has a good support at 15300 and as long as we can respect that, every dip can be utilized to buy into this market. Intra day profit booking or mild corrections cannot be ruled out. Hence traders should look at dips to accumulate long positions so that the risk reward ratio is favorable. Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments
Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold and silver prices were trading in the negative territory on Friday as yellow metal in international markets fell to near two-week low on upbeat US economic data. On MCX, gold August futures were trading Rs 55 down at Rs 48,622 per 10 gram, against the last close of Rs 48,677. Silver July futures also fell Rs 162 or 0.23 per cent to Rs 70,648 per kg.
Whenever investors see the Indian Rupee weakening, they unwind carry trades and that results in a sharp fall in the premiums. Yesterday was an odd day when Rupee appreciated up to 72.90 and 1-year premiums fell too up to 313 paise. The 1-year forward rates fell to the lowest when the USDINR pair was at 72.31 last week. Probably, traders unwounded their position heavily ahead of the RBI meet. Expectations are high that RBI will keep the policy interest rates unchanged, announce bond-buying programs and some measures to support affected industries. That apart, RBI’s comments on growth outlook and inflation will be watchful, thereby keeping the rupee under pressure. Amit Pabari, managing director, CR Forex Advisors
The Nifty sectoral indices mostly negative, with Nifty Pharma index down 0.36 per cent, leading the laggards. The nifty Auto index was up over half a per cent.
Nestle India, Hindustan Unilever Ltd (HUL), SBI, HDFC Bank, Titan Company, RIL stocks capped Sensex gains
ONGC, L&T, Tech Mahindra, Mahindra & Mahindra, Power Grid Corporation of India, Bharti Airtel, UltraTech Cement were among top Sensex gainers
BSE Sensex was trading flat with a negative bias at 52,251 while the Nifty 50 index was trading just below 15,700 on Friday ahead of RBI MPC decision.
The government will have to do its bit to help for a faster recovery and start spending at the earliest, Axis Bank’s chief economist Saugata Bhattacharya said on Thursday, estimating the FY22 GDP growth to come at between 9.5-10 per cent.
Indian equity markets likely open on a flat note looking at global trends. Asian equity markets fell this morning and SGX Nifty also indicates a flat opening. Key support levels for the near term remain at 15,500 and 15,300. All eyes shall be at today's RBI MPC's stance on interest rate change and policy guidance. Stocks to be watched are Bharat Forge, MOIL, PNB, Bank of India and NIIT ahead of the result announcement. Mohit Nigam, Head, PMS - Hem Securities
COMEX gold trades modestly lower near $1869/oz. Gold has fallen sharply as upbeat US economic data has pushed US dollar index and bond yields higher while adding to debate that Fed may tighten monetary policy. US equity markets have also stabilized on President Biden’s tax proposal. Gold's sharp up move in last few weeks has made it vulnerable to profit taking which may extend further if US dollar strengthens further. Ravindra Rao, CMT, EPAT, VP- Head Commodity Research at Kotak Securities
BSE Sensex was trading 100 points up at 52,322 while Nifty 50 index reclaimed 15,700 levels in the pre-opening session on Friday, ahead of RBI MPC decision.
A total of 34 BSE-listed companies including Punjab National Bank, Bank of India, Bharat Forge, MOIL, Balkrishna Paper Mills, Jubilant Pharmova, NIIT, Paisalo Digital, Pennar Industries, Simbhaoli Sugars, and Varroc Engineering, are scheduled to announce Januray-March quarter earnings
There are not many in the crypto world who would like to adjust to the stratospheric rise in cryptocurrencies on a given day and heartbreaking crashes the very next day. And very few would imagine accessing Bitcoin right through an accessory as common as a wristwatch to showcase opulence of the highest order. The Swiss watchmaker Franck Muller had last year in May turned it into reality when it unveiled the world’s first functional Bitcoin watch called Encrypto for users to add Bitcoin to their crypto wallet or check balance directly through the watch’s dial via a QR code nestled into its polished frame.
In overnight trade on Wall Street, US stock indices ended lower. The S&P500 index fell 15.27 points, the Dow Jones Industrial Average index dropped 23.34 points, and the tech-heavy Nasdaq lost 141.82 points.
Asian stock markets were trading mostly lower with Japan Nikkei 225 falling 0.72 per cent. The Topix index shed 0.39 per cent and South Korea’s Kospi lost 0.77 per cent.
The Reserve Bank of India’s Monetary Policy Committee began its bi-monthly deliberations on Wednesday amid expectations of keeping a status quo on repo and reverse repo rates due to uncertainty over the impact of the second COVID-19 wave. The monetary policy outcome will be announced on Friday, June 4, 2021. Analysts at CARE Ratings expect no change in the repo or reverse repo rate. They also believe that accommodative monetary policy stance would be maintained to address economic growth concerns.
Market LIVE: Nifty falls from record high, Sensex gives up gains post RBI policy; RIL, HDFC Bank fall - The Financial Express
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