Sensex dips 132 pts as RBI cuts FY22 GDP growth; Nifty ends below 15,700

That said, market participants continued to buy stocks in the broader markets after the RBI announced a special, Rs 15,000 crore-liquidity window

3:42 PM

Sensex Heatmap

Top gainers: Bajaj Finserv, ONGC, L&T

Top losers: Nestle India, SBI, HDFC Bank

3:35 PM

CLOSING BELL

The benchmark S&P BSE Sensex tumbled 436 points from the day's high and hit a low of 51,953. It, however, trimmed losses marrginally to settle the day at 52,100 levels, down 132 points or 0.25 per cent.

 

On the NSE, the Nifty50 index dropped 64 points from the record high level of 15,734, touched earlier in the day, to close at 15,670 levels. 

 

3:27 PM

India's forex reserves may have exceeded $600 billion: RBI governor

Reserve Bank of India (RBI) Governor Shaktikanta Das on Friday said India's forex reserves may have crossed record level of USD 600 billion on the back of robust capital flows.

 

As per the RBI's data issued on May 28, the country's foreign exchange reserves rose by USD 2.865 billion to a record high of USD 592.894 billion for the week ended May 21, boosted by gold and currency assets. READ MORE

3:20 PM

50 listed companies 'missing' after raising money, exchange chases them

A number of listed companies are not to be found on their registered address. The stock exchange has also been unable to contact them through other means. These 50 companies had been suspended for violations for more than six months. The BSE had reached out to them with show cause notices in December 2020. READ MORE

3:19 PM

Stocks that hit 52-week high on BSE today in an otherwise volatile market

Company	PRICE(rs)	52 WK HIGH	CHG(%)
Adani Enterp.	1693.35	1713.55	6.93
Adani Total Gas	1642.40	1680.00	1.21
Ambuja Cements	332.30	337.20	-0.34
Bajaj Finance	5995.95	6009.00	1.60
Bajaj Finserv	12141.30	12170.00	2.71

3:14 PM

AMC rides stock roller-coaster after $587-mn share sale to cut debt load

It’s been quite a week for AMC, a company that’s become the king of meme stocks. The stock’s surge has enabled the movie-theater chain to sell equity on more than one occasion to shore up a depleted balance sheet that left AMC staring at potential bankruptcy only a few months ago in the face of the pandemic and brutal competition from streaming services. READ MORE

3:04 PM

BUZZING STOCK:: Indiabulls Housing Finance surges 10%

2:55 PM

HDFC Bank, ICICI Bank, and RIL contribute the most to Sensex's 200-point fall today

2:50 PM

MARKET UPDATE:: S&P BSE MidCap index extends gain

2:50 PM

RBI Policy Reaction :: Subodh Rai, Chief Ratings Officer & Senior Director, CRISIL Ratings

The on-tap liquidity window of Rs 15,000 crore for contact-intensive sectors is a material liquidity boost to companies operating in the hospitality, travel and tourism, and aviation ancillary services sectors, which have been hit hard by the second wave of the Covid-19 pandemic. It is timely because companies in these sectors have been reeling under a demand shock – the current quarter could see a contraction of 30-50% sequentially. They also have high leverage of more than 2.5 times, which reduces their ability to withstand such jolts to demand. This move, and the expanded ECLGS will go a long way in supporting liquidity for contact-intensive sectors.

2:40 PM

Continuing to lend a calming hand, RBI has its job cut out from here on

The RBI’s monetary policy was on expected lines – not merely with respect to the headline policy rates, but also the enablers that the Reserve Bank of India (RBI) has consistently tried to build as a response to the pandemic – that of providing adequate liquidity, managing the government security yields and push credit to segments that are starved of funds. The RBI finds itself in a bit of a challenging situation now whereby the second COVID-19 wave has worsened the growth prospects and once again truncated the recovery process that was evolving during Q3 and Q4 of FY21. READ MORE

2:39 PM

MARKET STRATEGY :: Indices volatile post policy announcement; how to trade ahead?

The June Policy had no surprises in terms of focus, which continues to be revival of sustainable growth conditions. Inflation will play second fiddle for now, till it remains within tolerance levels.

 

Any extreme views on market direction need to be avoided. Our overall portfolio allocation would reflect a neutral bias on rates. The core portfolios of most open-ended debt schemes will operate slightly below the mid points of their duration mandates. The huge steepness in the yield curve along with some select exposures to structured high grade assets will sustain and cushion overall returns in this uncertain environment.

 

We would recommend continued discipline in investor allocations, driven primarily by their holding period considerations. This will ensure that investors capture the curve steepness without getting negatively impacted by interim market volatility. Moderate duration allocations can form the core for now. Rolldown strategies across the yield curve can be considered, but with a clear understanding on required holding periods.

Views by: Amit Triphati,CIO- Fixed Income, Nippon India Mutual Fund

2:31 PM

What does RBI policy announcement mean for the bond market?

There is no doubt in our mind that the RBI wishes to see bond yields trending down. The RBI Governor’s comments during the speech that “We do expect the market to respond appropriately to this announcement of G-SAP 2.0” highlights that point, in our opinion.
 

We believe that the RBI will continue in its efforts of some sort of yield curve control until there are clear signs of revival of economic growth while seeing through recent increase in supply-side inflationary pressures. This could result in some reduction in term premiums on the long end of the sovereign yield curve and potential price appreciation in the medium-term.
 

The RBI has also noted tightening of credit spreads across the high-quality corporate bond yield curve in FYTD22. This can be attributed to sharp increase in demand for quality bonds and decline in supply due to reduction in economic activities and distribution of credit flows. We expect credit spreads to remain tight until H2FY22 when we expect economic activities to normalize.

-- Edelweiss AMC

2:28 PM

RBI policy: No explicit time frame for continuation of accommodative stance

The Committee has kept the repo rate unchanged at 4 per cent in its second policy review for FY22, in line with the primary mandate of ensuring that the CPI inflation remains within a band of 2-6 per cent, while supporting growth. It has also decided to maintain the accommodative stance, for as long as necessary to durably revive and sustain growth and mitigate the economic impact of the pandemic, while ensuring the CPI inflation remains within the target. READ MORE

Aditi Nayar, Principal economist ICRA

2:18 PM

BoI posts Q4 profit of Rs 250 cr versus Rs 3,571 cr loss a year ago

Public sector lender Bank of India (BOI) posted a net profit of Rs 250 crore in the fourth quarter ended March 2021 (Q4FY21) on a rise in other income and dip in provisions for bad loans.

 

It had posted a loss of Rs 3,571 crore in the quarter ended March 2020 (Q4FY20). For the full financial year FY21, it posted a net profit of Rs 2,160 crore, as against loss of Rs 2,957 crore in FY20. READ MORE