Monday, March 03, 2025 | 12:04 AM ISTहिंदी में पढें
Business Standard
Notification Icon
userprofile IconSearch

Rate-sensitive stocks rebound; Maruti Suzuki hits record high

HDIL, Indiabulls Real Estate, IndusInd Bank, BOI, M&M and Maruti Suzuki were up more than 3% each on the NSE.

Rate-sensitive stocks rebound post RBI policy; Maruti Suzuki hits record high

SI Reporter Mumbai
Shares of interest rate-sensitive sectors such as banking, real estate and autos have moved higher by up to 11%, bouncing back over 15% from their intra-day’s low after the Reserve Bank of India (RBI) surprisingly cut interest rates by 50 bps against the expectation of 25 bps.

Housing Development & Infrastructure (HDIL), Indiabulls Real Estate and DLF from the real estate, IndusInd Bank, Bank of India, Oriental Bank of Commerce and IDBI Bank from banking, Mahindra & Mahindra and Maruti Suzuki India from the automobile sector were trading higher by more than 3% each on the National Stock Exchange (NSE).

At 02:12 pm, Bank Nifty, the banking shares index, was up 2% or 362 points at 17,461, recovering 813 points or 5% from its intra-day low of 16,648 touched before the meet. CNX Realty index was up 3%, while CNX Auto up 2% compared to 1.6% rise in the CNX Nifty.

Among the individual stocks, HDIL has rallied 11% to Rs 73.65, bouncing back nearly 16% from its intra-day low of Rs 63.70 on the NSE.

Maruti Suzuki India has moved higher by 4.5% to Rs 4,740, also its record high on the NSE. The stock recovered 6% from its intra-day low of Rs 4,467 touched before RBI policy meet.

The rate cut should help boost the sentiment in the Indian markets which have staged a sharp recovery, said Ms Nitasha Shankar, Vice President - Research, YES Securities.

"With CPI and WPI numbers very much within comfort zone and industrial growth not picking up, RBI’s 50 bps cut in policy rate is a decisive pro-growth move and is welcomed,” said Mr. Sunil Kanoria, Vice-Chairman, Srei Infrastructure Finance Limited.

“There is still an air of uncertainty on both external and domestic fronts. The timing of a Fed rate hike and how global economy will react to it, still remain unknown. How the monsoons will influence India’s inflation levels, will be realized only with a lag. Hopefully, this is the beginning of a series of rate cuts by RBI. However, rate cuts by RBI need to be supplemented by administrative reforms by the government to restart the growth cycle,” adds Kanoria.
 
 

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Sep 29 2015 | 2:25 PM IST

Explore News