!1 New UpdateClick here for latest updates
BSE SMALLCAP index beats benchmark Sensex
Here are the top gainers & losers from the pack
Rakesh Jhujhunwala ups stake in this PSB, trims holding in Wockhardt
- Ace investor Rakesh Jhunjhunwala has increased his stake in state-owned lender Canara Bank during the March 2022 quarter whereas he has trimmed his stake in pharma player Wockhardt, the latest shareholding suggests. According to the latest filing from the lender, the Dalal Street veteran has bought 65 lakh shares of Canara Bank during January-March 2022 period to increase his stake to 3,55,97,400 shares or 1.96 per cent by Q4FY22.
- In Wockhardt, the big bull has cut his stake to 2.08 per cent in March 2022 quarter from 2.26 per cent in December 2021 quarter. However, the number of shares held changed following the rights issue of the company in March 2022.
After 3 years, we are now prioritizing inflation over growth: RBI Das
- Capacity utilisation has improved but there is still an output gap
- HDFC merger proposal being examined, don’t want to comment on individual cases
- We quickly investigate any complaints regarding digital lending
The RBI policy on keeping the repo rate unchanged reflects the need to balance growth vis – a – vis inflation. Having said this, the RBI does not downplay the inflation risks and understands that the monetary policy will be less accommodative. It would however, be worthwhile to note that this is a very courageous call by the RBI, especially when everyone around the world is increasing interest rates.
– Vivek iyer- Partner and leader , Financial services risk, Grant Thornton Bharat
Top 5 gainers on NSE in afternoon session
Price as on 08 Apr, 2022 12:34 PM, Click on company names for their live prices.
In the first monetary policy for the financial year 2023, the RBI has kept key policy rates unchanged and maintained its accommodative stance to revive growth. Despite a strong economic recovery and a less disruptive Omicron wave, the geopolitical tensions, supply chain disruptions, commodity inflation, and oil prices sky-rocketing, RBI revised its inflation estimates for FY23 upwards to 5.7% from 4.5% earlier. GDP growth is likely to be impacted and expected at 7.2% for FY23 (vs 7.8% earlier). We believe, over the medium-term, policy rates are likely to gradually inch up.
– Naveen Kulkarni, Chief Investment Officer, Axis Securities on RBI’s MPC announcement
“The policy decisions are in line with our expectation on repo rate and stance. The rate corridor has now effectively reduced to 25 bps compared to 65 bps earlier. The SDF window will become the new floor at 3.75% even as reverse repo rate is at 3.35%. The policy has decidedly shifted away from being dovish. RBI’s concern on inflation has increased significantly especially with the FY2023 average inflation estimate revised up to 5.7% from 4.5%. The concern on growth is relatively lower in this policy even as FY2023 GDP growth estimate has been lowered to 7.2% from 7.8%. Commitment has also been made to start withdrawal of liquidity from FY2023 and over the next few years. This policy strengthens our view that the first repo rate hike will be in the August policy. We expect the stance to be changed to “neutral” from “accommodative” in the June policy.”
– Suvodeep Rakshit, Senior Economist, Kotak Institutional Equities
Sterling and Wilson Renewable Energy jumped 8% on Friday as investors took heart from the fact that the energy firm reported a narrower net loss in Jan-Mar than a year ago. The company posted a loss of Rs 126.61 crore for the quarter ended March 2022, which narrowed from a loss of Rs 344.80 crore reported in the same period last year.
Price as on 08 Apr, 2022 11:54 AM, Click on company names for their live prices.
The policy left key rates unchanged, however has introduced SDF ( standing deposit facility ) at 3.75% this effectively means the overnight rates will Have a floor of 3.75% ( rise by 40bps) This policy, in some sense, is a Segway to tightening policy rates in the coming months. Expect yields to rise across the curve to reflect the policy stance. Key to see for longer end of The curve is if RBI actually walks the talk by Announcing OMO/ OT to anchor long bond yields.
– Lakshmi Iyer, Chief Investment Officer (Debt) & Head Products, Kotak Mahindra Asset Management Company
Ruchi Soya FPO investors make 36% profit at listingRuchi Soya Industries’ new equity shares, issued in the follow-on public offering (FPO), were listed on the exchanges on Friday. The investors, who were allotted shares in the public offering, made a profit of 36% as the counter hit Rs 882.55 on Friday, compared to its issue price of Rs 650.
Price as on 08 Apr, 2022 11:44 AM, Click on company names for their live prices.
The 40 bps hike in reverse repo rate was ahead of consensus expectations. The downward revision of GDP growth rate and upward revision of retail inflation were expected. The RBI is now anticipating much faster rise in inflation than earlier. The monetary policy stance, however, remains accommodative by normal standard. The RBI is also trying to flatten the yield curve by pushing the short-term rates higher and taking measures to ensure that the yield on long dated securities do not rise much. With today’s measures RBI has moved to the path of gradual increase of policy interest rate and phased withdrawal of liquidity. From a medium term perspective, the measures are supportive of growth, price stability and orderly development in the financial markets.
– Sujan Hajra, Chief Economist and Executive Director, Anand Rathi Shares & Stock Brokers
Infosys, Wipro up; rest in the red in Nifty IT index
Price as on 08 Apr, 2022 11:37 AM, Click on company names for their live prices.
Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services on RBI MPC decision
Recognising the new reality of higher crude triggered by the war the RBI, as expected, reduced the FY23 GDP growth rate projection to 7.2 percent from 7.8 percent earlier and raised the CPI inflation projection for Fy 23 to 5.7 percent from 4.5 percent earlier. This is based on the assumption of crude at $100. This implies that growth and inflation can be better if crude declines sharply if the war hopefully ends early. The reverse can be true if the war aggravates and crude spikes much abovd $100.
The Governor rightly emphasized India’s macro strengths pointing to the improvement in the external situation helped by the record exports, ample forex reserves of $608 billion and strengthening of the financial sector. A new tool introduced by the central bank is the SDF ( Standing Deposit Facility) to absorb liquidity. SDF will be the floor of the LAF corridor.
RBI will engage in gradual, multi-year withdrawal of Rs 8.5 lakh crore excess liquidity in system
– Governor Das
Realty stocks mixed amid RBI policy announcement
Price as on 08 Apr, 2022 10:38 AM, Click on company names for their live prices.
To withdraw liquidity over a multi-year period
– RBI Governor
Expect CAD to remain at sustainable levels despite surge in crude: RBI Governor
Forex reserves stand at $606.5 billion
From 18th April, bond, FX money market trade to start from 9 am again
– Shaktikanta Das, RBI Governor
ALERT: Rupee surges 21 paise to 75.82 against US dollar amid RBI maintaining status quo on benchmark lending rate
RBI Policy live updates: CPI inflation seen at 5.7% FY23 (vs 4.5% earlier)
- CPI inflation seen at 6.3% Q1
- CPI inflation seen at 5% Q2
- CPI inflation seen at 5.4% Q3
- CPI inflation seen at 5.1% Q4
Sensex tumbles as RBI cuts growth forecast by 60 bps
JUST IN: 10-year bond yield rises to 7%
> Bond yield highest since 2019
RBI Policy Live updates: FY23 real GDP growth seen at 7.2% (Vs 7.8% earlier)
- Q1 GDP growth seen at 16.2%
- Q2 GDP growth seen at 6.2%
- Q3 GDP growth seen at 4.1%
- Q4 GDP growth seen at 4%
- FY23 growth estimate assumes crude oil at $100 per barrel
RBI Policy Live: Indian economy is steadily reviving from pandemic-led contraction: Shaktikanta Das
Inflation projected higher, growth lower than February
– Shaktikanta Das, RBI Governor
LAF corridor shrunk to 50 basis points: RBI Governor
- New Standing Deposit Facility instituted; rate set at 3.75%
RBI Policy Impact: BSE Bankex recovers from day’s low
- After RBI held rates, banking index bounced back into the green, with only HDFC Bank as the loser
Sensex today live: Index jumps sharply as RBI holds rate unchanged at 4%
MPC votes to keep repo rate unchanged at 4%
- MPC voted unanimously to retain accommodative stance
Money Policy Live: Conflict in Europe has potential to derail global economy, says Governor
- India reassured by strong buffers, including large FX reserves
- Confronted with new, but humungous challenges
- RBI actions nimble and well-timed
- Extreme volatility characterise commodity, financial markets
WATCH: Ruchi Soya FPO shares make debut on D-Street
WATCH | #RuchiSoyaFPO shares make their debut on the bourses. We get you the visuals from the listing ceremony… https://t.co/DHdUC2g5nZ
— ET NOW (@ETNOWlive) 1649390279000
Market live updates: Check out the most active stocks on NSE in early trade
Price as on 08 Apr, 2022 09:41 AM, Click on company names for their live prices.
How can today’s MPC outcome impact Street?
The MPC will certainly raise inflation targets for FY 23 and flag inflation concerns. This will have a short-term negative sentimental impact on rate sensitives. Segments like telecom, IT, pharma and metals which are unlikely to be impacted by higher inflation are in a safe zone. Crude softening to around $100 is a positive while FIIs again turning sellers will provide ammunition to the bears.
— Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services
Block deal in Bandhan Bank; 3% equity exchanges hands
- Media reports suggest HDFC likely seller
- HDFC needed to pare stake to below 5% in light of recent merger
Ahead of board meet, these Adani Group stocks trade higher
Price as on 08 Apr, 2022 09:22 AM, Click on company names for their live prices.
Market live updates: Barring realty, all sectors trade in the green in opening session on NSE
Sensex Heatmap: 24 of 30 stocks trade higher
Top losers: M&M, IndusInd Bank, TechM
OPENING BELL: Sensex rises 200 points, Nifty above 17,700; Ruchi Soya jumps 5%, Adani Green 4%
Pre-open session: Sensex gains 255 points, Nifty above 17,650
SGX Nifty signals a muted start
Nifty futures on the Singapore Exchange traded 16 points, or 0.09 per cent, higher at 17,754.50, signaling that Dalal Street was headed for a flat start on Thursday.
Asian markets open lower
Asian shares opened on the back foot Friday morning, extending a selling-off this week fuelled by concerns about the Federal Reserve’s plans to aggressively tighten monetary policy to fight inflation. MSCI’s index of Asia-Pacific shares outside Japan was down by 0.13 per cent. Japan’s Nikkei tumbled 0.44%; South Korea’s Kospi dropped 0.33%; Australia’s ASX 200 gained 0.55%, China’s Shanghai retreated 0.06% and Hong Kong’s Hang Seng plunged 0.77%.
Tech View: Nifty weakness may continue
Nifty50 on Thursday fell for the third straight session. It formed a small bearish candle on the daily chart and a lower high-low for the third session. The index may continue with its weakness if the index falls below 17,600 level, said analysts. In such a case 17,400 level is likely, they said. A reasonable negative candle was formed on the daily chart with minor upper shadow, said Nagaraj Shetti of HDFC Securities, who said the pattern indicate a continuation of weakness in the market.
Dollar inches up to new two-year peak
The dollar extended a squeeze higher on Friday, reaching a new near two-year peak against a basket of peers and a one-month high versus the euro, supported by the prospect of a more aggressive pace of Federal Reserve interest rates hikes. The dollar index rose as high as 99.904 in early Asia trade, its best level since May 2020.
US stocks settle higher
The S&P 500 ended higher on Thursday, with Pfizer and Tesla fueling a late-session rally while investors eyed the war in Ukraine and a potentially more aggressive Federal Reserve. The Dow Jones Industrial Average rose 0.25% to end at 34,583.57 points, while the S&P 500 gained 0.43% to 4,500.21. The Nasdaq Composite climbed 0.06% to 13,897.30.
Rupee falls 19 paise to 76.03 against dollar
The rupee declined 19 paise to close at 75.95 (provisional) against the US dollar on Thursday as the hawkish stance of the US Federal Reserve affected investor sentiments in global markets and bolstered the American currency. A negative trend in domestic equities and elevated oil prices amid the Russia-Ukraine conflict added to the woes, forex traders said.
Sensex, Nifty on Thursday
Declining for the third straight session, Sensex tumbled over 575 points on Thursday, tracking heavy losses in index-heavyweights HDFC twins, TCS, and Reliance Industries amid a selloff in global equity markets. The 30-share gauge slumped 575.46 points or 0.97 per cent to settle at 59,034.95. During the day, it plunged 633.06 points or 1.06 per cent to 58,977.35. The broader Nifty-50 also declined 168.10 points or 0.94 per cent to close at 17,639.55.
Good morning, dear reader! Here’s something to kickstart your trading day
