[ad_1]
Shares of rate sensitive sectors such as financials including banks, non-banking finance companies (NBFCs), housing finance companies (HFCs) and micro-finance institutions (MFIs), real estate and automobiles traded on a mixed note after the six-member Monetary Policy Committee (MPC) kept the repo rate unchanged at 4 per cent. MPC committee also kept the reverse repo rate unchanged at 3.35 per cent.
The repo rate or the short-term lending rate was last cut on May 22, 2020. Since then, the rate remains at a historic low of 4 per cent.
At 10:40 am; the Nifty Bank and Nifty Financial Services indices were down 0.04 per cent, while Nifty Auto and Nifty Realty indices were up less than 0.1 per cent, while Nifty PSU Bank index was up almost 1 per cent. In comparison, the benchmark index Nifty50 was flat at 17,638.75.
Among individual stocks from financials sectors, State Bank of India (SBI), Axis Bank, Muthoot Finance, ICICI Bank and Bajaj Finserv gained up to 1 per cent, while HDFC and HDFC Bank were down 1 per cent on the National Stock Exchange (NSE) on Friday.
From the automobiles, TVS Motors, Ashok Leyland and Tata Motors were up 1 per cent to 2 per cent, while Eicher Motors, Mahindra & Mahindra (M&M) and Maruti Suzuki India traded in red. From real estates, Macrotech Developers, Prestige Estates Projects and Brigrade Enterprises were up over 1 per cent each and DLF, Oberoi Realty and Indiabulls Real Estate were down up to 3 per cent each.
The Reserve Bank of India (RBI) on Friday also raised its inflation outlook to reflect costlier oil while leaving borrowing costs unchanged after the three-day meeting of the MPC.
In its first monetary policy announcement of 2022-23, the RBI projected inflation to be at 5.7 per cent this financial year, compared to 4.5 per cent in 2021-22. RBI Governor Shaktikanta Das said in a statement on Friday after the meeting that the repo and reverse repo rates had been kept unchanged at 4 per cent and 3.35 per cent, respectively. The central bank revised its real GDP growth projection for 2022-23 to 7.2 per cent, compared to its earlier guidance of 7.8 per cent. CLICK HERE FOR FULL REPORT
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
[ad_2]
Source link