6.7 C
Saturday, April 10, 2021

Markets applaud RBI policy, Sensex propels 460 pts

Must read

UK Time Newshttps://www.uktimenews.com
UK Time News is your daily dose of Latest News, Entertainment, Music, Fashion, Lifestyle, World, Cricket, Sports, Politics, Tech, Business News Website. We provide you with the Latest Breaking News Straight from the UK & all around the World on different categories.

The Sensex rose 460.37 points (0.94%) to close at 49,661.76 while the Nifty jumped 135.55 points (0.92%) to close at 14,819.05.

By Urvashi Valecha

Shares rose for the second straight session on Wednesday as investor sentiment remained bullish, with the Reserve Bank of India maintaining its accommodative stance. The Sensex rose 460.37 points (0.94%) to close at 49,661.76 while the Nifty jumped 135.55 points (0.92%) to close at 14,819.05.

The purchase of bank, automobile and IT stocks has pulled the markets up. Bank stocks mainly led the charge after investors welcomed the accommodative monetary policy and the flat repo rate. Nifty Bank climbed 1.51%, and the biggest gainers in the index were IDFC First Bank, Bandhan Bank, Federal Bank, State Bank of India and IndusInd Bank, which rose 4.16%, 3 , 35%, 2.73%, 2.18%, and 2.13%.

READ  Active mutual funds fail to outperform benchmarks in 2020; large cap funds are the worst off
READ  Sensex, Nifty Crash for second consecutive session on rising Covid-19 cases

Market experts praised the RBI governor’s monetary policy statement. Gaurav Dua, Senior Vice President, Head – Capital Market Strategy, Sharekhan by BNP Paribas, said: “In line with expectations, the RBI has maintained a status quo on key rates and reassured financial markets on its commitment to maintain its policy accommodating. … The easing of yield curves and the commitment to keep interest rates low with sufficient liquidity are also positive for equity markets. “

Bond markets reacted positively with the easing of the yield on 10-year bonds during the day. This easing of bond yields has contributed to the rise in equity markets. Wednesday’s announcements also put an end to market concerns about an early withdrawal of liquidity.

READ  Sensex, Nifty Crash for second consecutive session on rising Covid-19 cases

Mihir Vora, Director and Chief Investment Officer at Max Life Insurance, said: “The measures announced aim to reduce borrowing costs, ease financial conditions and maintain liquidity conducive to lending. The announcement allayed fears of any early withdrawal of cash. “

Foreign portfolio investors bought shares with a total value of $ 30.32 million. The biggest winners at Nifty were JSW Steel, Wipro, SBI, IndusInd Bank and SBI Life, up 5.33%, 2.36%, 2.18%, 2.13% and 2.11%. Nifty’s biggest losers were Adani Ports and SEZ, Tata Consumer, UPL, NTPC and Titan down 2.76%, 1.44%, 1.26%, 0.52% and 0.5%, respectively .

READ  Sensex crashes 871 points as new mutant variant of coronavirus scares investors

Market participants expect the impact of the monetary policy statement to wear off. Dhiraj Relli, Managing Director and CEO of HDFC Securities, said: “The markets have responded well to this move because it will lead to lower rates and indeed lower for companies. The impact of the MPC’s announcements, however, will subside in a few days and markets will continue to respond to other triggers, including progress on Covid-19 and business results. “

READ  Report: SEC opens preliminary investigation into Bill Hwang d'Archegos after $ 30 billion stock liquidation

Get live stock quotes for BSE, NSE, US market and latest NAV, mutual fund portfolio, see latest IPO news, top performing IPOs , calculate your tax using the income tax calculator, know the best market winners, the best losers and the best equity funds. Like us on Facebook and follow us on Twitter.

UK Time News is now on Telegram. Click here to join our channel and stay up to date with the latest news and updates from Biz.


More articles


Latest article