RBI loan restructuring option, hike in gold LTV sees Sensex end 362 pts up
All that happened in the markets today
 "BSE Sensex")
NSE's Nifty ended at 11,200, up 98.5 points or 0.89 per cent.
The domestic stock market ended around 1 per cent higher on Thursday after the Reserve Bank of India (RBI) decided to keep the benchmark repo rate unchanged at 4 per cent, and reverse repo rate at 3.35 per cent. Further, the central bank also announced measures to support NBFCs, HFCs, corporate debt market, and announced a relaxation on the loan-to-value (LTV) ratio for gold loans. READ MORE
The S&P BSE Sensex today ended 362 points or 0.96 per cent higher at 38,025 levels while NSE's Nifty ended at 11,200, up 98.5 points or 0.89 per cent. India VIX dropped nearly 2 per cent to 23.14 levels.
Infosys, HDFC Bank, TCS, and ICICI Bank were the major contributors to the Sensex's gains.
In the broader market, the S&P BSE MidCap index ended 0.77 per cent higher at 14,017 while the S&P BSE SmallCap index ended 1 per cent higher at 13,562 points.
On the sectoral front, barring Nifty PSU Bank index, all the other sectoral indices on the NSE ended in the green. The Nifty Bank gained over 0.6 per cent while Nifty Realty rallied over 1 per cent. The Nifty IT index gained 1.8 per cent to 18,189 levels.
Global markets
In the broader market, the S&P BSE MidCap index ended 0.77 per cent higher at 14,017 while the S&P BSE SmallCap index ended 1 per cent higher at 13,562 points.
On the sectoral front, barring Nifty PSU Bank index, all the other sectoral indices on the NSE ended in the green. The Nifty Bank gained over 0.6 per cent while Nifty Realty rallied over 1 per cent. The Nifty IT index gained 1.8 per cent to 18,189 levels.
Global markets
Stocks slipped on Thursday as investors waited for signs of agreement on a US stimulus package, while the US dollar slumped to a two-year low on fears that the recovery in the world’s biggest economy was lagging others.
European stocks edged down in volatile trading, with Frankfurt gaining 0.2 per cent as investors digested a fresh batch of corporate earnings reports.
In commodities, oil prices slipped just below five-month highs, with support from a weak dollar and falling US crude inventories undermined by bearish sentiment about fuel demand.
Gold prices raced towards a record high as dismal US jobs data hammered the dollar and intensified worries about a recovery in the pandemic-ravaged global economy.
(With inputs from Reuters)
3:54 PM
Market Closing Comment :: Vinod Nair, Head of Research at Geojit Financial Services
Indian benchmark indices came off highs but still closed out a volatile day with gains, following RBI commentary regarding interest rate outlook. Although expectations of a rate cut were there, RBI kept rates on hold, following a rise in inflation. However, it has indicated that monetary policy will remain accommodative until growth revives. We believe that if inflation remains under control, there will be further policy easing from the central bank. With this event out of the way, markets expected to turn focus back on earnings visibility and quality.
3:47 PM
BSE Snapshot at Close
3:44 PM
Stocks that supported Sensex's 360 pts-rally
3:43 PM
Sectoral trends on NSE at Close
3:39 PM
Sensex Heatmap at Close
3:37 PM
Closing Bell
>> Benchmark S&P BSE Sensex index settled the day at 38,025 level, rallying 362 points or 0.96 per cent. The index hit an intra-day high of 38,221.
>> The broader Nifty50, meanwhile, ended at the psychological level of 11,200, up 99 points or 0.89 per cent. The index hit an intra-day high of 11,257.
>> The broader Nifty50, meanwhile, ended at the psychological level of 11,200, up 99 points or 0.89 per cent. The index hit an intra-day high of 11,257.
3:33 PM
COMMENT ON RBI POLICY :: Niranjan Hiranandani, President, Assocham
A Positive step by Reserve Bank of India to pay heed to India Inc’s long pending demand of Onetime restructuring of loans without classifying them as NPAs, by setting up an expert committee steered by KV Kamath. Opening up the window for restructuring of loans to companies, individuals and MSME under mandated safeguards grants breather to the liquidity strapped industry. A flexible repayment scheme under the new resolution framework shall bring in the much-needed relief to resume operations smoothly.
3:28 PM
Valuation drop, legal complications likely to hit HDIL's sale prospects
Real estate major HDIL may find good offers hard to come by, given the slump in the real estate sector, litigation woes, and arrest of its promoters. The Mumbai-based firm had earlier attracted attention from top players like Adani Properties, SunTeck Realty, and Suraksha Asset Reconstruction Company (owned by the Dilip Shanghvi family). READ MORE
3:25 PM
INDEX GAINER:: Infosys surges 3%
3:18 PM
MARKET CHECK:: BSE Healthcare index up 1%
Topics : RBI monetary policy RBI Policy Interest rate-sensitive stocks RBI MPC Markets Sensex Nifty MARKET WRAP
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First Published: Aug 06 2020 | 7:42 AM IST