- AMC rides stock roller-coaster after $587-mn share sale to cut debt load
- Analysts bet on larger players in travel & tourism space post RBI's support
- Adani Enterprises becomes second-most valuable Adani Group firm
- Bharat Forge surges 8%, hits 52-week high post March quarter results
- RBI policy: Any weakness in rate sensitive stocks is an opportunity to buy
- United Breweries, Indian Hotels: RBI policy fires up hotel, liquor stocks
- Rate sensitive shares mixed after RBI maintains status quo on repo rate
- Power Mech Projects surges 16% as HDFC MF picks nearly 1% stake
- Larsen & Toubro rallies 15% in a month, nears record high
- Stocks to watch: M&M, PNB, Bharat Forge, Lupin, rate sensitive stocks
Sensex dips 132 pts as RBI cuts FY22 GDP growth; Nifty ends below 15,700
That said, market participants continued to buy stocks in the broader markets after the RBI announced a special, Rs 15,000 crore-liquidity window
The six-member monetary policy committee (MPC), however, revised the growth projection downward to 9.5 per cent from 10.5 per cent for the current financial year and revised the inflation projection upward to 5.1 per cent.
Furthermore, it announced the third tranche of bond buying worth Rs 40,000 crore under G-SAP 1.0. It also announced G-SAP 2.0, under which it will buy bonds worth Rs 1.2 trillion. The central bank will also buy bonds issued by state governments, unlike G-SAP 1.0 that was only for central government securities.
Post the announcement, 10-year government bond yields hardened by 0.4 per cent to top 6 per cent-mark while the equity markets gave up their gains.
The benchmark S&P BSE Sensex tumbled 436 points from the day's high and hit a low of 51,953. It, however, trimmed losses marginally to settle the day at 52,100 levels, down 132 points or 0.25 per cent.
On the NSE, the Nifty50 index dropped 64 points from the record high level of 15,734, touched earlier in the day, to close at 15,670 levels.
The benchmark indices were dragged down largely by banking and FMCG counters such as Nestle India, SBI, ICICI Bank, HDFC Bank, HUL, Axis Bank, and Titan.
Overall, the Nifty Bank index ended 1 per cent lower, followed by the Nifty Private Bank and FMCG indices, down 0.8 per cent and 0.4 per cent, respectively. On the upside, the Nifty Metal and Realty indices clocked gains up to 1.3 per cent.
That said, market participants continued to buy stocks in the broader markets after the RBI announced a special, Rs 15,000 crore-liquidity window for sectors like travel and toursim, tour operators, hotels, restaurants, aviation and related companies, spa clinics and beauty parlours.
The BSE MidCap index advanced 0.63 per cent while the BSE SmallCap index added 0.78 per cent. Both the indices hit record peak levels of 22,540 and 24,280, respectively in intra-day trade.
Among individual stocks, the stock of Indian Hotels hit a fresh 52-week high of Rs 143.75, up 6 per cent on the BSE on the back of nearly two-fold jump in trading volumes. Royal Orchid Hotels surged 10 per cent to Rs 92.70, followed by Taj GVK Hotels & Resorts (8 per cent), EIH (up 7 per cent) and Lemon Tree Hotels (up 5 per cent).
Meanwhile, liquor stocks like, United Breweries Globus Spirits, United Spirits, IFB Agro Industries, and Radico Khaitan surged between 1 per cent and 8 per cent.
European stocks inched higher on Friday in cautious trading ahead of US jobs data with the pan-European STOXX 600 index was up 0.1 per cent.
Earlier in Asia, Japan's Nikkei and South Korea's Kospi had slipped 0.4 per cent and 0.2 per cent, respectively. China's Shanghai Composite and Australia's ASX200 index, meanwhile, gained 0.2 per cent and 0.5 per cent, respectively.
(With inputs from Reuters)