Asian stock markets too have opened up lower on the back of a weaker finish on Wall Street overnight and growth worries in Australia. Nikkei opened at one month lows as major stocks like Sony and Casio Computer were under pressure. The rupee opened trading at Rs 63.86 to the dollar.
According to a leading financial daily, State-owned Punjab National and IDBI Bank have cut their base rates by 25 basis points to 10%. The reduction in interest rate is expected to have a positive impact on loan growth in both retail consumer segment and corporate sector lending. Reportedly, three more state-owned lenders including Bank of Boroda, State Bank of Bikaner & Jaipur and State Bank of Hyderabad reduced base rates by 15-25 basis points each. Last Saturday, Bank of India announced a reduction in its base rate to 9.95% from 10.20% earlier. The scripts of IDBI bank and PNB have opened on a flattish note.
Power stocks have opened in the red with KSK Energy Ltd and JSW Energy Ltd being the leading losers. According to a leading business daily, Country's largest power producer NTPC will raise USD 1 billion through foreign currency bonds this year to expand its power generation capacity. NTPC has an installed power generation capacity of 44,598 MW and the company plans to set up 3,000 MW capacity solar power projects across the country this term. The company plans to particularly invest in renewable energy resources. The company expects the renewable energy to contribute 28% to its capacity of 1,28,000 MW by 2032.