RBI Monetary Policy, Capital Infusion in PSBs, and Top Cues in Focus Today

Thu, 6 Jun Pre-Open

   Previous Close   

   09:30 am   

   12:30 pm   

   Closing   

Indian share markets ended their trading session on a negative note on Tuesday.

Sectoral indices were trading on a mixed note with IT stocks and healthcare stocks witnessing maximum selling pressure while capital goods stocks and telecom stocks witnessed buying interest.

At the closing bell on Tuesday, the BSE Sensex stood lower by 184 points (down 0.5%) and the NSE Nifty closed down by 70 points (down 0.6%). The BSE Mid Cap index and the BSE Small Cap index ended lower by 0.2%.

Top Stocks in Focus Today

From the energy sector, market participants will be tracking BPCL share price and HPCL share price as both these companies have joined in the country's longest LPG pipeline project being laid by state-owned Indian Oil Corporation (IOC) to cater to cooking fuel needs of a fourth of the country's population.

BPCL and HPCL will take 25% stake each in the Rs 90 billion project that involves laying of a pipeline from Kandla to Gorakhpur. IOC will hold the remaining 50% stake.

Reportedly, the pipeline will carry 6 million tonnes per annum of LPG. This will be the longest LPG pipeline in the country.

In addition, the pipeline would feed LPG through road-bridging to an additional 21 LPG bottling plants in Rajasthan, Gujarat, Madhya Pradesh, Maharashtra, and Uttar Pradesh.

From the pharma sector, Dr Reddy's Laboratories share price will be in focus today as the company has re-launched its generic Zenatane capsules in the US market.

The company has re-launched the capsules in the strengths of 10 mg, 20 mg, 30 mg and 40 mg.

PSB Shares in Focus

From the banking sector, shares of public sector banks (PSBs) will be in focus today on reports stating that the government may infuse around Rs 400 billion into state-run lenders in 2019-20 as it looks to strengthen their balance sheets to enable them to step up lending.

As per the reports, a plan is being firmed up to help banks expand credit offtake further. This capital will be used to support credit growth and help some weaker banks maintain regulatory norms.

Bank of Baroda share price, PNB share price, and Canara Bank share price witnessed buying interest on the back of the above news and were up in the range of 2-3% on Tuesday.

RBI Monetary Policy Meet

Market participants will be closely tracking the Reserve Bank of India's (RBI) monetary policy today.

The consensus in the markets is that the RBI will cut interest rates as India's economic growth slowed to 5.8% in last quarter of financial year 2019.

Note that India's gross domestic product (GDP) grew 5.8% in January-March, confirming fears of a slowdown, as the new government assumed office amid expectations of a wide-ranging policy impetus to turnaround the economy that is nursing multiple pain points.

Real or inflation-adjusted GDP grew 6.8% in FY19, lower than previous year's 7.2%, data released by the Central Statistics Office (CSO) showed.

This was the slowest growth in GDP since FY15.

The RBI in 2016 adopted an inflation target of 4% (+/-2%) for next five years under the monetary policy framework.

However, since August last year, inflation has stayed below RBI's target of 4%.

Here's what Sarvajeet wrote about it in one of the editions of The 5 Minute WrapUp...

• In December, CPI-based retail inflation declined to an 18-month low of 2.2%.
  
  Currently, the RBI's policy stance was 'calibrated tightening'.
  
  But with the recent inflation data, the MPC may change its monetary stance to 'neutral', even if it does not cut the repo rate.

It would be interesting to see what stance the MPC takes and whether it alters the interest rate today. Meanwhile, we will keep you updated on all the developments from this space. Stay tuned.

And to know what's moving the Indian stock markets today, check out the most recent share market updates here.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

Read the latest Market Commentary

Top Gainers TodayTop Gainers over 1-WeekTop Gainers over 1-MonthTop Gainers over 1-YearTop Gainers over 3-YrsTop Gainers over 5-YrsTop Losers TodayTop Losers over 1-WeekTop Losers over 1-MonthTop Losers over 1-YearTop Losers over 3-YrsTop Losers over 5-YrsOnly BuyersOnly SellersMost Active StocksMost Popular Stocks52 Week High Stocks52 Week Low Stocks

INDICESBSE (Rs 0 to 1)BSE (Rs 1 to 2)BSE (Rs 2 to 4)BSE (Rs 4 to 10)BSE (Rs 10 to 20)BSE (Above Rs 20)BSE - AllBSE-30BSE-100BSE-200BSE-500BSE AutoBSE BankexBSE Capital GoodsBSE Consumer DurablesBSE FMCGBSE HealthcareBSE ITBSE MetalBSE Oil & GasBSE PSUBSE TeckBSE RealtyBSE PowerBSE A GroupBSE B GroupBSE Mid-CapBSE Small-CapBSE Basic MaterialsBSE Consumer DiscretionaryBSE IndustrialsBSE UtilitiesBSE Sensex 50BSE Sensex Next 50BSE Bharat 22BSE 150 MidCapBSE 250 SmallCapBSE 250 LargeMidCapBSE 400 MidSmallCapBSE AllCapBSE LargeCapBSE SmallCap SelectBSE 100 LargeCap TMCBSE InfraBSE ManufacturingBSE CPSEBSE Private BankBSE Diversified FinancialsBSE MomentumBSE Low VolatilityBSE QualityBSE Enhanced ValueBSE Divident StabilityS&P BSE IPOBSE SMEIPOBSE 100 ESGBSE CarbonexBSE GreenexNSE (Rs 0 to 10)NSE (Rs 10 to 20)NSE (Above Rs 20)NSE - AllNSE-50NSE ITNSE Nifty Midcap 50NSE JR. NiftyNSE Bank NiftyNIFTY Next 50NIFTY 100NIFTY 200NIFTY 500NIFTY MidCap 100NIFTY SmallCap 250NIFTY SmallCap 50NIFTY SmallCap 100NIFTY LargeMidCap 250NIFTY MidSmallCap 400NIFTY AutoNIFTY Consumer DurablesNIFTY FinanceNIFTY FMCGNIFTY MediaNIFTY MetalNIFTY PharmaNIFTY Private BankNIFTY PSU BankNIFTY RealtyNIFTY Oil & GasNIFTY SME EmergeNIFTY CommoditiesNIFTY CPSENIFTY EnergyNIFTY India ConsumptionNIFTY InfraNIFTY MNCNIFTY PSENIFTY Serv SectorNIFTY100 Liquid 15NIFTY Midcap Liquid 15NIFTY Midcap 150 Quality 50NIFTY50 Equal WeightNIFTY100 Equal WeightNIFTY100 Low Volatility 30NIFTY100 Alpha 30NIFTY Alpha 50NIFTY Dividend Opportunities 50NIFTY High Beta 50NIFTY Low Volatility 50NIFTY200 Quality 30NIFTY 500 Value 50NIFTY 100 Quality 30SECTORSAgricultureAirlinesAluminiumAsset Management CompaniesAutomobilesAuto AncillariesBanks (Private)Banks (PSU)BankingCementChemicalsDefenceDiagnosticsDronesEngineeringElectric VehicleElectric Vehicle BatteryEnergy SourcesESGEthanolFertilizersFintechFMCGFoodGreen HydrogenHotelsInfrastructureInsuranceInvestment and FinanceInvITIT (Large)IT (Others)LogisticsMediaMetalMiningIndia's Big Tech StocksIndian PharmaMNC PharmaPSUPaintPaperPlasticPowerRating AgenciesReal EstateREITsRenewable EnergyRetailingSemiconductorShippingSteelSugarSupply ChainTelecomTextilesTravel Support Services

10 results 25 results 50 results 100 results All results

Indian Share Market Update: Top Gainers and Losers