Markets Highlights: Sensex closes 131 pts in the red, Nifty ends week up 18.8 pts

RBI governor Shaktikanta Das announced a repo rate cut of 75 bps, disappointing markets as indices wiped off gains before slipping into red, anticipating more significant cuts. As of 13:33, Sensex was at 29,464.04 down 482 points and Nifty was at 8,553. Indices opened in green after posting three consecutive sessions of gains amid rally in global markets. FM Nirmala Sitharaman on Thursday announced a 1.7 L cr relief package for the poor and the US Senate unanimously passed the $2-trillion bill to cushion its economy against the coronavirus pandemic. Stay tuned to Markets Live for updates on D-Street.

Sensex closes at 29,815.59, down 131 points.

Sensex closes at 29,815.59, down 131 points. Down 1,310 points from the day's high, as RBI presser takes steam from the rally.

NIFTY at 8660.25 up by 18.8 pts, Sensex at 29815.59 down by 131.18

Sensex at 29763.29 down by 183.48 pts, Nifty at 8638.35 down by 3.1

Sensex slips into red territory, Nifty in the green by 20 pts

Sensex at 30290.95 up by 344.18 pts, Nifty rises by 154.65 pts to 8796.10

RBI gave more than what was expected

"Overall MPC gave more than what was expected and assured to resort to more measures if the situation worsens. The impact of these measures on the economic growth could take some time to fructify. Financials will get breathing space as far as recovery and NPA recognition is concerned. It could elevate sentiments temporarily but the main impact will be visible post the lifting of lockdown" - Dhiraj Relli, MD & CEO, HDFC Securities.

Sensex extends losses, now at 29,464.04 down 482 points and Nifty at 8,553

Markets slide into red zone. Sensex now at 29,675.86 down 270 points and the Nifty at 8,626

Moratorium on EMIs welcome relief

"Three months moratorium on all term loans is another relief for all including NBFCs, Banks, Corporate and the general public.It is a very good policy to cheer the market but the problem is that the market has already rallied too much from lower levels ahead of policy and real trend decider for the market will be the trend in new cases of Covid-19 globally and locally." Amit Guptato DH

RBI has motivated banks to extend lending

"Banks are being motivated to lend by the cut in both Repo rate and CRR, where LTRO money should be invested in commercial papers by banks and that will be considered as a held to maturity, therefore, there will be no issue of MTM losses. So we should expect lower yields in the corporate bond market, therefore, the bond market should rejoice to RBI policy":Mr. Amit Gupta, Co-Founder & CEO, TradingBells tells DH

Sensex up 30 points after falling about 256 points. Nifty at 8,713, off day's low

Key implications of RBI rate cut

·There would be no freeze in credit/debt market

·Banks get some (e.g. CRR cut, more funding at low cost, no provisioning for 90 days) and lose some (e.g. lower lending rate, pressure to lend, future asset quality deterioration)

·Most positive for leveraged sectors and companies

·This would not necessarily promote growth but avert a collapse, so a big positive

·To boost sentiments”

"This is RBI’s whatever it takes moment" -Sujan Hajra, chief economist, Anand Rathi Shares & Stock Brokersto DH

After the RBI Governor's address, Sensex was at 30,118.98 up 172.21 points and the Nifty was at 8,744, off day-highs, as of 10: 53 am

These measures on liquidity will inject over Rs 3.7 lakh crore into system: Das

Capital cash buffer implementation to also be deferred

NSFR to be deferred by 6 months

All lending institutions to allow a moratorium of 3 months on term loans

Lending institutions allowed a deferrment of 3 months on interest payment
This deferrment will not result in downgrade of asset classification

This kind of uncertain outlook has never been seen before: Das

CRR of all banks to be reduced by 100 bps for a period of 1 year

This will release Rs 1.37 lakh crore in the system, Das says.

As of 10:16 am, Sensex was at 30,466.51 up 519.74 points and the Nifty was at 8,866, wiping off all early gains

Average daily liquidity surplus of Indian banks during March has been Rs 3 lakh crore, says Das

MPC after careful evaluation, cuts repo rate 75 bps

Repo rate cut by 75 basis points from 5.15% to 4.4%
Reverse repo rate cut 90 basis points to 4%

Watch: RBI governor addresses the media

Sensex at 30,810.65, up 863.88 points and the Nifty was at 8,946, as RBI Governor's presser awaited

Shares of Yes Bank Ltd soared 10% in early trade. The lender on Thursday said it was looking to raise up to 50 billion rupeesin an effort to shore up its capital base.

Meanwhile, the rupee was stronger by 0.4% at 74.6900 against the dollar but still hovered around its all-time lows that it hit earlier this week.

Indian markets bearing the virus?

Despite its best rally in many years, Indian markets are likely to remain in bear market territory for this week, analysts on Dalal Street say. Last night, with 6% rally, Dow 30 had escaped bear market zone. A Bear market territory is when an index has lost 20% of its life-highs.

Indian stocks rise ahead of RBI guv presser

Read more

RBI rate cut anticipated

Reserve Bank of India Governor Shaktikanta Das is expected to address the media at 10 AM local time on Friday. Many largely expect the central bank to cut interest rates to help tide an already slowing economy threatened by the pandemic.

Sensex was above the 30,000-mark at pre-open, while Nifty was near 8,950.

Asian markets rally

Asian stocks rose on Friday as investors wagered policymakers will roll out more stimulus measures to combat the coronavirus pandemic after U.S. unemployment filings surged to a record.

Gold inches lower

Gold eased on Friday as some investors booked profits after prices hit a two-week high in the last session amid hopes for further stimulus to curb the coronavirus' economic toll, but the metal was headed for its best weekly gain in more than 11 years.

Dollar loses steam

The dollar was on track for its biggest weekly fall in more than a decade on Friday as a series of stimulus measures around the world, including a $2.2 trillion U.S. package, helped temper a rout in globalmarketstriggered by the coronavirus pandemic.

Data showing an unprecedented rise in U.S. jobless claims underscored the virus' devastating impact on the economy, but subsequent rise in Wall Street shares raised hopes that a torrent of selling in risk assets may have run its course for now.

The dollar fell more than 1% to 108.35 yen, due largely to Japanese repatriating funds ahead of their fiscal year end on March, after having shed 1.44% overnight. The euro also stayed firm at $1.1041 after a jump of 1.40% on Thursday.

Oil prices rise on stimulus optimism

Oil prices rallied on Friday, tracking Wall Street gains after progress was made towards a $2 trillion rescue package to help the coronavirus-hit American economy.

After tumbling for the past four weeks, Brent crude was up 50 cents, or nearly 2%, at $26.84 a barrel by 0116 GMT, and on track to end the week steady or only slightly lower.

at 9 am, SGX Nifty, was up 2.5%, indicating Sensex will open in green