Share Markets Live: Sensex, Nifty Slide On RBI’s G-SAP 2.0 Plan; Bharat Forge Gains Q4 Beat

Bharat Forge reported net income for the fourth quarter that beat the average analyst estimate.

• Net income Rs 205 crore vs. loss Rs 73.30 crore YoY, estimate Rs 145 crore (Bloomberg Consensus)
• Revenue Rs 1,307 crore, +49% YoY, estimate Rs 1,200 crore
• Total costs Rs 1,060 crore, +18% YoY
• Other income Rs 31.96 crore
• Dividend per share Rs 2

India’s central bank will buy Rs 1.2 lakh core ($16.4 billion) of bonds under its government-securities-acquisition programme in the July-September quarter, Governor Shaktikanta Das said.

• The RBI will buy the remaining Rs 40,000 crore of bonds for the current quarter on June 17, he said; RBI had committed to buy Rs 1 lakh crore of bond in the April-June quarter
• Of the June 17 purchase, Rs 10,000 crore will be purchases of state bonds
• USD/INR rises 0.1% to 73.0025; rose as much as 0.3%
• 10-year yields up 2bps at 6.01%; 6.64% 2035 bond yield up 1bp to 6.66%

The RBI’s Monetary Policy Committee kept borrowing costs at a record low for the sixth straight meeting, as the second wave of Covid-19 threatens to hold back the economy’s recovery.

The Monetary Policy Committee voted to keep the benchmark repurchase rate at 4%, Governor Shaktikanta Das said in an online broadcast on Friday. The decision was predicted by all 44 economists surveyed by Bloomberg.

The six-member committee, which has been on pause mode for more than a year, retained its accommodative policy stance for as long as necessary, signalling there’s still room to cut rates further.

The central bank said it now expects gross domestic product to expand 9.5% in the current fiscal year, down from 10.5% previously.

Sovereign bonds traded higher, with the yield on benchmark 10-year bonds down two basis points at 5.98%, while the rupee was slightly lower.

Catch the live updates here.

Indian equity benchmarks climbed ahead of the RBI's Monetary Policy Committee's interest rate decision.

The S&P BSE Sensex added 0.1% to 52,298.76, set for a weekly gain of 1.7%. The NSE Nifty 50 Index rose by the same magnitude. Thirteen of the 19 sector sub-indices compiled by BSE Ltd. climbed, led by a gauge of capital goods companies.