RBI Monetary Policy: Rate-sensitive stocks edge higher after RBI maintains status quo; realty, auto shine

The realty index added over a percent while banks are under pressure.

Sandip Das
June 04, 2021 / 10:34 AM IST

The Nifty50 opened lower at 15,520.35 and extended losses to hit a day's low of 15,459.85, but showed smart recovery in late trade to close 1.3 points higher at 15,576.20.


Rate-sensitive stocks were trading mixed in the morning session on June 4 after  the Reserve Bank of India MPC kept status quo and continued its accomodative stance.

The RBI's Monetary Policy Committe (MPC) has decided to continue with accomodative stance until necessary to mitigate impact of COVID-19. The Marginal Standing Facility (MSF) rate and bank rates remain unchanged at 4.25 percent. Reverse repo rate also remains unchanged, said RBI Governor Shaktikanta Das.

The auto index was in the green, adding half a percent with stocks including Mahindra & Mahindra, Maruti Suzuki, Tata Motors, Ashok Leyland and Hero MotoCorp. On the other hand, Eicher Motors was under pressure.

Among the banking names, IndusInd Bank, Axis Bank and ICICI Bank were trading marginally in the green while share price of Punjab National Bank, Bandhan Bank and RBL Bank remained under pressure.

Real estate stocks were in focus, a day after the index jumped over 4 percent following the Cabinet's approval to the Model Tenancy Act, which aims to make renting property easy for both the owner and the tenant.

The realty index added over a percent led by Mahindra Life, Oberoi Realty, Sunteck Realty, DLF, Godrej Properties, Prestige Estates and Phoenix Mills .

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Sandip Das
TAGS: #Buzzing Stocks
first published: Jun 4, 2021 09:41 am