PremiumThe Reserve Bank of India is likely to hike the policy repo rate by 25 to 50 basis points on Friday. This will be the third hike since the beginning of the current financial year aimed at taming the inflationary pressure. US stocks sent mixed signals on Thursday as investors continued to review the latest updates on the economy and corporate earnings ahead of the US jobs report.
Despite the drawdown of foreign exchange reserves to limit rupee volatility, India’s reserves remain the fourth largest globally: RBI Governor Shaktikanta Das
Mortgage lender HDFC Ltd on Friday said it has raised USD 1.1 billion (around ₹8,700 crore) from a clutch of investors under 'Syndicated Social Loan Facility' to cater to the affordable housing segment.
HDFC Ltd has raised the amount by way of external commercial borrowings (ECBs).
"This landmark financing further promotes HDFC's longstanding mission to be the leading provider of housing finance in India. Proceeds from the social loan would go towards financing affordable housing loans," the company said.
Foreign Direct Investment at 13.6 billion dollars in the first quarter of the current financial year was robust, as compared to 11.6 billion dollars in the first quarter of last year: RBI Governor Shaktikanta Das
Surplus liquidity in the banking system has come down to ₹3.8 lakh crore, from ₹6.7 lakh crore in April-May, said the RBI Governor, adding that a rise in term deposit rates should increase liquidity for the financial sector.
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Consumer price index (CPI) inflation remains uncomfortably high and is expected to remain above 6%: RBI Governor.
The RBI has retained its FY23 gross domestic product (GDP) growth forecast at 7.2%
RBI Governor stated that successive shocks to the global economy are taking a toll, but India is expected to be amongst the fastest growing economy in the world
The rate hike of 50 basis points will go into effect immediately
In what may come as a relief for the common man, the price of edible oils may see a further reduction in the coming days. The development took place after the edible oil processors and manufacturers agreed to cut prices by ₹10-12 to pass on the benefits of a decline in global prices to consumers, according to a report.
“Cooking oil manufacturers have agreed to further slash edible oil prices by ₹10-12 in view of softening global prices. We had a good meeting with them where we made a detailed presentation with data," said one of the officials, asking not to be named as reported by Hindustan Times.
India’s Power Finance Corp plans to raise funds through sale of bonds maturing in three years as well as 10 years, four merchant bankers said on Friday.
The state-run company plans to raise at least five billion rupees ($63.20 million) through each issue, with the three-year bonds having a greenshoe option to retain an additional 20 billion rupees, and the 10-year notes to retaiin additional 10 billion rupees.
The company has invited coupon and commitment bids from bankers and investors for the same on Monday.
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The Indian rupee firmed ahead of a central bank monetary policy decision on Friday, supported by overnight weakness in oil prices and the dollar.
The partially convertible rupee was trading at 79.15 per dollar in the early morning, compared to its previous close of 79.4650.
Markets are keenly awaiting the Reserve Bank of India's policy decision at the end of a three-day meeting, where it's widely expected to increase its key interest rate from anywhere between 25 basis points and 50 basis points.
The Reserve Bank of India (RBI) Governor Shaktikanta Das-led Monetary Policy Committee (MPC) is likely to hike the policy repo rate for the third time this year on Friday in order to tame the inflationary pressure. Check here for live updates.
Cryptocurrencies prices today were mixed with Bitcoin trading below the $23,000 mark. The world's largest and most popular cryptocurrency Bitcoin was trading nearly a per cent lower at $22,971. The global crypto market cap today was above the $1 trillion mark, as it was almost flat in the last 24 hours at $1.12 trillion, as per CoinGecko.
On the other hand, Ether, the coin linked to the ethereum blockchain and the second largest cryptocurrency, rose marginally to $1,657. Meanwhile, dogecoin price today was trading more than a per cent higher at $0.06 whereas Shiba Inu gained 0.5% to $0.000012.
Alkem Laboratories, M&M, Indigo Paints, Paytm, Pfizer, Titan, and UCO Bank will be in focus as they declare their June quarter earnings today. (Full Report)
The Securities and Exchange Board of India (Sebi) has ordered a forensic audit of the financials of Future Retail, the company told the stock exchange on Thursday.
Future Consumer, a subsidiary, said Sebi has written to Future Retail’s interim resolution professional (IRP) intimating the appointment of Chokshi & Chokshi as the forensic auditors. The chartered accountant firm will look into the consolidated financial statements and account books of the company for the period between March 2020 and March 2022. (Full Report)
Oil prices extended losses on Friday, after hitting their lowest since before Russia's February invasion of Ukraine in the previous session, as the market fretted over the impact of inflation on global economic growth and demand.
Brent crude dropped 10 cents, or 0.1%, to $94.02 a barrel by 0047 GMT, while U.S. West Texas Intermediate crude was at $88.48 a barrel, down 6 cents.
State-run Power Finance Corp. Ltd. (PFC) and its subsidiary REC Ltd. are expected to lend around ₹1.2 trillion to state-run electricity distribution companies (discoms) under the Union government’s ambitious one-time settlement scheme that will kick in from 5 August, said two government officials. (Full Report)
Tokyo stocks traded higher Friday following tech gains on Wall Street while more businesses reported that higher raw material prices were weighing on profits.
The benchmark Nikkei 225 index opened flat then rose 0.23%, or 65.06 points, to 27,997.26, while the broader Topix index was up 0.30%, or 5.77 points, at 1,936.50.
Gold in the national capital on Thursday gained ₹487 to ₹52,566 per 10 grams amid a rise in international precious metal prices along with rupee depreciation, according to HDFC Securities.
The yellow metal had closed at ₹52,079 per 10 grams in the previous trade.
Silver also rose by ₹426 to ₹58,806 per kg from ₹58,380 per kg in the previous trade.
Tiger Global nearly halved its stake in food delivery company Zomato Ltd, joining investors such as Uber Inc. and Moore Strategic Ventures, who have either exited or pared their stakes after a year-long lock-in for some shareholders ended on 23 July. (Full Report)
The Union government may reduce or eliminate the export duty on steel products amid falling prices and rising domestic supply, two people familiar with the matter said, after a similar decline prompted a duty cut on petro products. (Full Report)
The rupee depreciated by 25 paise to close at 79.40 against the US dollar on Thursday, posting its second day of losses amid disappointing macroeconomic data and US-China tensions.
Participants also stayed on the sidelines ahead of the RBI's interest rate decision on Friday, forex traders said.
The Reserve Bank of India is likely to hike the policy repo rate by 25 to 50 basis points on Friday, the third hike since the beginning of the current financial year, in order to tame the inflationary pressure.
While the hike in policy interest rates is almost certain, analysts and economists have different opinions on the extent of the rate hike. It varies between 25 basis points to 50 basis points.
Stocks gave back some of their recent gains Thursday as a choppy day of trading on Wall Street ended with a mixed finish for the major indexes.
The S&P 500 closed 0.1% lower after wavering between small gains and losses. The Dow Jones Industrial Average fell 0.3%, while the Nasdaq rose 0.4%.
Energy stocks, the biggest gainers in the benchmark S&P 500 so far this year, were the biggest drag on the market as the price of U.S. crude oil fell below $90 per barrel for the first time since early February, before Russia's invasion of Ukraine.
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