The Reserve Bank of India (RBI) governor Shaktikanta Das on Tuesday announced an on-tap liquidity window of Rs50,000cr to boost the provision of immediate liquidity for ramping up COVID related healthcare infrastructure and services in the country. The window has a tenor of 3 years at the repo rate of 4% and is being opened till March 31, 2022.
On one side, continued high incidence of Covid cases along with extended lockdowns in various states is likely to influence the market and on the other hand steady corporate earnings and positive management commentaries is likely to provide downside support to the market.
Pharma companies like Cipla and DR Reddys are out performing on the back of Covid issues resurfacing in India. Threefold increase in the production capacity as increased demand vaccines like Remdesivir has benefited these companies.
At around 11.25 AM, Nifty Pharma outperforms at 13,656.40 up by 421.65 points or 3.19%. The index has touched an intraday high of 13,600.35 and intraday low of 13,210.50 during early trading session on Wednesday.
All the 10 scrips of the index were on fast lane lifting Nifty 50 benchmark up.
On the trading window, Lupin was the top bull skyrocketing by 8% followed by Alkem Laboratories surging by nearly 4%.
Sun Pharma and Aurobindo Pharma spurted 3.7% and 3.4% respectively to lead the gains.
Cadila Healthcare was trading bullish at Rs583.85 per piece surging by 2.5%.
Dr Reddy's and Torrent Pharma was on a upside note rose nearly by 2% lifting the index.
Nearly, 1.5% jump each was recorded in Divis Laboratories and Cipla. Meanwhile, Biocon was marginally up.
India’s Cumulative Vaccination Coverage exceeds 15.89 Crore as Phase-3 of Nationwide Vaccination Drive commences.