Markets in the red ahead of RBI policy outcome; Nifty below 16,400; Nestle, Shree Cements, Britannia top losers

8 Jun 2022 , 09:40 AM

Indian markets opened on a higher level, however, soon erased all the early gains to trade on a muted level on Wednesday with banking, financials, IT stocks trading flat but in the green while auto, FMCG and pharma stocks are under selling presure. All eyes are now set on RBI’s monetary policy for fiscal year FY23, which will be announced by the MPC later today. Markets participants are ready to witness another hike in repo rates, as RBI did the same in an off cycle MPC meet in May to tame inflation.

In the opening bell, Sensex has touched an intraday high of 55,361.49 and Nifty 50 clocked the day’s high of 16,485.70.

At around 09:35 AM, Sensex was trading at 54,998.86 down by 108.48 points or 0.20%. Meanwhile, Nifty 50 is trading at 16,380.40 lower by 35.95 points or 0.22%.

Nifty gainers were – ONGC up 2.5% followed by SBI Life higher by 1.5% and Tata Steel advancing by 1.3%. Stocks like Coal India, NTPC surged over 1% each.

However, underperformers on Nifty were – Britannia, Tata Consumers, Apollo Hospitals, Nestle India and Shree Cements down between 1-2%.

RBI’s bi-monthly monetary policy for fiscal year FY23 will be presented today at 10 am IST. The six-member monetary policy committee including RBI governor Shaktikanta Das have begun their 3-day policy meeting starting June 06.

On the global front, Asian indices opened with gains as the US cues turned positive with Dow Jones gaining over 260 points. The Japanese ‘Nikkei’ was trading higher by over 225 points in early trade.