Nifty regains 16,400 mark; breadth turns positive

8 Jun 2022 , 11:30 AM

Domestic equity benchmarks bounced and hit the days high in the mid-morning trade. The Nifty regained the 16,400 mark after hitting the days low of 16,293.35 in morning trade. Shares turned volatile after the RBI announced a hike in the key repo rate by 50 basis points to 4.90%. FMCG, oil & gas and consumer durables were in demand. At 11:24 IST, the barometer index, the S&P BSE Sensex, was up 117.18 points or 0.21% at 55,224.52. The Nifty 50 index rose 23 points or 0.14% at 16,439.35. In the broader market, the S&P BSE Mid-Cap index added 0.23% while the S&P BSE Small-Cap index was up 0.16%. Buyers outpaced sellers. On the BSE, 1,757 shares rose and 1,314 shares fell. A total of 125 shares were unchanged. Economy: The Reserve Bank of India (RBI) raised the policy repo rate by 50 basis points to 4.90% after the conclusion of the Monetary Policy Committee (MPC) meeting today, 8 June 2022. MPC voted unanimously to raise repo rate and decided to change the stance to withdrawal from accomodative. Standing Deposit Facility and Marginal Standing Facility rates are also raised by 50 basis points. Standing Deposit Facility rate now stands at 4.65% and Marginal Standing Facility rate now stands at 5.15%. Buzzing Index: The Nifty Bank index rose 0.97% to 35,336.15. The index declined 0.89% in the past trading session. Bank of Baroda (up 2.4%), State Bank of India (up 1.87%), IndusInd Bank (up 1.2%), AU Small Finance Bank (up 1.05%), Federal Bank (up 1.04%), HDFC Bank (up 1.03%), IDFC First Bank (up 1.01%), Punjab National Bank (up 0.96%), Kotak Mahindra Bank (up 0.85%) and Axis Bank (up 0.64%) advanced. Stocks in Spotlight: PNB rose 0.80% to Rs 31.45 after the board of Punjab National Bank (PNB) approved the banks participation in the proposed rights issue of PNB Housing Finance (PNBHFL) for an amount upto Rs 500 crore, in order to retain banks shareholding at 30% or below but above 26%, and to retain its status as promoter. Hindustan Oil Exploration Company (HOEC) surged 10.51% to Rs 216.10 after the company announced the commencement of oil production and gas sales from Block B-80. Block B-80 is spread over a 56 square kilometer area in Western Offshore and was awarded under the first discovered small field (DSF) bid round 2016 on 27 March 2017. Global Markets: Most Asian shares advanced on Wednesday. Japans economy shrank an annualized 0.5% in the first quarter, revised government data showed Wednesday. US stocks rose on Tuesday ahead of Fridays consumer price index reading for May. The S&P 500 climbed 0.95% to 4,160.68. The Dow Jones Industrial Average gained 264.36 points, or 0.8%, to 33,180.14. The Nasdaq Composite rose 0.94% to 12,175.23. The World Bank on Tuesday cut its global growth forecast to 2.9% for 2022 and warned of the world economy slipping into a period of stagflation reminiscent of the 1970s. Powered by Capital Market – Live News