Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

Indian shares close down after central bank holds rates steady

06/04/2021 | 06:55am EDT
FILE PHOTO: Broker reacts while trading at his computer terminal at a stock brokerage firm in Mumbai

BENGALURU (Reuters) - Indian shares closed slightly lower on Friday after the country's central bank kept interest rates unchanged as widely expected and unveiled liquidity support measures, with investors focusing on rising inflationary pressures.

The NSE Nifty 50 index ended down 0.1% at 15,670, and the S&P BSE Sensex closed down 0.25% at 52,100.05.

For the week, both the indexes rose over 1% to their third straight week of gains.

The country's benchmark 10-year bond yield ended at 6.032%, while the Indian rupee closed at 72.99 against the dollar, mostly flat.

The Reserve Bank of India (RBI) held the repo rate, its key lending rate, at 4% and kept the reverse repo rate, the borrowing rate, unchanged at 3.35%.

Supply constraints due to coronavirus curbs and rising input costs, on the back of higher commodity prices, could fuel inflation, the RBI said.

Analysts said there were no major surprises to lift the markets higher, even though the central bank assured ample liquidity.

"There seems to be sufficient patience embedded in the guidance for the market not to worry about any imminent shifts in stance," said Suyash Choudhary, head - fixed income, IDFC AMC.

On Friday, the Nifty bank index was the top drag, down 1%.

The blue-chip Nifty 50 and the Sensex have risen over 5% each since the central bank's last meeting in April, boosted by robust corporate results and a fall in daily COVID-19 cases.

Among individual shares, Spandana Sphoorty Financial jumped as much as 20% after reports that Axis Bank was in talks to buy the micro finance company.

Shares of steel forgings maker Bharat Forge ended up about 8% after reporting a March-quarter profit, against a year-ago loss.

(Reporting by Nallur Sethuraman in Bengaluru and Savio Shetty in Mumbai; Editing by Shailesh Kuber)

By Sethuraman N R


ę Reuters 2021
Stocks mentioned in the article
ChangeLast1st jan.
AXIS BANK LIMITED -1.24% 722.7 End-of-day quote.16.50%
BHARAT FORGE LIMITED -0.30% 778.1 End-of-day quote.48.21%
EURO / INDIAN RUPEE (EUR/INR) 0.06% 88.1162 Delayed Quote.-1.66%
IDFC LIMITED 0.44% 57.6 End-of-day quote.55.68%
NIFTY BANK -0.44% 34532.9 Delayed Quote.11.30%
SPANDANA SPHOORTY FINANCIAL LIMITED -1.95% 644.55 End-of-day quote.-14.13%
Latest news "Economy & Forex"
03:05pFed establishes standing repo facilities to support money markets
RE
03:02pU.s. cdc says 163,588,042 individuals have been fully vaccinated against covid-19 as of july 28 vs 163,312,474 individuals as of july 27
RE
03:01pU.s. cdc says 189,494,180 individuals have received at least one dose of covid-19 vaccine as of july 28 vs 188,996,475 individuals as of july 27
RE
03:01pU.s. cdc says administered 343,361,524 doses of covid-19 vaccine as of july 28 vs 342,607,540 doses administered as of july 27
RE
03:01pU.s. cdc says delivered 395,974,515 doses of covid-19 vaccine as of july 28 vs 395,460,845 doses delivered as of july 27
RE
02:57pU.S. CDC Reports Total Deaths Of 609,441 Due To Coronavirus As Of Yesterday
RE
02:57pU.s. cdc reports total novel coronavirus cases of 34,631,447 as of yesterday vs 34,548,847 in previous report on july 27
RE
02:56pU.s. cdc reports total deaths of 609,441 due to coronavirus as of yesterday vs 609,012 in previous report on july 27
RE
02:46pS&p 500 last up 0.2%
RE
02:46pBiden promotes tougher "Buy American" rules in visit to Mack Trucks plant
RE
Latest news "Economy & Forex"