Banking stocks continue to erode despite RBI's negative GDP estimates: Sensex down 260 points

- Nifty spot down 67 points 9039: Funds continue to rise in automobile stocks: FPIs / FII's net sales of Rs 1354 crore, DII's net sales of Rs 344 crore

Mumbai, May 22, 2020, Friday

Over the weekend, the Reserve Bank of India (RBI) abruptly slashed the repo rate by 20 basis points to 4% for the year 2000, but the RBI extended the loan moratorium for three more months and cut India's economic growth-GDP growth forecast for FY2021 for the second consecutive day. -Financial stocks did offloading behind. With the Corona epidemic making it difficult to recover from the economic crisis and the number of Corona-positive cases in the country rising alarmingly, funds have opted to ease by selling off stocks.

On the global front, rising tensions between the US and China have led to a softening of US markets and a resumption of the national security bill in Hong Kong, with the Hong Kong Stock Exchange (HSE) index hitting a record high of 150 points since July 2008. The funds were sold in finance-banking stocks today in desperation as it did not offer a loan-restructuring scheme for the financial services sector, which was in crisis due to its decision to do so by March 2021.

Meanwhile, selling in consumer durables and metal-mining stocks saw the Sensex fall 20.21 points to 20.2.5 and the Nifty spot down 3 points to close at 206.5. The Sensex opened at 20.3.50 against the previous close of 303.70. At Kotak Mahindra Bank, Sun Pharma, Lavali rose by one point to Rs 31,102.51.

Axis Bank, HDFC Ltd, Bajaj Finance, ICICI Bank, IndusInd Bank, HDFC Bank, State Bank of India and Tata Steel, Bajaj Auto, ITC, OCL, ITC, OCL & Toubro, Nestle India, Bharti Airtel's profit bookings fell to 202.5 and ended at 20.81 points, down 20.81 points.

Among banking stocks, Axis Bank fell by Rs 20.50 to Rs 2.10, Federal Bank by Rs 3 to Rs 4.5, ICICI Bank by Rs 19.15 to Rs 21.50, RBL Bank by Rs 2.50. IndusInd Bank fell by Rs 4.5 to Rs 2.50, HDFC Bank fell by Rs 20.50 to Rs 3.50, State Bank of India fell by Rs 1.10 to Rs 120.5. . While Mahindra & Mahindra Finance fell by Rs 2.50 to Rs 19.50, Equitas fell by Rs 2.50 to Rs 21.50, Shriram Transport Finance fell by Rs 2.50 to Rs 31.50, HDFC Limited by Rs. Bajaj Finserv was down by Rs. 30 to Rs. 1915.8, Bajaj Finserv was down by Rs. 219.05 to Rs. 214.50 and Bajaj Finance was down by Rs. The BSE Bankex Index fell by 2.15 points to close at 12,203.8.

Automobile stocks were up for the second day in a row on forecast of timely arrival of monsoon and estimates of demand for vehicles in rural areas from the stimulus package. Mahindra & Mahindra rose by Rs 19.50 to Rs 4.5, Bosch Ltd's fourth quarter results rose by Rs 19.05 to Rs 4.5, Balakrishnan Industries rose by Rs 15.5 to Rs 4.5, Maruti Suzuki by Rs. .2.09 to Rs. 219.50, Hero MotoCorp to Rs.

International crude oil prices fell again, with Brent crude falling ૧ 1.6 a barrel to ૩૪ 2.3 and Nymex crude લર 1.6 to close at ૪૫ 4.5. In oil and gas stocks, IOC rose by Rs 1 to Rs 4.5, Castrol India by Rs 1.50 to Rs 111.40, HPCL by Rs 1.2 to Rs 19.50, BPCL by Rs 4.5 to Rs. .412.5.

Even in small, mid-cap, cash stocks, the market breadth remained negative today over the weekend. Out of the total 20 scrips traded on the BSE, the number of decliners was 16 and the number of gainers was 9. The only seller in 203 stocks was the lower circuit, as opposed to the upper circuit in 219 stocks. Foreign institutional investors (FIIs), FPIs and foreign portfolio investors were net sellers in the cash segment for a further Rs 15.50 crore today.

A total of Rs 4.5 crore was sold against a total purchase of Rs 206.5 crore. On the other hand, DII-domestic institutional investors today saw a net sale of Rs 3.15 crore in cash. A total of Rs 303.15 crore was sold against a total purchase of Rs 216.05 crore.

In Asian markets, Japan's Nikkei 3 index fell 19.15 points to 30,6.15, Hong Kong's Hang Seng index fell 12.5 points to 8,60.15 and China's CSI 200 index closed at 8.5. Markets in European countries showed modest strength today. In the US stock markets, the Dow Jones Industrial Average was up 30 points in the evening and the Nasdaq was down modestly.