Reliance Power, Reliance Infra shares tumble 5% amid ED Probe into Rs 17,000 crore loan fraud
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Shares of Anil Ambani-led Reliance Group companies fell by 5% each following reports that the Enforcement Directorate (ED) is set to question bank officials involved in a Rs 17,000 crore loan fraud case connected to the group. Reliance Power shares dropped 5% to Rs 47.58, while Reliance Infrastructure fell 4.98% to Rs 296.15. Shares of Reliance Home Finance also declined 4.84% to Rs 4.84.The ED is set to summon executives from both public and private sector banks that extended loans to various Reliance Group entities. The agency, which has already summoned Anil Ambani , is looking to understand the actions taken by these banks after the group companies defaulted on repayments, according to an Economic Times report.'We want to ascertain what action the banks took, if any, against the companies which defaulted. Did they lodge a complaint with any investigating agency, seeking registration of a criminal case?' a senior official told ET on condition of anonymity.Loans to group firms—Reliance Home Finance Ltd, Reliance Commercial Finance Ltd, and Reliance Communications—amounting to around ₹17,000 crore have reportedly turned into non-performing assets (NPAs), involving nearly 20 lenders.On the technical front, Reliance Power is showing signs of being in the oversold zone. The stock's Relative Strength Index (RSI) on the daily chart stands at 28.0. An RSI below 30 typically indicates that the stock is oversold, suggesting a potential for a short-term rebound if buying interest returns.Reliance Infrastructure has a daily RSI reading of 31.0. While not technically in oversold territory yet, it is hovering just above the oversold threshold. In general, an RSI below 30 is considered oversold, while a reading above 70 is seen as overbought, indicating potential reversal points.Reliance Home Finance, on the other hand, has a daily RSI of 49.2, placing it in the neutral zone. This indicates a more balanced condition, with neither strong buying nor selling pressure at the moment.The RSI is a widely used momentum indicator that measures the speed and change of price movements, helping traders assess whether a stock might be overbought or oversold.
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