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Stock market update: Nifty Realty index advances 1.75%

Economic Times2 days ago

NEW DELHI: The Nifty Realty index closed on a positive note on Thursday.
ADVERTISEMENT Shares of Sobha Ltd.(up 5.7 per cent), Brigade Enterprises Ltd.(up 3.98 per cent), Prestige Estates Projects Ltd.(up 2.82 per cent), DLF Ltd.(up 2.78 per cent) and Godrej Properties Ltd.(up 2.13 per cent) ended the day as top gainers in the pack.
On the other hand, Phoenix Mills Ltd.(down 1.68 per cent) and Anant Raj Ltd.(down 0.07 per cent) finished as the top losers of the day.
The Nifty Realty index closed 1.75 per cent up at 993.1. Benchmark NSE Nifty50 index ended up 130.71 points at 24750.9, while the BSE Sensex stood up 443.79 points at 81442.04. Among the 50 stocks in the Nifty index, 32 ended in the green, while 18 closed in the red.
ADVERTISEMENT Shares of Vodafone Idea, Reliance Power, Eternal, YES Bank and Suzlon Energy were among the most traded shares on the NSE. Shares of Oricon Enterprises, NDR Auto Components, Welspun Investments, Privi Speciality Chemicals and Welspun Corp hit their fresh 52-week highs in today's trade, while Uma Exports, Navkar Builders, Shree Ram Proteins, Lasa Supergenerics and Axita Cotton hit their fresh 52-week lows.
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Thanks, Mr Sanjay Malhotra for giving wings to investors' dreams
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More money on the Street draws bulls to realty, auto, financials
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Time of India

time37 minutes ago

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Following the RBI's policy rate cut and CRR reduction, interest rate-sensitive sectors like banks, financials, property, and autos experienced a surge, propelling the Nifty past 25,000. The Nifty Bank index reached a new high, while realty and financial services also saw significant gains. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Interest rate-sensitive sectors, such as banks, financials, property and automotives, surged after Friday's twin policy announcements on funding costs and liquidity enhancement , pushing the benchmark Nifty higher by more than 1% past the 25,000 Nifty Bank index made a fresh high of 56,695 level on Friday, ending 1.5% higher. Nifty's Realty index was up 4.7% at close, the Financial Services index advanced 1.75%, and the Auto index closed 1.5% higher. The Reserve Bank of India (RBI) slashed the policy rate by half a percentage point - the most since March 2020 - and reduced the cash reserve ratio (CRR) to the Covid-era record low."The market has responded appropriately to the RBI's repo rate and CRR cuts, which could translate into longer-term gains if consumption also picks up," said Amit Khurana, head of equities at Dolat Capital Market. "Rate-sensitive sectors are gaining momentum, driven by short covering, but sustained growth depends on increased cash market participation."The Nifty Bank and Financial Services indices are also seeing a change in trend on the technical charts."Bank Nifty witnessed a bullish breakout from a seven-week consolidation phase on Friday, marking fresh all-time highs. Finnifty has also seen a similar breakthrough," said Vipin Kumar, assistant vice president of derivatives and technical research at Globe Capital said Bank Nifty is poised to move towards the 57,500-57,800 range in the near term, with key support around 55,400. This implies about a 2.1% upside in the index from current levels.A rate cut usually translates into lower lending rates for the banks, prompting citizens to borrow more at cheaper rates, either for investing or buying new assets like homes or vehicles. Due to the cut in CRR rates, NBFCs will also get easier access to bank funds, which may increase their lending said from a longer-term perspective, some of these sectors may be attractive to investors."Valuations for banks remain modest, with NBFCs favoured due to the CRR cut. Real estate may also benefit from improved sentiment, though auto demand remains weak and is unlikely to be significantly impacted by these measures," he the shorter term, Kumar said that the auto index has formed a fresh buying pivot with renewed buying interest and he will reassess the index near the 24,150 level."In the real estate sector, we recommend buying the index heavyweight DLF on dips, while other stocks within the space can be considered at current levels," he said.

Thanks, Mr Sanjay Malhotra for giving wings to investors' dreams
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Time of India

time37 minutes ago

  • Time of India

Thanks, Mr Sanjay Malhotra for giving wings to investors' dreams

Live Events Hot Property (You can now subscribe to our (You can now subscribe to our ETMarkets WhatsApp channel Borrowing costs at India's two most rate-sensitive sectors - property and automobiles - are set to head South soon after the central bank Friday made its steepest rate cut since March 2020 and promised ample liquidity in the shape of the lowest cash reserve ratio (CRR) on record. The Nifty Realty index surged nearly 5%, even dwarfing gains for financial stocks, reflecting the likely impact of the big-bang policy moves on home of home, personal, and car loans tied to external benchmarks, such as the repo, will see an immediate downward reduction. However, loans tied to the marginal cost of funds-based lending rate (MCLR), like corporate exposures, will take longer to head action, Reserve Bank of India (RBI) Governor Sanjay Malhotra said, is geared toward boosting broader credit demand for which monetary support is a "necessary condition", although not sufficient."We see this as an opportunity to step up credit deployment, especially towards productive sectors and retail demand, while continuing to support MSMEs, retail, agri, and other priority segments," said Ashok Chandra, MD & CEO of Punjab National Bank On Friday, the RBI reduced the benchmark repo rate by 50 basis points to 5.5%, taking the total cut to 100 bps in the current rate easing cycle that began in February. Furthermore, the RBI also reduced the CRR or the funds lenders must park with the RBI, by a percentage point starting September, promising to add $30 billion of liquidity in phases and helping reduce borrowing the cut, State Bank of India , the largest mortgage lender, was charging 8-8.65% interest on home per a Paisabazaar analysis, if the home loan rate falls to 7.5%, a loan of ₹75 lakh with a tenure of 20 years would see EMI fall to ₹60,419 a month. At 8% a borrower would pay ₹62,733 as monthly interest such as Godrej Properties DLF and Prestige surged between 5% and 6.75% on unusually large volumes, overshadowing gains at large financiers that are expectedly the biggest gainers from the policy moves Friday. The Nifty Automobile index climbed 1.5%, with truckmaker Ashok Leyland leading the list of gainers at 3.6%.The RBI's decision is also expected to help improve housing affordability and prop up demand for residential properties across the country, especially in the mid-income and affordable housing segments, experts home loan rates likely to ease following this rate reduction, realty developers are optimistic about a fresh wave of end-user activity."The rate cut is expected to bring down home loan interest rates , improving affordability and widening access to homeownership. This could provide a meaningful push for first-time buyers and households looking to upgrade, especially in price-sensitive urban and suburban markets. We expect this move to translate into increased enquiries and faster decision-making in the coming months," said Deepak Goradia, chairman of Dosti borrowing costs could also unlock fence-sitter demand in tier II and III cities, where salaried buyers are highly rate-sensitive.

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