Market LIVE: Equity benchmarks Sensex, Nifty slumped big time in early trade on Wednesday. Sensex nosedived 94.39 points to start the day at 41,858.24 whereas Nifty plummeted 36.75 points to open at 12,325.55. Tech Mahindra topped the Sensex pack with 0.65% growth while Indusin Bank continued its ranking at the bottom having lost 3.25%. Bharti Infratel was the biggest gainer on the Nifty 50 pack at the opening while Yes Bank tumbled as the biggest loser. Union government is set to release which will show how India fared on the trade front in the first nine months of FY20. Exports have seen a prolonged slump in the current fiscal year. India’s merchandise exports have contracted by around 2 per cent on-year till November, which rose by 10.9 per cent in the corresponding period of the previous year. Imports suffered a contraction of 5.3 per cent in the same duration, driven by subdued factory demand.
With a sharp spike in December’s retail inflation, the Reserve Bank of India (RBI) may not cut repo rates any further in the monetary policy review next month, according to a note by SBI. An acceleration to 7.35 per cent in retail inflation, breaching the upper end of the RBI’s comfort level of 4 per cent plus-minus two percentage points, may force the governing body to hold rates and analyze its ‘accommodative’ stance at a time when economic growth is at six-years low.
Private sector lender Bandhan Bank on Tuesday reported a net profit of Rs 731 crore for the quarter ended December, up 121% from the corresponding figure in the same quarter last year.
Private lender IndusInd Bank on Tuesday reported a 33% increase in its consolidated net profit at Rs 1,309 crore for the quarter ended December 31, 2019, due to a healthy growth in retail and treasury income. However, worsening asset quality and a 72% spike in provisioning are a matter of concern.