After a week long speculation on RBI mid-quarterly monetary policy meet, finally the event lays-off with a much-expected 25 bps hike in repo and reverse repo rate. The day ends with almost 60 point gains on BSE Sensex and 10 points on NSE Nifty.
Markets witnessed sharp volatility amidst RBI policy announcement and settled higher than yesterday’s closing indicating that the rate hike was already discounted during the week by the market participants.
Amongst the major Gainers were Financial Technologies (+10%), Rajesh Exports (+8%), Indiabulls FinServices (+7%), Manappuram Finance (+7%) and Tata Motors (+6%). While Financial Technologies rallied on the back of initial stake sale nod to MCX; Tata Motors has rallied 13% in last three sessions on the back of its announcement that global vehicle sales rose 3% 87,459 in August 2011 over the same month of previous year.
Major laggards for the day include Piramal Healthcare, Ambuja Cements, United Spirits, HCL Technologies and ABB Ltd – all losing between 3-5% for the day. Among bullion trades, Gold and Silver were looking weak, with Gold moving down by over Rs.500 and Silver slumped by almost Rs.1000, even as I write this.