Market stabilises in morning trade; some Adani Group firms recover

Mumbai (Maharashtra) [India], February 7 (ANI): The domestic equity market opened with gains on the back of strong cues from Asian stocks markets.

The equities may likely to be steady today as investors are keeping a wait-and-watch mode on the outcome of the three-day meeting of the Reserve Bank of India (RBI)’s monetary policy committee that started on Monday.

The domestic stocks in opening trade also seemed to have recovered from last week’s losses when shares of the Adani Group firms suffered a rout and the outcome dragged on the stock key indices, namely Sensex and Nifty.

BSE Sensex went up 123 points to 60,630.32 while Nifty surged 34 points to 17,798.95 at 9.30 on Tuesday morning.

Adani Enterprises, Gravita, Tri Turbine, Adani Transmission and BLS International Services were among the active stocks that went up in Tuesday morning on BSE. Lloyd Steel, ATGL, Adani Power, Balamines and Mold-Tek Packaging were among the laggards.

Among the Adani Group firms, shares of Adani Enterprises recovered Rs 21.20 or 1.53 per cent to Rs 1,593.70 apiece while Adani Ports was up Rs 4.50 or 0.83 per cent to Rs 549.80 on Tuesday morning. Adani Wilmar’s shares were up Rs 14.40 or 3.79 per cent to Rs 393.60 while Adani Transmission’s shares surged Rs 62.80 or 5 per cent to Rs 1,319.25.

Shares of Adani Green were down Rs 44 or 5 per cent to Rs 844.65 while Adani Total Gas was down Rs 77 or 5 per cent to Rs 1,464.20 on Tuesday morning.

In Asian markets, Japan’s Nikkei was up 54 points, Hong Kong’s Hang Seng surged more than 222 points, China’s Shanghai was trading 6 points up while S and P ASX also surged 6 points on Tuesday morning.

In American market, Dow Jones ended with 34 points down, Nasdaq decreased 119 points, SP dipped 25 points while Refinitiv United States lost 2 points.

In European markets, FTSE dipped 65 points, CAC was trading in the green while Deutsche and Refinitiv were trading in the negative territory when the Asian markets opened on Tuesday morning.

On Monday, Sensex settled at 60,506.90, down 334.98 points or 0.55 per cent, whereas Nifty closed at 17,764.60 level, down 89.45 points or 0.50 per cent.

The three-day Reserve Bank of India monetary policy committee meeting commenced on Monday with the outcome of the deliberations set to be announced on February 8.

In its December monetary policy committee meeting, the RBI raised the policy repo rate, the rate at which the RBI lends money to all commercial banks, by 35 basis points (bps) to 6.25 per cent.

RBI has hiked the key policy rate by 225 basis points since May 2022 to 6.25 per cent to cool off domestic retail inflation that stayed above its upper tolerance limit for nearly three quarters. Raising interest rates typically cools demand in the economy, thereby putting a brake on inflation. (ANI)