Stock Market Highlights: Indian stocks were mixed on Friday, with a decline in financials stocks following the country’s central bank tightening regulations on consumer lending offsetting a rise in response to an improvement in the outlook for the U.S. a drop in oil prices and interest rates.
Financial services, banks, and private banks all saw losses of roughly 0.75%, while public sector banks saw a 2% decline.
The Reserve Bank of India (RBI) tightened regulations for credit cards and personal loans, raising concerns about the sector’s loan growth and profitability. As a result, the benchmark Nifty 50’s financials sub-index, which is the most heavily weighted, has declined. – Stock Market Highlights
Among the top Nifty losers, State Bank of India, Axis Bank, and Bajaj Finance fell between 0.5% and 2.5%.
With the hopes that the US Federal Reserve won’t raise rates again this cycle and the moderation of crude oil prices to a four-month low, all other major Nifty sectors also saw gains.
For countries like India that import the commodity, a decline in oil prices is advantageous. Hindustan Petroleum Corp, Bharat Petroleum Corp., and Indian Oil Corp. all saw a 1% increase in their stock prices.
The overall sentiment in the market is positive, despite today’s slip caused by financials, stated Arihant Capital Markets director Anita Gandhi.
Gandhi went on to say that the momentum might be increased by the resurgence of buying by foreign investors following a 15-session selling streak as well as the decline in crude oil prices.
With the information technology (IT) index rising 5.45% and on track for its best week in 16 months, the Nifty 50 and Sensex have gained roughly 1.5% each for the week thus far.
