Indian equity benchmarks fell sharply ahead of Reserve Bank of India’s monetary policy decision amid weak global cues. The S&P BSE Sensex fell 0.55 percent or 195 points to 35,938 and the NSE Nifty 50 Index declined 0.65 percent or 70 points to 10,798.
All 19 sector gauges compiled by BSE were trading lower led by the S&P BSE Metal Index’s 1.2 percent fall. The mid- and small-cap shares were in line with larger peers as the S&P BSE MidCap and S&P BSE SmallCap Indices fell 0.4 percent each.
Tata Motors Falls On Second Downgrade In Five Months
Shares of the Mumbai-based parent of luxury car maker Jaguar Land Rover fell as much as 3.21 percent to Rs 170 after S&P Global Ratings cut Tata Motors’s long-term rating deeper into junk.
Tata Motor’s leverage may deteriorate over the next 12 to 18 months due to the weaker-than-expected performance of Jaguar Land Rover Automotive Plc, S&P said in a statement on Tuesday. The automaker’s rating remains on credit watch with negative implications given uncertainties around Brexit and will be revisited once the outcome for the U.K. is clearer, it said.
Rupee Opens Lower Ahead Of RBI Policy Decision
Rupee opened lower at 70.66 per dollar against yesterday’s close of 70.50 ahead of Reserve Bank of India’s monetary policy decision. The local unit fell as much as 0.34 percent or 24 paise to 70.74 against the greenback.
Nifty 11,000 Call Most Active On NSE
Nifty’s 11,000 strike price call option contract was among the most active option contracts on the National Stock Exchange. Premium on the contract fell 29 percent to Rs 66.50. Over 3.87 lakh shares were added to the open interest which stood at over 19.48 lakh shares.
Jet Airways Rises On Report New Investors Coming In 2-3 Months
Shares of the Mumbai-based cash-strapped airline operator rose as much as 2.8 percent to Rs 311.75 apiece. Jet Airways would bring on board a new investor in two-three months to help fund the cash-strapped airline, the company’s CEO Vinay Dube told its pilots, Mint reported citing unnamed sources.
The stock declined has 63 percent so far this year compared with 6.6 percent gain in the BSE Sensex Index.