Fixed Income Market Analysis Bond Yields to come off Post 30th July Policy Review |
The bond market will go into the 30th July RBI policy review on a hopeful note. The market will expect the central bank to maintain status quo on policy rates of CRR (Cash Reserve Ratio) and Repo. |
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Equity Market Analysis Sensex and Nifty decline on RBI liquidity Tightening Measures |
The Sensex and the Nifty shed 2% and 2.37% respectively last week on the back of additional liquidity tightening measures implemented by the RBI. The RBI reduced the percentage of the amount the banks can borrow under the Liquidity Adjustment Facility (LAF) window to 0.5% of NDTL (Net Demand and Time Liabilities) from the earlier 1% and also increased the minimum daily average holding of the banks under the Cash Reserve Ratio (CRR) to 99% from 70%. |
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