Nifty rangebound, Midcap outperforms; liquor, aviation stocks up
The market has opened weak as the Sensex is down 118.97 points or 0.4 percent at 26197.37. The Nifty is down 39.25 points or 0.5 percent at 8075.05. About 437 shares have advanced, 396 shares declined, and 45 shares are unchanged.
Cipla, Asian Paints, Hero MotoCorp, Wipro and Adani Ports are top gainers while SBI, Axis Bank, ICICI Bank, ONGC and GAIL are losers in the Sensex. Banks are under pressure as Reserve Bank of India has asked banks to maintain an incremental cash reserve ratio of 100 percent, the move is estimated to suck out around Rs 3.24 lakh crore of excess liquidity from the system and will be applicable on deposits between September 16 and November 11 fortnights. Bonds and bank stock will take a hit in trade today.
The Indian rupee opened marginally higher at 68.42 per dollar on Monday versus 68.46 Friday.
"Positive cues from global as well as domestic equity market will help the rupee to trade with a positive bias. The trading range for the USD-INR pair will be 68.20-68.80/dollar."
The dollar fell against major rivals on Friday as investors took advantage of a pullback in US bond yields and a holiday-shortened week to consolidate gains that have propelled the currency to a nearly 14-year peak.