The Reserve Bank of India’s (RBI) monetary policy committee is set to announce its decision later today. A CNBC-TV18 poll shows that the RBI may hold the repo rate at 6 percent.In an interview to CNBC-TV18, Deepali Bhargava, Economist at Credit Suisse spoke at length about the same. Not expecting any rate cut today, said Bhargava. She further said that it will be important to see what RBI says about the growth of the economy. Investors continued buying activity hours before the RBI’s monetary policy committee (MPC) announces its decision on key interest rates. The Sensex was up 185.09 points at 31682.47, while the Nifty was up 59.50 points at 9919.00. The market breadth was positive as 1,449 shares advanced against a delcine of 887 shares, while 97 shares were unchanged.
Sun Pharmaceuticals, ITC and Dr Reddy’s Laboratories gained the most on both indices, while Bharti Airtel, ICICI Bank and Coal India lost the most. The Centre has cut excise duty on petrol and diesel by Rs 2 per litre and now CNBC-TV18 learns that states have also been asked to review the value added tax (VAT) on petrol and diesel.
In an interview, Harshvardhan Dole, Vice President-Institutional Equities, IIFL shared his readings and outlook on the same. The government has taken a very proactive step and in a way they have supported their own reforms agenda in a big way, he said. We like all the three oil marketing companies (OMCs), Hindustan Petroleum Corporation Ltd (HPCL), Bharat Petroleum Corporation Ltd (BPCL) and Indian Oil Corporation (IOC) and among the three HPCL is our top pick, he added.