Dalal Street appears to have taken the resignation of RBI deputy Governor Viral Acahrya six months before his term ends in its stride. Analysts at Japan’s Nomura Sonal Verma and Aurodeep Nandi said, “Dr Acharya’s departure is not a complete surprise as friction between him and the government on the issue related to central bank’s independence has come to fore. Names of Sanjeev Sanyal , principal adviser in finance ministry and Dr Michael Patra, an MPC member (and ED in RBI) are possible candidates to replace Dr Acharya. In the margin, the composition of the MPC will become increasingly dovish in our view as Dr Acharya stood on more hawkish side of the policy spectrum. Dr Patra’s views are well-known while Mr Sanyal had argued for lowering cost of capital in the past.” CARE Ratings M Sabnavis wanted RBI to hasten the process of finding a replacement for Acharya since it is considered significant as belonging to economists playing crucial role in MPC policy matters.
In Dalal Street it was business as usual with the 30- share Sensitive Index of Bombay Stock Exchange and 50- scrip Nifty of National Stock Exchange trade in a limited range with distinct downside bias which brokerages say was normal ahead of coming Thursday’s expiry of F&O ( futures and options) series for June. Considering this to be the last before the Union Budget to be presented to Parliament on 5 July, market participants have been more circumspect more inclined to avoid risk. The markets may stay volatile also on account of tension in Middle-East involving United States and Iran. The G20 conference due in a few days will bring US and Chinese presidents face to face where tariff rates on mutual exports are certain to figure.
Analysts say conditions have been complicated by overall slowdown in global economy with central banks working on the policies to reverse the trends. The tension in Middle-East has also resulted in the rise in crude oil prices. In view of such mounting adds, investors in Dalal Street are looking for a trigger in the Budget in another ten days. The market mood has eased a bit as the monsoon current has picked up covering several states in the last four days. However, big bank shares were in demand today although there was no big jump in their prices. A few auto shares also gained after last week’s battering.
Sensex ended 39,122.96 (-71.53) points down 0.18 per cent. Nifty at 11,699.65 (- 24.45) points lost 0.21 per cent. Nifty PSU Bank posted a marginal gain of 0.25 per cent closing 3,093.35 (+7.80) points. In Sensex 15 shares ended up and as many down. For Nifty the ratio was 22:27:1. Gainers in BSE benchmark included MNM Rs 635.80, 1.36 per cent; TCS Rs 2,277, 1.20 per cent; and SBI Rs 353, 1.02 per cent.
Bajaj Allianz Life survey: Bajaj Allianz Life, a leading private life insurer, revealed a study on the country’s life goals, India’s Life Goals Preparedness Survey 2019. In the Survey over 150 life goals were mapped and it finds how seriously Indians are considering unconventional life goals. Some of the newage life goals that emerged include entrepreneurship, focus on health & fitness, travel, life enrichment to strengthen or re-establish the connection with ‘self’ amongst others. The preparedness index across India, age groups and geographies stood in the 50s range.
Speaking at the unveiling of the Bajaj Allianz Life India’s Life Goals Preparedness Survey 2019, Bajaj Allianz Life Insurance MD & CEO Tarun Chugh said, “the scientific and in-depth findings will play an essential role in our business strategy. The insights from the first of its kind survey clearly indicate how life goals are evolving and millennials are opting for unconventional life goalsand women driving some of these new-age life goals like travel, health and fitness.” He added, “I’m confident that our survey will prove beneficial and valuable for many more brands who are looking at understanding the life goals of India.”