Maintaining financial stability remains one of the uppermost objectives of the Reserve Bank of India (RBI), drawing from its wide mandate as the regulator of the banks, NBFCs and payment systems; regulator of the money, forex, government securities and credit markets; and also as the lender-of-the-last resort, according to Shaktikanta Das, RBI Governor. He noted in a latest speech that since the global financial crisis (GFC) of 2008, financial stability has featured even more prominently in the discourse of central banks. It has been well documented that central banks in many countries were narrowly focused on price stability and perhaps overlooked the build-up of financial instability during the great moderation period.
Benchmark indices continued hovering near the day s low in early afternoon trade. The Nifty index slipped below 14,300 level. Barring the Nifty FMCG index, all the sectoral indices on the NSE declined. At 12:20 IST, the barometer index, the S&P BSE Sensex, dropped 391.26 points or 0.80% at 48,643.41. The Nifty 50 index lost 136.40 points or 0.95% at 14,297.30.
In the broader market, the S&P BSE Mid-Cap index fell 1.90% while the S&P BSE Small-Cap index declined 1.82%.
The market breadth was very weak. On the BSE, 698 shares rose and 2,081 shares fell. A total of 141 shares were unchanged.
Derivatives:
The NSE s India VIX, a gauge of market s expectation of volatility over the near term, jumped 4.03% to 24.98. The Nifty 28 January 2021 futures were trading at 14,305.40, at a premium of 8.10 point compared with the spot at 14,297.30.
Read more about Sensex, Nifty trim losses; Nifty reclaims 14,300 on Business Standard. Key benchmark indices pared losses in afternoon trade. At 13:20 IST, the barometer index, the S&P BSE Sensex, declined 324.37 points or 0.66% at 48,710.30. The Nifty 50 index lost 119.50 points or 0.83% at 14,314.20.
The Delhi High Court on Monday directed the administrators of Punjab and Maharashtra Co-operation (PMC) Bank to decide afresh about the applications of depositors seeking money for the medical and educational emergencies. The court also directed the petitioner to submit the list of depositors before administrators, which included medical and educational emergencies within three weeks. The Bench of Justice DN Patel and Justice Jyoti Singh said, We direct the depositors to approach the administrators of PMC Bank giving the need in detail, for which they would require the money. Administrator to decide within two weeks. They would inform the decision through an affidavit.