A woman walks past the Bombay Stock Exchange (BSE) building in Mumbai, India on January 31, 2020. REUTERS / Francis Mascarenhas / File Photo

BENGALURU, Aug.6 (Reuters) – Indian stocks fell on Friday after the country’s central bank kept interest rates unchanged, while Reliance Industries fell after India’s highest court ruled that an order to The arbitration stopping the sale of Future Retail assets to the conglomerate was valid.

At 5:35 am GMT, the NSE Nifty 50 (.NSEI) fell 0.1% to 16,273.05 and the S&P BSE Sensex (.BSESN) slipped 0.2% to 54,392.86.

Shares of Reliance (RELI.NS) and Future Retail Ltd (FRTL.NS) fell 2.3% and 9.9%, respectively, after India’s highest court upheld an arbitration order ending the the conglomerate’s $ 3.4 billion deal to buy Future Retail, Reuters sources said. Read more

Meanwhile, the Reserve Bank of India kept the repo rate (INREPO = ECI), its policy lending rate, at 4%, and the reverse repo rate (INRREP = ECI), the rate d ‘loan, at 3.35%.

“The outlook for aggregate demand is improving, but underlying conditions remain weak. Aggregate supply is also below pre-pandemic levels,” RBI Governor Shaktikanta Das said in his policy speech monetary.

Maintaining the accommodative stance was expected by the streets as markets are at a critical point on the path to economic recovery, said Gaurav Garg, head of research at CapitalVia Global Research, adding that tinkering with politics now won’t. would not be wise. .

The benchmark 10-year bond yield rose to 6.24%, while the Indian rupee fell to 74.20 against the dollar.

“Cheaper credit appears to have lost its luster due to rising inflation and this could prove to be an important factor in the coming months that will set the market price,” Garg also said.

Among other stocks, Glenmark Life Sciences (GLEM.NS) rose 9% to 792.80 rupees on its debut in the Mumbai market after its initial public offering (IPO) was oversubscribed 44 times.

($ 1 = 74.1050 Indian rupees)

Reporting by Nallur Sethuraman in Bengaluru; edited by Uttaresh.V and Sriraj Kalluvila

Our standards: Thomson Reuters Trust Principles.

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