Not much of the effect could be seen on the Indian stock market after the third quarter monetary policy review. The Indian stock market more or less remained steady. Indeed, equities opened higher despite mixed indications from Asian markets. But have since eased.
Reserve Bank of India's decision to hold its key rates, citing inflationary concerns, showed a mixed impact on rate sensitive sectors. Earlier Banking shares were steady in the trade and realty shares were also higher, but automobile stocks showed decline.
The indices--benchmark and sector--have since moved away further. The BSE Bankex Index was down 0.59 per cent at 11,054.29 and Realty Index weaker by 0.72 per cent at 10,326.11, while the BSE Auto Index down 1.82 per cent at 4,834.21.
In the banking sphere, the losses have been at low-key, maximum being 2.4 per cent on Bank of Baroda, while others were down in the range of 1.40-0.14 per cent. The second largest public sector, BoB have plans to announce its third quarter results today. Other losers comprised Axis Bank (down 1.40%), Kotak Mahindra Bank (1.26%), ICICI Bank (1.17%), Andhra Bank (1.13%), Bank of India and Karnataka Bank (both down 0.85%), Centurion Bank of Punjab (0.78%), Indian Overseas Bank (0.70%), Federal Bank (0.14%).
Earlier in the day the Bankex had touched a high of 11,179.98, while the low so far was 10,981.13.
Among automobile shares, Bajaj Auto declined, down 3.94 per cent at Rs 2,285. Mahindra & Mahindra was weaker by 2.44 per cent, followed by Maruti Suzuki down 2.32 per cent, while Escorts, Tata Motors and TVS Motors were down nearly 2 per cent. Hero Honda and MRF lower by 1.4-0.90 per cent.
The BSE Auto Index earlier in the day had made a high of 4,944.25 before sliding to 4,816.32.
In the realty space, except for Mahindra Lifespaces and India Bulls Realty, all others were down 2-1 per cent. Mahindra Lifespaces and India Bulls Realty were down 3.14 per cent each.