Market Outlook for the day – For sustainability of the upmove, Nifty should decisively close above 7750 spot level mark otherwise we'll trade sideways in the next session.
Hero MotoCorp reported 2.5% increase in its net profit at Rs 562.7 crore for the quarter ended June 2014, from Rs 549 crore, in the corresponding quarter last fiscal. Total Sales increased to Rs 7,036.8 crore, up 14.2 per cent, from Rs 6,160 crore in year-ago period.
Power Grid Corporation Ltd has reported a 9.24% increase in its net profit for the first quarter of fiscal 2014-15 on the back of higher income from operations. The company’s net profit for the quarter stood at Rs1,136.51 crore against Rs1,040.34 crore in the same quarter last year.
RBI Monetary Policy:
The RBI kept the key policy rates unchanged in the third bi-monthly credit policy review. The RBI has decided to reduce the statutory liquidity ratio (SLR) of scheduled commercial banks by 50 basis points from 22.5 per cent to 22.0 per cent of their NDTL with effect from the fortnight beginning August 9, 2014; and continue to provide liquidity under overnight repos at 0.25 per cent of bank-wise NDTL and liquidity under 7-day and 14-day term repos of up to 0.75 per cent of NDTL of the banking system.
Results on August 06,2014: Adani Ports, Adani Power, Amara raja Batteries, Apollo Tyres, City Union Bank, IDBI Bank, Jindal Steel
Key benchmark indices surged in late trade as market sentiment was boosted after the Reserve Bank of India (RBI) in its policy review kept policy rates and cash reserve ratio unchanged while cutting statutory liquidity ratio by 50 basis points to infuse liquidity in the financial system. Firmness in European stocks also boosted sentiment. Interest rate sensitive banking, realty and auto stocks led rally on the bourses. The market breadth indicating the overall health of the market was strong.