A morning walk down Dalal Street | Break below 11,829 could take Nifty towards 11,600

Episode 1283,   Jun 07, 2019, 01:30 AM

Sensex, Nifty log biggest one-day loss of the year 2019. The RBI slashed repo rates by 25 bps to 5.75% and changed the stance to accomodative from neutral.

The RBI rate cut is expected to bring down bursen of EMIs on home and auto loans, and reduce the debt repayment burden on corporates, suggest experts. However, depositors would earn less on their bank investments.

A downward revision of FY20 GDP growth forecast and no major measure to address liquidity conditions for NBFCs dented sentiment, suggest experts.

The market is facing a crisis of confidence with respect to the precariously perched NBFC (including HFCs) and fixed-income mutual fund sectors, they say.