RBI Cuts Repo Rate by 25 bps, NBCC Bags Orders, Muthoot Slumps & More
- Share.Market
- 8 min read
- 09 Apr 2025
09 April 2025
Highlights
Benchmark equity indices ended in the red on Wednesday following the RBI’s Monetary Policy Committee (MPC) rate announcement. The Nifty 50 slipped 0.61%, while the BSE Sensex declined 0.51%. Among sectors, Nifty FMCG defied the trend, emerging as the top performer with a 1.78% gain. On the stock front, Jyothi Labs surged 10.27%, claiming the day’s top gainer spot, whereas Quess Corp plunged 8.11%, becoming the biggest loser.
Headline Indices
Sectors at a Glance
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What moved the market?
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Market Highlights
NBCC (India) Ltd has secured new construction orders worth ₹120.9 crore. The projects include court buildings in Andhra Pradesh and renovation work in New Delhi.
Shares of ITI Ltd surged after the company announced the commencement of work on a network operations center in Himachal Pradesh. The project is part of the government’s BharatNet initiative to expand broadband access in rural areas. The total project value, covering two additional regions, stands at ₹50,500 crore (approx. $583.5 million).
RailTel has signed a 5-year MoU with NBCC to jointly develop data center projects in India and overseas. NBCC will handle project management and construction, while RailTel will manage IT infrastructure and operations.
Shares of Muthoot Finance, among other lenders, fell after the RBI flagged concerns over gold loan practices and announced plans to tighten regulations. With gold loans making up 95% of Muthoot’s AUM, stricter rules on sourcing, valuation, and auctions could impact its core business.
India at a Glance
- RBI cut the repo rate by 25 basis points for the second straight time to 6% and shifted to a growth-friendly stance. India’s central bank has also changed its stance to “accommodative” from its earlier stance of “neutral”.With inflation cooling to 3.61%, short-term rates were also lowered. FY26 GDP forecast was trimmed to 6.5% amid global trade worries.
- India’s forex reserves hit $676.3 billion as of April 4, 2025—enough to cover 11 months of imports. RBI says this strengthens India’s ability to handle global shocks and maintain economic stability.
- India is open to removing import duties on some U.S. goods—even in PLI-linked sectors – to fast-track a trade deal. But only if those goods are mostly made in the U.S. (30–40% value added).
- India’s WPI inflation is expected to ease to 2.1% in March 2025, mainly due to falling vegetable and fuel prices. Slight rises in edible oil and sugar had minimal impact, says report.
Markets Beyond India
- Trump’s steep 104% tariff on Chinese goods has kicked in, escalating tensions and risking a full-blown trade war. Experts warn of global fallout, with fears of Chinese products flooding other markets and hurting small industries.
- Asian markets, including the Nikkei, have seen sharp declines, reflecting the global economic uncertainty caused by U.S.-China trade tensions
- The S&P 500 has plummeted by 12% since the announcement, reflecting the market’s anxiety about global trade tensions
Corporate Actions
| Stock | Ex-Date | Record Date | Event Type | Event Details |
| Ashiana Housing | 11 Apr 2025 | 11 Apr 2025 | Interim Dividend | ₹1.00 |
| CRISIL | 11 Apr 2025 | 11 Apr 2025 | Final Dividend | ₹ 26.00 |
