The Nifty and the Sensex opened the day on a negative note with Adani Group stocks falling after regulatory action.
Join us as we follow the top business news through the day.
Adani shares fall after India securities depository freezes foreign funds' accounts
Today's biggest loser in the markets.
Reuters reports: "Shares of Adani group companies fell by about 5% to 18% on Monday, after the National Securities Depository Ltd (NSDL) froze the accounts of three foreign funds that are among the top stakeholders in the firms.
Adani Enterprises and Nifty 50-listed Adani Ports and Special Economic Zone were the top losers, plunging more than 15% each.
The NSDL has frozen the accounts of Albula Investment Fund, Cresta Fund and APMS Investment Fund, its website shows without citing a reason for the freeze.
The freeze on the three accounts could be because of insufficient disclosure of information related to beneficial ownership, according to a report https://economictimes.indiatimes.com/markets/stocks/news/a/cs-of-3-fpis-owning-adani-shares-frozen/articleshow/83496483.cms in the Economic Times.
The funds have an investment of 435 billion Indian rupees ($6 billion) in Adani group companies, according to the report.
An Adani spokesman did not immediately respond to a request seeking comment. Reuters was unable to reach NSDL for comment."
NSDL freezes 3 foreign funds with ₹435 billion investment in Adani group, says media report
Shares of Adani group companies fell between 5% and 18% on Monday, after the Economic Times reported the National Securities Depository Ltd (NSDL) had frozen the accounts of three foreign funds, which have a total investment of 435 billion rupees in Adani group companies.
Adani Enterprises and Nifty 50-listed Adani Ports and Special Economic Zone were the top losers, falling over 15% each.
Indian shares fall as Adani stocks weigh; CPI data eyed
A negative start to the week for stocks.
Reuters reports: "Indian shares on Monday retreated from record highs hit in the previous session, weighed down by Adani Group stocks, with investors awaiting consumer price inflation data (CPI) for May due later in the day.
The blue-chip NSE Nifty 50 index fell 0.24% to 15,762.60 and the benchmark S&P BSE Sensex lost 0.13% to 52,396.98 by 0347 GMT.
All Adani Group stocks, including Adani Enterprises Ltd and Adani Ports and Special Economic Zone Ltd , opened sharply lower after the Economic Times reported https://economictimes.indiatimes.com/markets/stocks/news/a/cs-of-3-fpis-owning-adani-shares-frozen/articleshow/83496483.cms that the National Securities Depository Ltd had frozen the accounts of three foreign funds that have a total investment of 435 billion rupees in Adani group companies.
Both the indexes posted their fourth straight weekly gain, on hopes that the economy would return to normalcy as several states eased COVID-19 pandemic restrictions.
Investors now eye the CPI data, with a Reuters poll showing that the country's retail inflation likely rose last month after a three-month low in April on higher food and energy prices.
State-run Coal India Ltd is set to report quarterly results later in the day.
Among global cues, the focus will also be on the U.S. Federal Reserve's policy meeting this week. The central bank has assured that rising inflation will not last long enough to warrant a sooner-than-expected end to easy-money policies."
‘Bond’ with the best to stay ahead of inflation
These are difficult days for the Indian middle and lower middle class, especially senior citizens who do not have a regular pension. Most who have not worked for either the Central or State governments or public sector units are unlikely to be receiving pension benefits indexed to their last-drawn salaries and inflation. Instead, these senior citizens depend on income derived as interest from fixed deposits in scheduled banks.
While HDFC Bank offers 4.9% for regular depositors and 5.4% for senior citizens on fixed deposits of maturities of 1 year to 2 years, respectively, SBI offers 5% and 5.50%, for the same tenors, for the respective categories.
