Global funds sour on India stocks as some cut allocation to zero

Global investors are reducing Indian equity exposure due to a lack of AI investment themes. Foreign portfolio ownership has fallen to a seventeen-year low as funds exit the market. India now ranks as the least-favored market in Asia according to a recent survey. Local institutions are providing support, but foreign capital remains a concern. Investors […]

Oversold markets may stage near-term rebound, say analysts

Indian equities experienced a decline on Friday, mirroring Asian markets’ downward trend. Both Nifty and Sensex indices closed lower for a fifth consecutive week. Rising crude oil prices and US bond yields kept investors on edge throughout the trading session. Broader market indices also saw a dip, reflecting the overall market sentiment. Despite some recovery, […]

10-year bond yield crosses 7% as RBI trims auction bids

On Friday, benchmark government bond yields climbed by five basis points, surpassing the 7% threshold. The Reserve Bank of India managed to accept less than half of the amount it had targeted in a three-year bond auction. Factors such as high global risk-free rates and escalating crude oil prices are exerting pressure on Indian bonds.

India’s forex reserves surge $44.9 billion to record $785.7 billion, fourth largest globally

India’s foreign-exchange reserves surged to a record $785.706 billion. This surge was driven by a dedicated dollar-mobilisation programme and strong inflows. Foreign currency assets increased significantly, while gold reserves saw a contraction. The central bank’s intervention supported the local currency and curbed volatility. These substantial inflows have stabilized the foreign exchange market and improved sentiment.

Sitharaman calls AI a ‘double-edged sword’, urges soft-touch regulation and faster digital rupee push

Finance Minister Nirmala Sitharaman highlighted artificial intelligence as a double-edged sword for financial systems. She advocated for a soft-touch regulatory framework for emerging technologies and innovation. The minister urged the Reserve Bank of India to accelerate its digital rupee pilots and capabilities. Sitharaman also dismissed pessimism regarding India’s demographic dividend, emphasizing youth-led growth.