Lower-rated entities have been tapping the bond market, as it provides lower cost of funds, versus the MCLR rates. The marginal cost of funds-based lending rate (MCLR) is a benchmark interest rate that banks in India use to determine the interest rates for loans.The Prime Database numbers show bond issuances by private and public sector banks, NBFCs and subsidiaries.
Posts in category Economic Times
Demand drivers in place for Aluminium producers to shine (14-10-2024)
The firm said the rapid growth in the solar sector, battery industry, and Chinese consumption have led to demand outstripping supply. It has given ‘buy’ calls on Nalco and Vedanta, while maintaining a ‘reduce’ on Hindalco.
Sitting On Cash? Beaten down stocks you could buy to book big upsides (14-10-2024)
After the drop, these stocks can potentially deliver 20% to 50% returns based on the average target prices set by analysts. For example, microfinance firm CreditAccess Grameen has declined 16% in the last three months.
Nifty looks oversold, may pull back to 25,500: Analysts (14-10-2024)
As both indices have reached near monthly support levels, along with current oversold positions, traders can expect a bounce from the current level. Nifty may bounce toward the 25,250-25,500 level and Bank Nifty to 52,200-52,800 in the coming days.
Wipro board to consider issuing bonus shares (13-10-2024)
In an exchange filing, the company stated that its board would discuss the proposal for issuing bonus shares in accordance with the applicable provisions of the Companies Act, 2013, during a meeting scheduled for October 16-17.
New benchmark may need new trading platform (13-10-2024)
The RBI may shift to a new benchmark for interest rate derivatives, the secured overnight rupee rate (SORR). Market participants suggest launching a new trading platform similar to ASTROID. The transition could bring more participants into the market, offering tools like T-bill swaps and basis swaps. The goal is to reduce volatility and improve market confidence.
Bank margins likely to remain under pressure in Q2 amid rising deposit costs, say analysts (13-10-2024)
Bank margins may remain under pressure due to higher deposit costs. Loan growth trends will be monitored, especially in the unsecured retail segment. Analysts expect slower growth and higher credit costs for banks with more exposure to microfinance and unsecured loans. Earnings growth for private and PSU banks may vary between 4.1% and 17.2% year-on-year.
Patients, insurers feel the pain as hospitals take to ‘surge pricing’ (13-10-2024)
Hospitals in India introduce additional charges, such as disinfection fees and peak operation theatre charges, leading to a 20% rise in medical costs. Insurers struggle as previously bundled services are unbundled, causing unpredictability in healthcare expenses and potential increases in insurance premiums.
Hyundai Motor India offers exposure to the country’s dynamic PV market (13-10-2024)
Hyundai Motor India plans to raise up to Rs 27,870 crore through an OFS, reducing Hyundai Motor Company’s stake from 100% to 82.5% to meet regulatory requirements. Facing market share erosion and heightened competition, the company aims to increase capacity and launch new models to boost growth.
Wipro board to consider bonus issue of shares along with Q2 results (13-10-2024)
Wipro’s Board plans to consider issuing bonus shares to investors during its October 16-17 meeting while revealing September 2024 quarter results. This move aims to boost stock liquidity and affordability. The bonus shares will be fully paid and retain the same rights as existing shares.