After Saturday’s GST council meet, Indian benchmark indices started the week on a flat note, as investors eyed the Reserve Bank of India’s monetary policy to be announced tomorrow. BSE Sensex opened 1.45 points higher than Friday’s close of 31,273.29 points while NSE Nifty, the broader gauge, opened 2.80 points higher then previous close of 9,653.50 points. At 9:40 am, BSE Sensex was trading 24.33 points or 0.08% down at 31,248.96 points while the NSE Nifty was down 2.15 points or 0.02% at 9,651.35 points.
Over the weekend GST rates for footwear, apparels and gold were announced after the 15th meeting of the GST Council. The GST Council would tax gold, gold jewellery, silver and diamonds at 3 percent. Gold currently attracts a 1 percent excise duty and a 1 percent VAT (more for some states), equaling to a total of 2 percent.
The Monetary Policy Committee of the RBI will hold its next bi-monthly meeting tomorrow. According to an ET poll of 21 financial institutions the central bank is expected to hold the headline rates.
You may also like to watch:
Asian markets across Japan, Korea and Australia were trading mixed in early morning trade. The US markets closed at record levels for a second consecutive session on Friday despite lukewarm payroll data. Nonfarm payrolls increased by 138,000 in May, well short of the 185,000 expected by economists. The US economy created 66,000 fewer jobs than previously reported in March and April, Reuters reported.
According to latest depository data, FPIs invested a net Rs 7,711 crore in equities last month, while they parked Rs 19,155 crore in the debt markets during the same period, totalling to a net inflow of Rs 26,866 crore.
The Indian Rupee opened 0.14% higher at 64.35 against the US Dollar. On Friday, Rupee had closed at 64.44 to the US Dollar.
On Friday, the US Dollar dropped to seven-month lows against the Euro and Swiss Franc, and a two-week low against the Yen. The dollar index fell to a seven-month low and was last down 0.5 percent at 96.725. The greenback fell after data showed the US economy created fewer jobs than expected last month, which could derail a possible interest rate hike by the Federal Reserve in the second half of this year, said a Reuters report.