Investors lapped up realty stocks ahead of the RBI policy meet driving the BSE Realty Index up 6.43%...
Investors lapped up realty stocks ahead of the RBI policy meet driving the BSE Realty Index up 6.43%, its biggest single day gain in more than two months. The gauge closed at a one-month high and was the biggest gainer amongst BSE sectoral indices.
Mumbai-based real estate developer HDIL rallied the most with a gain of 24.3%, taking its YTD return to 89% against an index return of 16% during the same period. The stock had hit 52-week high of R130.40 on BSE during the day.
Among other realty stocks, Unitech surged as much as 9.3% intra-day before settling at R17.55, up 8%.
The combined traded volumes of HDIL on both BSE and NSE jumped over three-fold to 4.8 crore shares, the volume of Indiabulls Real Estate rose nearly two fold to 1.5 crore shares. Indiabulls Real Estate gained as much as 7.3%. Shares of country’s largest real estate player DLF saw a gain of 4.8%. While DLF witnessed a market cap expansion of R1,372 crore to R29,812 crore on Monday, HDIL followed the suit with R1054 crore addition.
A Bloomberg survey shows eight out of 34 economists, expect the RBI to cut the repo rate by another 25 bps while the rest see it unchanged at 7.5%. There are also expectations that the central bank may resort to an alternate easing measures like a cut in the cash reserves ratio (CRR).