Monday, June 09
Asian shares mostly rose as investors awaited US job market data, crucial for gauging economic health. Wall Street declined, influenced by a Tesla stock drop after a clash between Elon Musk and President Trump. The US awaits jobs data amid tariff policy uncertainty, while unemployment claims rise and Treasury yields stabilize, impacting oil and currency markets.
A public feud erupted between Donald Trump and Elon Musk after Musk warned that Trump's tariffs could trigger a recession. The two exchanged insults on social media, with Musk referencing Trump's alleged connection to Jeffrey Epstein. Trump criticized Musk's stance on his spending bill and threatened to terminate government contracts.
Stock market recommendations:Bajaj Broking Research suggests a continued consolidation phase for benchmark indices, highlighting resilience in mid and small-cap segments. Nifty oscillates within 24,400-25,080 range, while Bank Nifty consolidates between 53,500-56,000. Idea Forge Technology and Avantel are recommended as top stock picks.
US stock market saw a rise after the May jobs report. The Dow Jones Industrial Average and Nasdaq Composite showed gains. Tesla's stock price increased, recovering from a previous drop. Job growth slowed down in May, but the unemployment rate remained steady. Trade tensions and a dispute between Trump and Elon Musk impacted the market.
US stock futures saw a slight increase as investors awaited the release of critical labor data. Tesla shares rebounded following reports of a scheduled call between Elon Musk and President Trump to de-escalate tensions.
In a significant move to bolster the economy, the Reserve Bank of India (RBI) has slashed the Cash Reserve Ratio (CRR) by 1%, injecting Rs 2.5 lakh crore into the banking system. Governor Sanjay Malhotra announced the phased reduction to 3% by November 2025, enhancing banks' lending capabilities.
Stock market today: Nifty50 and BSE Sensex, the Indian equity benchmark indices, rallied strongly in trade on Friday after the RBI cut repo rate by more than expected. The RBI-led MPC slashed repo rate by 50 basis points to 5.5%.
Eid al-Adha is anticipated to be celebrated in India on June 7, potentially marking a public holiday with closures for schools, colleges, and government offices. Banks will observe closures on June 6 in Thiruvananthapuram and Kochi, with varied operations on June 7 across different cities. Stock markets (NSE & BSE) will remain open, while digital banking services will continue uninterrupted.
Omnivore India Capital Trust and its advisor settled with Sebi for Rs 14.62 lakh due to an eight-month delay in winding up a venture capital fund. The fund missed the regulatory deadline of April 15, 2024, for liquidation, completing the process only on December 3, 2024, violating Venture Capital Fund norms and Alternative Investment Fund rules.
