Brands
YSTV
Discover
Events
Newsletter
More

Follow Us

twitterfacebookinstagramyoutube
Yourstory

Brands

Resources

Stories

General

In-Depth

Announcement

Reports

News

Funding

Startup Sectors

Women in tech

Sportstech

Agritech

E-Commerce

Education

Lifestyle

Entertainment

Art & Culture

Travel & Leisure

Curtain Raiser

Wine and Food

Videos

ADVERTISEMENT
Advertise with us

Sensex, Nifty hit all-time peaks after RBI's highest-ever dividend announcement

The NSE Nifty went up by 308.45 points or 1.36 % to 22,906.25–its record peak.

Sensex, Nifty hit all-time peaks after RBI's highest-ever dividend announcement

Thursday May 23, 2024 , 2 min Read

Benchmark equity indices rallied on Thursday, with the Sensex and Nifty hitting their lifetime peaks, after the RBI approved the highest-ever dividend of Rs 2.11 lakh crore to the government and supported by buying in blue chips Reliance Industries and HDFC Bank.

The 30-share BSE Sensex regained the 75,000 level. It climbed 951.22 points or 1.28 % to reach its all-time high of 75,172.28.

The NSE Nifty went up by 308.45 points or 1.36 % to 22,906.25–its record peak.

Among the Sensex firms, Larsen & Toubro, Maruti, Mahindra & Mahindra, Axis Bank, IndusInd Bank, HDFC Bank, Bajaj Finserv, State Bank of India, and Reliance Industries were the major gainers.

PowerGrid, Sun Pharma, NTPC and JSW Steel were the laggards.

The Reserve Bank of India will pay a record Rs 2.1 lakh crore dividend to the government for the fiscal ended March 31, more than double of budgeted expectation, helping shore up revenue ahead of a new government taking office.

Also Read
SEBI looking to ease fundraising for non-profits on social stock exchanges

The RBI board, at its 608th meeting on Wednesday, approved the transfer of surplus, the central bank said in a statement.

"There are positives and negatives for the market today. The biggest positive is the record Rs 2.11 lakh crore dividend from the RBI to the government," said VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services.

This means the government can reduce its fiscal deficit and step-up infrastructure spending, he added.

"Brent crude dipping below $82 is positive for India's macros," Vijayakumar said. Global oil benchmark Brent crude declined 0.15 % to $81.79 a barrel.

The negative for equity markets is the US Fed meeting minutes, which indicate concern over the stubbornness of inflation, he noted.

In Asian markets, Tokyo traded in the green while Seoul, Shanghai and Hong Kong quoted lower.

Wall Street ended in negative territory on Wednesday.

"The Nifty index has surged to a record high after the Reserve Bank of India (RBI) announced a substantial Rs 2.1 lakh crore dividend to the government. This development is a significant macroeconomic positive for the market, with direct implications for the fiscal deficit and bond yields," Santosh Meena, Head of Research at Swastika Investmart Ltd, said.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 686.04 crore on Wednesday, according to exchange data.

The BSE benchmark climbed 267.75 points or 0.36 % to settle at 74,221.06 on Wednesday. The NSE Nifty advanced 68.75 points or 0.31 % to finish at 22,597.80.


Edited by Megha Reddy