The Indian stock market saw a decline on October 9 as investors opted to take profits following the Reserve Bank of India’s (RBI) change in policy stance. Although benchmark indices opened positively, momentum quickly faded as shares of major companies like Reliance Industries, HDFC Bank, and ITC were sold off. This sell-off came after the RBI indicated a potential rate cut in upcoming meetings, which initially bolstered market sentiment.
The RBI’s Monetary Policy Committee (MPC) decided to maintain the repo rate but shifted its policy stance from “withdrawal of accommodation” to “neutral.” This change suggests the RBI perceives less urgency in controlling inflation and is open to future rate easing. While the central bank kept its growth and inflation forecasts for fiscal year 2025, it also acknowledged risks related to inflation due to rising fuel prices and adverse base effects.
In sports, Bangladesh triumphed in the second T20I against India, having won the toss and elected to field at the Arun Jaitley Stadium in Delhi. Meanwhile, mainland Chinese stocks faced a significant decline, ending a 10-day winning streak as investor optimism regarding government stimulus plans waned.
In other news, reports emerged that Ratan Tata, the veteran industrialist and Tata Sons Chairman Emeritus, is in critical condition at a Mumbai hospital.
The political landscape is also shifting, as several Congress leaders filed 20 complaints with the Election Commission of India regarding the recent Haryana Assembly Elections. These complaints allege issues related to Electronic Voting Machines (EVMs) and delays in vote counting.
Lastly, a dispute has arisen over the Delhi Chief Minister’s residence. The Delhi Chief Minister’s Office (CMO) claims that the residence at 6, Flagstaff Road was forcibly vacated at the request of the Bharatiya Janata Party (BJP), who reportedly aim to allocate it to one of their leaders. The BJP contends that the residence, dubbed “Sheesh Mahal,” has been sealed.
