Market Update: India's Benchmark Indices and Kotak Mahindra Bank's Regulatory Challenges

Market Update: Insights on India's Indices and Kotak Mahindra Bank

Written by: Supriya Kadu

Edited by: Pinky Deshmukh

Last Updated: April 27, 2024

Benchmark indices: After four straight sessions of gains, India's benchmark indices are expected to begin Thursday's trading session with modest falls. The Reserve Bank of India (RBI) has imposed restrictions on Kotak Mahindra Bank, preventing it from attracting new clients online.

As of 08.10.a.m. IST, India's GIFT Nifty was trading at 22,354.50, signaling a start lower than Wednesday's close of 22,402.40 for the Nifty 50.

During the previous session, both the benchmark Nifty and S&P BSE Sensex indexes gained roughly 2%, backed by lower concerns about Middle East tensions.

Kotak Mahindra Bank remains in the spotlight following the RBI's directive, which forbids the bank from onboarding new clients using its online and mobile banking systems.

Hindustan Unilever, Axis Bank, and LTI Mindtree, among other notable stocks, expected to draw attention owing to recent financial reports. Hindustan Unilever reported a 6% reduction in profit, falling short of forecasts, while LTI Mindtree reported lower-than-expected revenue for the March quarter, citing difficulty in its banking area and less customer spending. Axis Bank, on the other hand, outperformed fourth-quarter profit projections.

In global market news, Asian markets opened lower, while U.S. shares closed slightly higher. Investors are looking forward to the publication of first-quarter US GDP statistics at the end of the day, which will provide insight into the Federal Reserve's future rate trajectory.

Disclaimer: This piece of writing is solely intended to provide you with informative and educational content. We do not intend to provide investment, financial, legal, or tax advice. It should not be used as an alternative for expert advice or assistance.