Indian equity benchmark -- Nifty -- ended Thursday’s trading session on lower note on May F&O expiry. Index made a negative start, as traders were cautious with exchange data showing foreign Institutional Investors (FIIs) offloaded equities worth Rs 5,841.84 crore on Wednesday. Traders overlooked Finance Minister Nirmala Sitharaman’s statement that S&P Global Ratings' revision of its outlook on India from 'stable' to 'positive' is a welcome development. She said this reflects India's solid growth performance and a promising economic outlook for the coming years. The minister noted that it has been possible due to the series of macroeconomic reforms undertaken since 2014, along with substantial outlay for capex, fiscal discipline, and decisive and visionary leadership.
In afternoon session, index continued to trade on lower note despite credit rating agency, India Ratings and Research’s (Ind-Ra) latest report has said that the expected mammoth dividend transfer by the Reserve Bank of India (RBI) to the central government and subsequent spending by the latter, is likely to reduce the ongoing pressure on the banking system deposit accretion and overall rates in the system, a few days after the RBI approving the transfer of Rs 2,10,874 crore as surplus to the government for the accounting year 2023-24. Finally, index settled below 22500 mark.
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