Money & markets in 5 minutes

Things worth knowing

1. 01
   MARKETS

   IT pulls the benchmarks lower

   Nifty IT fell 1.32%, dragging the market lower. Nifty Realty rose 0.55%, but it was not enough to offset broader pressure. Sensex ended 0.44% lower and Nifty fell 0.36%.

   So what for you?

   A fall in the main index does not mean every part of the market moved the same way. Sector leadership and sector weakness explain the shape of the day.

2. 02
   CURRENCY

   Rupee gets help from cheaper oil

   The rupee strengthened for a fifth straight session to 95.59. Brent crude traded near $98.8 per barrel on reports around the Strait of Hormuz, while state-run banks sold dollars on the RBI behalf.

   So what for you?

   For India, oil and currency are closely linked because imported crude affects dollar demand, inflation pressure and market sentiment.

3. 03
   LIQUIDITY

   RBI drains excess cash from the banking system

   Surplus liquidity fell to ₹4.92 trillion, down 55% from ₹11.16 trillion, as the RBI absorbed excess funds.

   So what for you?

   Liquidity is the cash cushion of the financial system. Too much surplus can make short-term rates drift away from policy intent.