To ensure the ease of operations for investors, the Reserve Bank of India (RBI) and the Securities and Exchange Board of India (Sebi) are exploring the possibility to synchronise trading time for all markets, including stocks, bonds, currency and commodities, according to an ET report.
Currently, financial markets such as bonds, rupee, interbank call money and tripartite repo open at 10 am, which has now been changed to 9 am from April 18. The markets would close at 3.30 pm. Stock markets open at 9 am for a pre-market session and at 9.15 for the regular session, which closes at 3.30 pm.
“Inter-regulatory discussions are now examining the feasibility of such a proposal… The central bank has started working on a plan,” the report quoted a source as saying. The banking regulator has also sought comment from market participants on the proposal, it said.
The aim of the move is to ensure ease of operations for investors betting across asset classes as well as for the back-end staff at intermediaries, they said.
The equity market follows the trading settlement period of T+2 days. Government bonds follow T+1 and corporate bonds are settled in T+1 days.
“Uniformity in settlement processes and timings, across different asset classes such as equities, government bonds, corporate bonds, etc., can help investors,” Sriram Krishnan, managing director (global transaction banking) at Deutsche Bank was quoted as saying.
On February 7, the day when Lata Mangeshkar passed away, the decision to declare a holiday exposed the stock market to a big risk as exchanges chose to keep their shops open even as banks and the forex market were shut, as per a report. Money and forex markets were closed on February 7 but the stock market trading was open, which made it difficult to arrange funds.
The BSE Sensex on Monday declined 451.7 points to close at 58,995.48. Tata Consultancy Services, Infosys, and HCL Tech, the major Information Technology (IT) behemoths, are considering paying a final dividend for the fiscal year 2021-22 (FY22), as well as announcing fourth-quarter results for the fiscal year ended March 31, 2022.
Infosys informed NSE on April 1, 2022, that it will release results for the fourth quarter and year ended March 31, 2022, at 4 p.m. Indian Standard Time (IST) on Wednesday, April 13, 2022. The board of directors of the company will publish audited standalone and audited consolidated financial results for the fiscal year ending March 31, 2022 at the meeting. In addition, a final dividend for the fiscal year ending March 31, 2022 would be recommended.
Analysts at Kotak Institutional Equities expect the aggregate net profit of the companies belonging to the BSE-30 Index to expand by 26 per cent year-on-year for Q4FY22. Nifty 50 companies may report net profit growth of 27 per cent.
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