Finance Minister Reassures on F&O Trading; M&M Exits RBL Bank Stake; India's Energy Demand Set to Rise

Finance Minister Nirmala Sitharaman reassured investors that the government is not seeking to shut down Futures and Options (F&O) trading but aims to address its challenges. This statement provides stability and confidence for market participants engaged in derivatives. SBI Chairman C.S. Setty urged for an increase in the foreign investment cap for Public Sector Banks (PSBs) from 20% to match the 74% limit in private banks. He argued that the current cap disadvantages PSBs, impacting their valuations and ability to attract foreign capital. Mahindra & Mahindra Ltd. divested its entire stake in RBL Bank Ltd. for ₹678 crore, realizing a 62.5% gain. Hindustan Petroleum Corporation Ltd (HPCL) Chairman and Managing Director Vikas Kaushal projected a 5% rise in India's energy demand, in line with expected 7% GDP growth. India's FMCG sector is undergoing significant leadership changes across major firms, signaling potential strategic realignments. Edtech firm PhysicsWallah Ltd. has set its price band for a ₹3,480 crore Initial Public Offering (IPO), marking a significant event for the edtech startup and the primary market. Globally, the US Supreme Court showed skepticism towards President Donald Trump's broad tariffs, and Washington ordered flight reductions due to a government shutdown.

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Difficult Terms Futures and Options (F&O): These are financial contracts whose value is derived from an underlying asset (like stocks, commodities, or currencies). They are used for hedging risk or speculation. Derivatives Trading: Trading financial contracts (like futures and options) whose value is derived from an underlying asset. Public Sector Banks (PSBs): Banks that are majority-owned by the government. Valuations: The process of determining the current worth of an asset or a company. IPO (Initial Public Offering): The process by which a private company becomes public by selling shares to investors for the first time. Edtech: Education technology, referring to software and hardware used to deliver education. GDP (Gross Domestic Product): The total monetary or market value of all the finished goods and services produced within a country's borders in a specific time period. Tariffs: Taxes imposed on imported goods, intended to protect domestic industries or raise revenue. Government Shutdown: A situation where a government ceases to function due to a failure to pass appropriation bills, leading to a suspension of non-essential services.