Markets begin the week on a soft note

Markets began the week on a soft note, with the Sensex and the Nifty both trading lower. The Sensex was trading lower by 86 points at 17,276 points, while the NSE Nifty was trading lower at 5250, down 28 points at 9.20 AM IST.

Banking and finance companies including ICICI Bank and IDFC were trading lower, while infrastructure companies like Jaiprakash Industries was marginally up.

Gold loan companies Manapuram and Muthoot Finance continued to drift lower, following a new guideline by RBI, where in the gold to loan value was reduced to 60%. This means that the amount the companies can lend against the value of gold in the future, is going to be far lesser than they currently do.

Inox Leisure continued to gain 1%, following a spectacular rally on Friday on reports that the promoters had upped their stake in the company.

Markets are expected to trade steady with a slight negative bias during the day.

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