RBI eases lending rules, markets bounce after long slide
RBI eased lending norms allowing bank loans for acquisitions, lifting IPO finance caps to ₹25 lakh, raising share-pledge limits, and permitting freer lending against listed debt while holding the repo at 5.5% and trimming inflation guidance. Banks led a market bounce, but higher leverage, rich valuations and heavy IPO supply keep upside capped unless foreign inflows and earnings breadth improve.