BSE, NSE open flat post new RBI Guv announcement

The domestic stock markets have opened nearly flat from their Friday closes in the first trading session after the next Reserve Bank of India Governor was announced.

The 30-share benchmark BSE Sensex opened at 28,129.33, up 52.33 points or 0.19% higher from its Friday's close. The index had closed the week at 28,088.07, up 11.07 points or 0.04% higher. 

In early trade, National Stock Exchange's broader 50-share Nifty was trading at 8,668.70 up 1.80 or 0.02%. 

The government announced that the current RBI Deputy Governor Urjit Patel would take over as the next governor once outbound Raghuram Rajan steps down on September 4 at the end of his three-year term. 

Patel's appointment announcement came from the government on a Saturday, presumably to avoid any knee-jerk reaction from the markets. Rajan's surprise open letter to the RBI employees, telling them that he wouldn't be seeking a second term, also came on a Saturday, probably for the same reason. His last day, September 4, is, however, a Sunday. 

The domestic markets were weighed down by the weakness in the Asian markets. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.2%, after losing 0.3% last week, a Reuters report said.

Japan's Nikkei rose 0.3% in early trade, taking solace from a weaker currency, but then shed the gains, it added. 

The top gainers on BSE were Oberoi Realty 5.74%, Biocon 2.45%, Fortis Healthcare 2.40%, Sanofi 2.20%.