Reliance Red Flags Kuku Tech IPO MSME Fund Shift

Motilal Oswal’s May 2026 report shows India’s share of worldwide equity market capitalization dropped to 3%, the lowest in 50 months, as its market value fell 5.6% while global market caps rose 28%. Weak AI exposure, a soft rupee and high oil prices drove foreign investors to sell.

Reliance Retail sold its third‑tier unit RPPMSL to Jaipur Enclave for ₹274 cr, then a wholly‑owned Reliance subsidiary lent the buyer an almost equal amount through optionally fully convertible debentures. The chain of intra‑group loans blurs the line between a genuine arm’s‑length deal and a related‑party transaction, prompting governance concerns.

India’s vernacular audio and short‑drama platform Kuku Technologies has confidentially filed to raise ₹2,500‑₹3,500 cr, seeking a valuation of up to ₹15,000 cr ($1.8 bn). Proceeds will fund AI‑driven content production, tech upgrades and geographic expansion as the micro‑drama market heats up.

Broadcom's fiscal Q2 2026 results beat earnings estimates but the company left its AI chip revenue forecast unchanged, prompting a 14‑15% share drop and wiping over $300 billion from its market value, the biggest one‑day loss since early 2025.

India’s RBI is set to announce its June 2026 repo‑rate decision amid rising oil prices from the US‑Iran conflict and El Niño‑driven inflation risks. The Monetary Policy Committee is expected to keep the rate unchanged while warning of higher FY27 inflation and growth downside. The outcome will guide monetary stance for the rest of FY27.

The Self‑Reliant India (SRI) Fund, a ₹50,000‑crore scheme meant to direct venture‑style capital to traditional MSMEs ignored by VCs, has invested over ₹16,000 crore in 750 firms, but around 70% are tech‑focused, with only 30% in manufacturing. The shift reveals the difficulty of steering private capital away from the tech bias the fund was created to counter.