The Indian Stock Markets on Wednesday failed cheer the pause on repo rate announced by the Reserve Bank of India (RBI) Monetary Policy Committee (MPC) as both the indices closed almost flat.
At close, Sensex was up by only 152.05 points or 0.19% at 78,581.00 while Nifty closed at 24,624.65, falling 9.75 or 0.04%.
Vinod Nair, Head of Research, Geojit Investments Limited said, “The RBI’s MPC has maintained the status quo while marginally upgrading FY27 GDP growth projection, citing a resilient domestic economy. Additionally, annual inflation estimates were lowered, indicating the governor’s open minded approach, which suggested an optimistic view though further policy action would depend on data. Consequently, a rise in crude prices following renewed concerns over escalating tensions in West Asia, led Indian markets, which had opened strongly, to gradually move lower during the course of the session.”
“Defying the broader market trend, realty and auto stocks outperformed on strong demand expectations ahead of festive season and supportive financing conditions, while metal stocks gained on the back of an improved GDP growth outlook and robust domestic demand.”