Equity Markets Rise Modestly To Reach Fresh Highs Following RBI Policy Announcement

Equity benchmark indices Sensex and Nifty rose modestly to new record highs on Friday after the Reserve Bank kept key interest rates unchanged in the face of a worldwide market downturn.

The Reserve Bank of India’s (RBI) six-member rate-setting panel held the benchmark interest rates unchanged at 6.5 percent for the seventh time in a row. It also raised concern about food inflation, citing the IMD’s estimate of above-normal maximum temperatures during April-June.

The 30-share BSE Sensex improved 20.59 points or 0.03 percent to 74,248.22. The index fluctuated between the intraday high of 74,361.11 and the low of 73,946.92.

The broader NSE Nifty gained 0.95 points at 22,513.70.

Kotak Mahindra Bank, Bajaj Finserve, HDFC Bank, ITC, and SBI were the top gainers.

Among the laggards were UltraTech Cement, L&T, Bharti Airtel, Bajaj Finance, and Tech Mahindra.

Asian equity markets were down, with Japan’s Nikkei 225 shedding 1.96 percent, South Korea’s Kospi lost 1.01 percent, and Hong Kong’s Hang Seng down 0.01 percent.

Brent crude gained 0.11 percent to USD 90.75 a barrel.

European markets were trading in the red.

The US markets closed substantially lower in the overnight on Thursday.

According to exchange data, Foreign Institutional Investors (FIIs) sold securities worth Rs 1,136.47 crore on Thursday.

On Thursday, the BSE benchmark Sensex soared 350.81 points or 0.47 percent to reach a career-high of 74,227.63, while the NSE Nifty also reached a new high of 22,514.65, up 80 points or 0.36 percent.

Also read: Doctor: No Evidence Of Imran Khan’s Wife Being Poisoned In Sub-Jail