Sensex gains marginally to scale new peak after RBI policy

Mumbai, April 5 

Equity benchmark index Sensex registered marginal gains to hit a fresh lifetime high of 74,248 on Friday after the Reserve Bank of India (RBI) maintained the status quo on key interest rates amid a negative trend in global markets.

The six-member rate-setting panel of RBI on Friday kept the benchmark interest rates unchanged at 6.5 per cent for the seventh time in a row. It also expressed concerns over food inflation, given IMD’s prediction of above-normal maximum temperatures during April-June.

The 30-share BSE Sensex inched up 20.59 points or 0.03 per cent to settle at a fresh record of 74,248.22. The index oscillated between the intra-day peak of 74,361.11 and the low of 73,946.92.

The broader NSE Nifty ended with a marginal loss of 0.95 points at 22,513.70. As many as 28 components of the 50-share benchmark ended in the red.

Although the RBI policy meeting unfolded as anticipated, concerns over food inflation and warnings of a heat wave tampered sentiment. While the main domestic indices concluded with marginal movement, the Bank Nifty edged higher, propelled by robust credit growth in Q4 FY24.

“The global sentiment was dampened by the rise in oil prices and tensions in the Middle East. Investors remain attentive to upcoming US non-farm payroll and unemployment data, seeking clarity on the Federal Reserve’s future rate path,” Vinod Nair, head of research, Geojit Financial Services, said.

Kotak Bank was the largest gainer in the Sensex pack, rising 2.09 per cent, followed by Bajaj Finserve, HDFC Bank, ITC, SBI, M&M and ICICI Bank.

On the other hand, UltraTech Cement, L&T, Bharti Airtel, Bajaj Finance and Tech Mahindra were among the laggards.

Among sectoral indices, realty surged by 1.49 per cent, financial services advanced by 0.92 per cent and bankex gained 0.83 per cent. While BSE Services rose by 0.79 per cent, BSE FMCG went up 0.51 per cent.

In contrast, teck declined by 0.51 per cent, IT fell by 0.44 per cent and capital goods dipped by 0.22 per cent. Other laggards included auto, oil & gas, and metal, slipping 0.17 per cent, 0.15 per cent and 0.11 per cent, respectively

BSE largecap gained 0.15 per cent, while midcap and smallcap indices rose 0.50 per cent.

Interest-rate-sensitive bank and NBFC stocks gained on Friday after RBI decided to maintain interest rates.

Among the banking counters, Kotak Mahindra Bank jumped 2.09 per cent to end at Rs 1,785.25, and HDFC Bank went 1.41 per cent higher to finish at Rs 1,549.40 apiece on the BSE.

Also, State Bank of India grew 0.67 per cent to end at Rs 764.35 each, IndusInd Bank climbed 0.66 per cent to settle at Rs 1,554, and ICICI Bank rose 0.51 per cent to finish at Rs 1,082.35.

However, Bank of Baroda fell 0.24 per cent to close at Rs 268.70 per piece on the exchange.

Among the NBFC stocks, SBI Cards and Payment Services jumped 5.24 per cent to close at Rs 730.45, Jio Financial Services climbed 3.24 per cent to settle at Rs 373.05, and Bajaj Finserv gained 1.56 per cent to end at Rs 1,681 apiece on the exchange.

The BSE Bankex increased 451.11 points or 0.83 per cent to close at 54,590.61.

Global oil benchmark Brent crude advanced 0.11 per cent to USD 90.75 a barrel.

Asian markets were lower, with Japan’s Nikkei 225 losing 1.96 per cent and Hang Seng of Hong Kong declining 0.01 per cent. South Koran index Kospi fell 1.01 per cent.

European markets were trading in the red. Germany’s DAX and London’s FTSE 100 lost 1.57 per cent and 0.90 per cent. CAC40 of France went down by 1.36 per cent.

The US markets closed largely lower in the overnight trade on Thursday.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 1,136.47 crore on Thursday, according to exchange data.

On Thursday, the BSE benchmark Sensex surged 350.81 points or 0.47 per cent to settle at its lifetime high of 74,227.63. The NSE Nifty also hit its fresh peak of 22,514.65, gaining 80 points or 0.36 per cent.