Stock Market LIVE Updates: Sensex up 400 pts as RBI keeps rates unchanged; stance changed to neutral
Stock Market LIVE Updates: Market update – Broader markets climb; VIX down 6%
Stock Market LIVE Updates: The broader markets, along with Indian equity benchmark indices, and all the sectoral indices, barring FMCG, were climbed after the RBI governor’s announcement to hold rates at 6.5 per cent, and MPC’s decision to change the policy stance to ‘neutral’ from ‘withdrawal of accomodation’.
At around 11:30 AM, the Nifty Midcap 100 was up 1.56 per cent, while the Nifty Smallcap 100 was ahead by 1.52 per cent.
Stock Market LIVE Updates: ‘The market’s positive reaction shows a growing sense of optimism’
Stock Market LIVE Updates: “The RBI’s decision to maintain the repo rate at 6.5 per cent and shift to a neutral stance reflects a measured approach to balancing inflationary risks and growth prospects. While inflation has eased, the central bank’s caution stems from looming threats such as rising crude prices, uneven rainfall, and ongoing geopolitical tensions. The move signals that while the rate hike cycle may be behind us, a rate cut isn’t imminent either—especially given the unpredictability of global events.
Interestingly, the market’s positive reaction, particularly in mid and small-cap stocks, shows a growing sense of optimism. Sectors like power, telecom, and financial services have rallied, perhaps driven by hopes that stable rates could support growth without stoking inflationary pressures in the near term. However, the potential for inflation to re-emerge keeps risk on the table, meaning both investors and policymakers need to stay vigilant. In essence, it’s a cautious relief rally, but one that still recognises the need for adaptability in an uncertain environment.
Views By: Sonam Srivastava, Founder and Fund Manager at Wright Research
Stock Market LIVE Updates: Market update – Sectoral indices climb; Realty gains most
Stock Market LIVE Updates: Indian benchmark indices, along with all the sectoral indices, barring FMCG, were trading higher following the RBI governor’s announcement to hold rates at 6.5 per cent, and MPC’s decision to change the policy stance to ‘neutral’ from ‘withdrawal of accomodation’.
The Realty index was the top gainer, climbing 2.33 per cent, followed by the Health, Pharma and PSU Bank indices.
The Bank and Financial Services indices were also up 1.04 per cent and 1.39 per cent, respectively.
All other sectoral indices were also trading higher.
Stock Market LIVE Updates: ‘Subtle cues in the governor’s speech hint at the possibility of future rate cuts’
Stock Market LIVE Updates: “The RBI announced a balanced monetary policy, opting to keep interest rates unchanged while shifting its stance to neutral. The policy statement addressed key factors such as geopolitical tensions, inflation, economic growth, and risks within the NBFC sector. However, the overall tone remained positive from the market’s perspective. While there was no explicit mention of a rate cut, subtle cues in the governor’s speech hint at the possibility of a rate reduction in upcoming policies.
Markets are expected to respond positively, with Nifty likely targeting the 25,330 and 25,500 levels in the near term. Similarly, Bank Nifty could aim for 51,700 and 52,300 as immediate targets.”
Views by: Santosh Meena, Head of Research at Swastika Investmart
Stock Market LIVE Updates: 11 AM market update – Sensex, Nifty maintain lead after RBI holds repo rate at 6.5%
Stock Market LIVE Updates: Indian benchmark equity indices BSE Sensex and Nifty 50 were trading higher on Wednesday, as RBI governor Shaktikanta Das announced that the RBI MPC has decided to hold rates at 6.5 per cent.
He also said that the central bank’s olicy stance has changed to ‘neutral’ from ‘withdrawal of accomodation’ earlier.
At 11 AM, the BSE Sensex was up 575 points, or 0.70 per cent, at 82,209.82, while the Nifty 50 was up 190.35 points, or 0.76 per cent, at 25,203.50.
Stock Market LIVE Updates: ‘RBI warming up towards accommodation, with a “tight leash on (inflation) horse”‘
Stock Market LIVE Updates: “As a first step towards getting closer to rate accommodation, RBI changes its stance to “neutral” from withdrawal of accommodation. The policy is however unchanged at 6.5 per cent. Nevertheless, the vote was 5-1 for keeping policy unchanged. RBI noted that current and estimated dynamics of growth-inflation balance is driving the change in stance. Within this RBI’s growth and inflation target for FY25 is unchanged at 7.2 per cent and 4.5 per cent.
However we would think that next move is unlikely to be a rate cut; at this juncture, RBI will only keep its options open towards accommodation. The hawkish points emanate from the points around
a) Inflation is on a declining path although there is some distance to cover with upside risks from geo-politics and weather while the agricultural outlook is buoyant and positive for food prices;
b) RBI keeps its guard on, noting that “we have to be very careful of opening the gate and need to keep the (inflation) horse on a tight leash” and mentioning that RBI cannot be complacent with the rapidly evolving global conditions. The change in stance rather gives greater flexibility and optionality to act in sync with the evolving outlook.
The signal that RBI is warming up or getting more comfortable towards accommodation is the point around transmission to credit markets being satisfactory. However, at the juncture of elevated global volatility, perhaps RBI does not believe it to be opportune to cut rates.
They will await more certainty from external side (US elections, Middle East tensions), before taking their first step, which is not likely before March, 2025. Why disturb the horse which is well tethered?”
Views By: Anitha Rangan, Economist at Equirus
Stock Market LIVE Updates: Kalpataru Projects to sell Vindhyachal Expressway unit to Actis for Rs 775 cr
Stock Market LIVE Updates: Kalpataru Projects International today annoucned that it has entered into a definitive agreement to sell its 100 per cent stake in Vindhyachal Expressway Pvt. Ltd, to Actis Atlantic, for a total enterprise value of Rs 775 crore.
The company, in an exchange filing, said, “The completion of sale would depend upon receipt of relevant approvals and completion of conditions precedent and is expected to be completed within 15 months from the date of entering into definitive agreement(s).”
It added that the estimated enterprise value of the transaction is approximately Rs 775 crore, subject to certain closing adjustments.
Stock Market LIVE Updates: ‘If global risks prove temporary, we might see rate cut in the next policy cycle’
Stock Market LIVE Updates: “As anticipated, the RBI’s Monetary Policy Committee (MPC) has kept interest rates unchanged in its policy announcement today. While there were hopes for a rate cut in line with the US Fed, the RBI has taken a prudent approach by focusing on key indicators like domestic inflation and financial stability, particularly in light of the declining individual savings as a percentage of GDP, which poses a financial stability risk.
Recent global geopolitical developments have led to a surge in oil prices, which could drive inflation further. This likely influenced the MPC’s decision to hold rates steady. Over the last couple of weeks, the 10-year benchmark G-sec yields have risen by around 10 basis points due to these factors.
However, if these global challenges prove temporary, we might see a rate cut in the next policy cycle. In this context, long-term bonds with current yields look attractive, and investors may want to consider locking them in, especially if global tensions ease and domestic economic indicators remain stable.”
Views By: Suresh Darak, Founder of Bondbazaar
Stock Market LIVE Updates: RBI MPC decision – 10:30 AM market update
Stock Market LIVE Updates: Indian benchmark equity indices BSE Sensex and Nifty 50 were trading higher at on Wednesday, as RBI governor Shaktikanta Das announced that the RBI MPC has decided to hold rates at 6.5 per cent.
At around 10:30 AM, the BSE Sensex was up 316.74 points, or 0.39 per cent, at 81,951.55, while the Nifty 50 was up 116.95 points, or 0.47 per cent, at 25,130.10.