Sensex, Nifty end in green after positive cues from RBI MPC meet

India’s equity markets finished the week on a positive note Friday following upward revisions to the Reserve Bank of India’s economic growth forecast for the first half of fiscal year 2027.

The benchmark Sensex climbed 266 points (0.32%) to settle at 83,580, while the Nifty rose 50 points (0.20%) to close at 25,693.

Broader market indices underperformed the benchmarks, with the Nifty Midcap 100 dipping 0.02% and the Nifty Smallcap 100 declining 0.27%.

Sectoral trends were mixed: Consumer goods sectors led gains as the Nifty FMCG jumped 2.27% and Consumer Durables advanced 0.96%. Private banks and real estate sectors each closed 0.63% higher.

Technology stocks faced significant pressure, dragging the Nifty IT index down 1.47%, while pharmaceutical shares slipped 0.72%.

Market participants noted cautious trading as investors evaluated the central bank’s decision to maintain current interest rates. The RBI emphasized stability amidst improving global trade conditions following recent tariff modifications in key international markets.

The banking regulator’s clarification regarding lending permissions to Real Estate Investment Trusts (REITs) provided confidence for sustained real estate and credit sector funding. Domestic sentiment improved as the rupee showed modest recovery, supported by easing corporate dollar demand.

Banking stocks demonstrated resilience, with the Bank Nifty stabilizing near the 59,600 support level amid buying interest and technical adjustments.

“We anticipate continued consolidation with upward potential as long as the Nifty remains above the 25,400 threshold,” remarked Ajit Mishra, SVP of Research at Religare Broking Ltd.

(With inputs from IANS)