MUMBAI– Indian stock markets snapped an eight-day losing streak on Wednesday, rallying sharply after the Reserve Bank of India (RBI) left interest rates unchanged and raised its growth outlook for the current fiscal year.
The central bank kept the repo rate steady at 5.5 percent while lifting its GDP growth forecast for FY26 to 6.8 percent, up from the earlier 6.5 percent estimate. The announcement, combined with strong September automobile sales, sent investor sentiment soaring.
The benchmark Sensex surged 715.69 points, or 0.89 percent, to close at 80,983.31. The 30-share index opened lower at 80,159.90 but reversed course after the RBI policy decision, touching an intraday high of 81,068.43. The broader Nifty 50 rose 225.20 points, or 0.92 percent, to finish at 24,836.30.
“Nifty closed with a strong bullish candlestick after the RBI policy outcome and auto sales data, reclaiming levels above its 100-day EMA at 24,750, which had previously acted as resistance,” analysts noted.
Top gainers in the Sensex basket included Tata Motors, Kotak Bank, Sun Pharma, Axis Bank, ICICI Bank, Tech Mahindra, HDFC Bank, Adani Ports, Mahindra & Mahindra, Titan, TCS, ITC, BEL, and Hindustan Unilever. Bajaj Finance, Ultratech Cement, State Bank of India, and Asian Paints ended the day in the red.
Sectoral indices also moved higher amid heavy buying. Nifty Bank surged 712 points (1.30 percent), Nifty Financial Services rose 360 points (1.38 percent), Nifty Auto added 226 points (0.85 percent), Nifty FMCG gained 394 points (0.72 percent), and Nifty IT advanced 250 points (0.74 percent).
Broader markets followed the rally. Nifty Small Cap 100 climbed 193 points (1.10 percent), Nifty Midcap 100 gained 500 points (0.89 percent), Nifty 100 rose 207 points (0.82 percent), and Nifty Next 50 added 242 points (0.36 percent).
The rebound offered relief to investors after more than a week of losses, with traders now eyeing upcoming earnings reports and global cues for the next market direction. (Source: IANS)
