Sensex, Nifty End Lower as Investors Await RBI Rate Decision
Mumbai — Indian equities closed lower Tuesday as investors reduced risk ahead of the Reserve Bank of India’s monetary policy announcement, ending a four-session rally in the benchmark indices.
The Sensex fell 210.08 points, or 0.27%, to finish at 78,428.95. The Nifty 50 declined 159.40 points, or 0.64%, to 24,614.90.
Selling in banking, financial services and information technology stocks kept the market under pressure for much of the session. Investors remained focused on Wednesday’s RBI decision and any signals from the central bank on interest rates, inflation, economic growth and liquidity.
The Nifty weakened steadily during intraday trade and touched a low of 24,428 before recovering some losses. Analysts identified 24,400 as an important near-term support level, while the area around 24,500 was seen as immediate resistance.
A sustained fall below 24,400 could trigger additional profit-taking and push the index toward 24,300, market analysts said. Any recovery may remain limited unless the Nifty moves decisively above the 24,500 level.
Grasim Industries, HDFC Life Insurance and Hindustan Unilever were among the biggest decliners on the Nifty.
Real estate stocks recorded the sharpest sectoral losses, with the Nifty Realty index falling more than 2%. Banking, private banking and consumer goods shares also ended in negative territory.
The broader market delivered a mixed performance. The Nifty MidCap index declined 0.29%, while the Nifty SmallCap index gained 0.23%.
Tuesday’s pullback followed four consecutive sessions of gains, with traders appearing reluctant to make large commitments before the central bank’s policy statement.
The RBI’s assessment of inflation and growth, along with its guidance on future borrowing costs and banking-system liquidity, is expected to determine the market’s near-term direction. (Source: IANS)
