Indian Shares Edge Up After RBI Holds Rate at 5.25% as Financials, Realty Rally
Updated
Updated · Reuters · Jun 5
Indian Shares Edge Up After RBI Holds Rate at 5.25% as Financials, Realty Rally
3 articles · Updated · Reuters · Jun 5
Summary
Indian equities kept modest gains after the RBI left its key policy rate unchanged at 5.25% and retained a neutral stance despite rupee weakness.
The Nifty 50 rose 0.18% to 23,459.4 and the Sensex gained 0.2% to 74,514.76 by 10:06 a.m. IST, holding onto advances made before the decision.
Rate-sensitive sectors led the move: financials climbed 1.2% and realty 1.4%, while 12 of 16 major sectors advanced and mid-caps outperformed with a 0.4% rise.
Investors are now focused on the RBI governor's remarks for clues on steps to address the falling rupee and inflation pressure from elevated energy prices.
The policy outcome followed a muted prior session, when markets stayed cautious ahead of the decision amid U.S.-Iran tensions and Brent crude near $96.