FIRST TRADE: Sensex slips over 100 pts, Nifty below 22,500 ahead of RBI policy decision

Stock market today: The Indian share market on Friday, April 5, opened lower amid selling in all counters except realty and ahead of the Reserve Bank of India's (RBI) monetary policy decision, where the central bank is expected to maintain its key interest rate for a seventh straight meeting.

Last seen, the S&P BSE Sensex was down 0.27 per cent, or 199.24 points, at 74,028.39, and the NSE Nifty was down 0.32 per cent, or 72.9 points, at 22,441.75.

"Some headwinds that have the potential to impact equity markets have emerged. One is geopolitical: the Iran-Israel skirmishes. The second is the concern that the rate cut expected from the Fed can be lower than three and that the first cut may come only in October. The US jobs data to be released today will shed more light on this," said Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services. 

Dr. Vijayakumar added that the Middle East skirmishes have pushed up Brent crude to $91, and if oil continues to rise, that can pose macro headwinds for India. The exuberant Indian investors (DIIs) flush with money may ignore the headwinds and buy the dips, imparting resilience to the market.

Further, the expert believes that, amidst market weakness, banking stocks provide opportunities to buy. Data regarding deposit and loan growth from banking majors, particularly HDFC Bank, is positive. Small finance bank data also indicates a healthy trend.

Meanwhile, Nifty Mid Cap 100 and Small Cap 100 traded in the red. Nifty Bank was down 0.29 at 47,919.05. 

BUZZING STOCKS

AAVAS Financiers shares were up over 5 per cent after the company released a good Q4 business update. 

Rashi Peripherals shares were up over 6 per cent after the company received two orders worth Rs 1,511 crore for the supply of information and communication technology products.

Conversely, Sobha shares were down over 2 per cent after the company released its Q4 update. 

GLOBAL MARKETS 

Asian shares retreated on Friday as hawkish comments from some Federal Reserve officials and escalating geopolitical tensions put a dent in risk sentiment, while traders were also cautious ahead of U.S. jobs data due later in the day.

The threat of supply disruptions owing to a prolonged conflict in the Middle East kept Brent futures above $90 a barrel, a level not seen since last October. 

(With inputs from agencies.)

Catch the latest stock market updates here. For all other news related to business, politics, tech and auto, visit Zeebiz.com.

DISCLAIMER: The views and investment tips expressed by investment experts on zeebiz.com are their own and not those of the website or its management. zeebiz.com advises users to check with certified experts before taking any investment decisions.