FINAL TRADE: Sensex ekes out 21-point gain to record 74,248, Nifty50 flat after RBI's widely-expected status quo

Stock Market Today: Domestic equity benchmarks recovered their intraday losses to end a choppy session barely in the green on Friday after the RBI announced no change in the benchmark interest rates as widely expected. Gains in financial and FMCG stocks aided the intraday recovery following a dull start to the day, though losses in IT counters played spoilsport, limiting the upside. 

The 30-scrip Sensex index rose 20.6 points to settle at a record 74,248.2 while the Nifty finished barely changed at 22,513.7, within inches of a record closing peak registered the previous day. 

The RBI Governor-led Monetary Policy Committee voted 5:1 to maintain the repo rate, the key interest rate at which the central bank lends money to commercial lenders, at 6.5 per cent for the seventh bi-monthly review in a row. Robust growth provided space for monetary policy to remain focussed on bringing inflation down to the RBI's medium-term target of four per cent, RBI Governor Shaktikanta Das said. Read more on RBI MPC Meeting highlights

The high-beta Nifty Bank index, whose 12 constituents include SBI, HDFC Bank and ICICI Bank, finished the day with a gain of 432.3 points, or 0.9 per cent, at 48,493.1. 

Kotak Mahindra Bank, SBI Life, HDFC Bank, Bajaj Finserv and HDFC Life were among the top Nifty50 blue-chip gainers, rising 1-2 per cent, while Grasim, UltraTech Cement, L&T, Bajaj Auto and Bharti Airtel were among top blue chip-losers, declining 1-2 per cent. 

"Although the RBI policy meeting unfolded as anticipated, concerns over food inflation and warnings of a heat wave tampered sentiment. While the main domestic indices concluded with marginal movement, the Bank Nifty edged higher, propelled by robust credit growth in Q4FY24," said Vinod Nair, Head of Research, Geojit Financial Services. 

Broader indices Nifty SmallCap100 and Nifty Micap100 rose 0.8 per cent and 0.6 per cent respectively. ALSO READ: RBI holds repo rate unchanged for 7th time; here is what experts say

Global markets

European stocks began the day at a more than two-week low, tracking a global skittishness in sentiment following hawkish comments from Fed officials and tensions in the Middle East. The continent-wide STOXX 600 fell 1.2 per cent, on track for its worst day since mid-October 2023.

Benchmark indexes across all major European economies such as Germany, France, Italy, and Spain, also fell more than a per cent each.

"The global sentiment was dampened by the rise in oil prices and tensions in the Middle East. Investors remain attentive to upcoming US non-farm payroll and unemployment data, seeking clarity on the Federal Reserve's future rate path," Nair added. 

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