Sensex falls more than 100 pts while RBI leaves the policy rate unchanged
Mumbai, December 5 () The BSE Sensex share benchmark index fell more than 100 points in Thursday afternoon session, after the Reserve Bank of India maintained the key policy rate without changes in the 5.15 percent and decided to continue with its accommodative stance to support the economy.
In the fifth bimonthly policy review, the central bank also revised the GDP growth down to 5 percent for 2019-20 from the 6.1 percent projected in its October policy.
After opening higher at 84.17 points to 40,934.46 in opening agreements, the 30-share index reduced all gains to become negative after the announcement of the Reserve Bank of India (RBI) policy announcement.
100.56 points were traded, down to 40,749.73 at 1149 hours. A similar movement was observed in the NSE and the broader Nifty NSE was operating 11.25 points, or 0.09 percent, at 12,031.95 at 1212 hours.
The main losers in the Sensex package included Sun Pharma, Yes Bank, Bharti Airtel, Tata Steel, Tata Motors, IndusInd Bank, up to 2 percent.
On the other hand, TCS, Tech Mahindra, ITC, Larsen&Toubro, Reliance Industries, ICICI Bank and Infosys broke the trend and traded in the positive territory with gains of up to 1.20 percent.
Bank shares sensitive to rates faced heat, with BSE bankex falling 0.36%. The BSE real estate index also turned red.
The rupee was also traded down by 8 paise to 71.61 in the afternoon session. Brent futures, the world oil benchmark, fell 0.32 percent to USD 62.80 per barrel. DRR DRR