Indian equity markets fall despite RBI rate cut
Mumbai, India - Despite the RBI’s decision to reduce key lending rates, negative global cues, along with profit booking depressed the Indian equity markets which closed in the red on Wednesday.
The Reserve Bank of India in its third bi-monthly monetary policy review of 2017-18 announced that the repurchase rate, or the short-term lending rate for commercial banks on loans taken from it, stands lowered to six per cent from 6.25 per cent.
Besides, broadly negative European markets and heavy sell- ing pressure in capital goods, IT and FMCG stocks subdued investors’ sentiments.
The wider Nifty50 of the National Stock Exchange (NSE) fell by 33.15 points, or 0.33 per cent, to provisionally close at 10,081.5 points. The 30-scrip Sensitive Index (Sensex) of the BSE, which opened at 32,641.58 points, closed at 32476.74 points - down 98.43 points, or 0.3 per cent, from its previous close at 32,575.17 points.
The BSE market breadth was bearish with 1,595 declines and 1,063 advances.