Markets open flat as RBI holds rates, global cues stay mixed
Wall Street delivered a split verdict, the Dow Jones rose 0.5 per cent to a record close, while the S&P 500 slipped 0.2 per cent and the Nasdaq fell 0.8 per cent on a late-session selloff in technology stocks
Markets cautiously opened on Thursday, August 6, as the benchmark indices showed slight gains following the Reserve Bank of India's decision to hold its repo rate at 5.25 percent and raise its GDP growth forecast for FY27 to 6.7 percent. The Sensex began at 78,782.43, trading near 78,775.00, up 194 points or 0.25 percent, while the Nifty 50 opened at 24,641.00, up 18.75 points or 0.08 percent.
Notable gainers included Titan, Reliance Industries, Jio Financial Services, and Tech Mahindra. Conversely, Power Grid led the decliners, falling by 2.41 percent. Dr. VK Vijayakumar, an investment strategist, emphasized that rates are unlikely to impact interest-sensitive sectors in the near term. The rupee strengthened to 95.15 per US dollar, benefiting from a weaker dollar and falling crude prices.
Forex reserves hit a three-month high, and sugar prices reached record levels. Pharmaceutical and telecom sectors reported strong Q1 results. Global markets displayed mixed sentiment, with Wall Street's Dow Jones and Nasdaq experiencing losses, while the S&P 500 remained flat. In India, Asian markets faced declines, led by tech and semiconductor stocks.
Despite a weaker-than-expected US ADP report, domestic institutional investors supported equities, purchasing stocks worth ₹2,883 crore. Analysts anticipate continued focus on earnings reports and a potential breakout above current support levels.
Written by urgent.news from Hindu BusinessLine's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
