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Markets end lower in a see-saw trade as RBI surprises with status quo

Dec 5, 2019, 15:57 IST
PTI
Mumbai, Dec 5 () Benchmark indices Sensex and Nifty closed lower in topsy-turvy trade on Thursday after the Reserve Bank surprised with its decision to hold key policy rates.

At the closing bell, the 30-share BSE gauge Sensex was lower by 70.70 points or 0.17 per cent at 40,779.59. The index swung between losses and gains after the central bank kept the rates unchanged.

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The 50-scrip NSE Nifty settled the day with a loss of 24.80 points or 0.21 per cent at 12,018.40.

On the Sensex chart, Bharti Airtel, Tata Steel, IndusInd Bank, HeroMoto Corp and Tata Motors were among the major laggards.

On the other hand, TCS, ITC, L&T, Infosys and Tech Mahindra led the gains.

Sectorally, metal index fell the most, followed by basic materials and energy indices.

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Capital goods, IT and tech indices moved higher.

The RBI unexpectedly kept benchmark interest rates unchanged on concerns of headline inflation breaching its medium-term target.

After five consecutive cuts in interest rates this year, the six-member Monetary Policy Committee (MPC) headed by RBI Governor Shaktikanta Das unanimously voted to hold the key repo rate at 5.15 per cent and reverse repo rate at 4.90 per cent.

Bankers and economists had widely expected the central bank to cut rates for a sixth time to support a slowing economy, whose growth rate slipped further to a six-year low of 4.5 per cent in the September quarter from 7 per cent a year back. MKJ ABM ABM

(This story has not been edited by www.businessinsider.in and is auto–generated from a syndicated feed we subscribe to.)
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