Stock market update: Indian shares declined slightly on Friday after the Reserve Bank cut interest rates for the first time in nearly five years to support dull economic growth. The Nifty fell 0.27% to 23,537.85 at 11 am, while the BSE Sensex fell 0.23% to 77,872.9.
Before the decision on interest rates, both benchmarks were flat and climbed about 0.2% immediately after the announcement of the rate cut. Out of 13 major sectors, 11 were trading in red mark, while smallcap and midcap in broader markets fell by 1% and 0.6% respectively.
The Reserve Bank of India (RBI )’s Monetary Policy Committee (MPC) on Friday announced to reduce the policy rate repo. RBI has announced a 0.25% reduction in repo rate. The central bank has estimated the GDP growth rate to be 6.7 percent for the financial year 2025-26 (FY26).
In the last trading session, Sensex fell 213.12 points or 0.27% to close at 78,058.16. At the same time, Nifty50 also fell at 92.95 points or 0.39% to close at 23,603.35.
Domestic signal: What is special today?
Q3 Results:
Today, many big companies like M&M, NHPC, Majgaon Dock, Fortis Healthcare and Walkhart will declare their Q3 results. Investors will also react to the results of companies like Airtel, Hero MotoCorp, ITC and Britannia.
IPO market update:
Eleganz Interiors IPO (SME) will open for subscription from today.
The solarium Green IPO (SM) and ReadyMix Construction IPO (SME) are on their second day of subscription.
Amwill Healthcare IPO (SM) and Kane Enterprises IPO (SME) are moving towards their third day.
Chamunda Electricals IPO (SME) will be allotted today.
Global signal: Asia markets declines, mixed trend in US market
The ashi market opened with a decline on Friday, as investors were waiting for India’s interest rate decisions and Japan’s domestic expenses data. During this time Australia’s ASX remained 200 flat and was trading with a slight increase, while Japan’s Nikkei fell 0.29% and the Topix also recorded a decline of 0.28%. Similarly, South Korea’s KOSPI was also trading with a decline of 0.14%.
In Japan, domestic expenditure in December increased by 2.7% on an annual basis, which is much higher than expected of 0.2% of Reuters. This figure pointed out a better performance in the market than expected.
On the other hand, a mixed trend was seen in the US markets. S&P 500 closed on Thursday with a gain of 0.36% for the third consecutive day. The NASDAQ also recorded a 0.51% increase, while Dow Jones closed down 0.28%. Now the US market is eyeing the unemployment rate of January and Non-Afarm Payrolls, which will be announced today and which is likely to get future economic indications.