Mumbai, Aug 5: Indian equity markets ended with modest gains on Wednesday after a volatile trading session as investors reacted to the Reserve Bank of India’s (RBI) decision to keep the policy repo rate unchanged while closely tracking inflation concerns, global cues, and crude oil movements.
Pic Credit: Pexel
The Sensex closed 152 points higher at 78,581, while the Nifty 50 settled 9.75 points up at 24,624.65. The benchmarks moved between gains and losses during the day as investors assessed the impact of the RBI’s policy stance and awaited clearer signals on inflation and economic growth.
The RBI’s decision to maintain status quo on interest rates reflected a cautious approach amid concerns over rising crude oil prices and uncertainty around monsoon trends. Market participants said the central bank’s focus remains on balancing economic growth with inflation management.
Banking stocks remained under pressure, with the Nifty Bank index declining 0.29 per cent, while broader markets continued to show strength. The Nifty Midcap 100 and Nifty Smallcap 100 touched fresh record highs, indicating continued investor interest beyond frontline stocks.
Sectoral performance remained mixed, with metal stocks leading gains. The Nifty Metal index rose 1.72 per cent, supported by strong buying in stocks such as Hindustan Copper and Hindustan Zinc.
On the other hand, media stocks faced selling pressure, with the Nifty Media index declining amid weakness in key counters.
Among individual stocks, Ola Electric Mobility gained sharply after announcing a partnership to enter the utility-scale battery energy storage segment. Insurance companies also witnessed buying interest following developments related to motor insurance regulations.
Global factors continued to influence market sentiment, with crude oil prices returning to focus after Brent crude moved higher amid geopolitical concerns.
Analysts said the market outlook remains supported by strong domestic fundamentals, steady economic growth expectations, and continued institutional interest, although investors are likely to remain watchful of inflation trends, global developments, and commodity price movements.
The session reflected a cautious but resilient market mood, with investors balancing growth optimism against near-term economic uncertainties.
