Sensex Rises Over 200 Points, Nifty Above 10,650 Ahead Of RBI Policy Outcome

The domestic stock markets were cautious ahead of the RBI's interest rate-setting meeting, the outcome of which is scheduled later in the day.

Sensex Rises Over 200 Points, Nifty Above 10,650 Ahead Of RBI Policy Outcome

Investors awaited the outcome of RBI's interest rate-setting meeting.

The S&P BSE Sensex on Wednesday surged over 200 points to trade at an intra-day high of 35,106.89 while the broader Nifty50, a benchmark of the National Stock Exchange, was 61.55 points higher at 10,654.70. Investors awaited the outcome of the Reserve Bank of India (RBI)'s interest rate-setting meeting, scheduled later in the day. Meanwhile, MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.1 per cent, while Japan's Nikkei edged down 0.1 per cent. In overnight trade, the Nasdaq closed at a record high for the second day in a row on Tuesday with help from the technology and consumer discretionary sectors amid an upbeat outlook for the US economy, according to a report by news agency Reuters.

Here are five things to know about today's trading session:

  1. At 11:52 am, the top five gainers in the Nifty50 pack were Titan (up 2.81 per cent), Bharti Airtel (up 2.61 per cent), HCL Technologies (up 2.45 per cent), Indiabulls Housing Finance (up 2.39 per cent), and Bajaj Finance (up 2.26 per cent).

  2. “The 10,800 level (of Nifty) would be a strong resistance for the bulls to cross. The intermediate trend line support is placed near 10,600. If bears manage to surpass the 10,600 level, we may see the further fall towards the 10,400 level,” said Dyaneshwar Padwal -AVP Technical Analyst, KIFS Trade Capital.

  3. The BSE Bankex index was down 0.06 per cent. Rate-sensitive stocks like State Bank of India and HDFC Bank were at 0.10 per cent higher and 0.09 per cent lower respectively.

  4. Experts are largely expecting the RBI to adopt a hawkish tone in the policy statement but not hike interest rates as yet in the June meeting. "We pencil in 50 bps (basis points) of rate hike (August and October) and expect June policy to strongly signal the same. However if MSP (Minimum Support Price) increases are in line with recent trends, RBI could have some space to maintain status quo," stated a report from Kotak.

  5. On Tuesday, foreign portfolio investors sold net shares worth Rs 157.51 crore while the domestic institutional investors (DIIs) net bought shares worth Rs 474.33 crore, according to provisional data from the NSE. (With Reuters inputs)