New Delhi:
The Sensex and Nifty suffered big losses after the Reserve Bank of India (RBI) unexpectedly kept its policy repo rate unchanged at 6.25% on Wednesday, despite calls for action as an intense cash shortage threatens to slam the brakes on the world’s fastest growing large economy.
The RBI’s monetary policy committee voted 6-0 to leave the repo rate unchanged, after cutting it by 25 basis points (bps) at its last review in October, also unanimously. Interest rate sensitive shares from the sectors such as banking, automobiles and real estate were in focus ahead of the RBI policy.
Eicher Motors, Hero MotoCorp, Maruti Suzuki India, Mahindra & Mahindra and Tata Motors from automobiles, State Bank of India (SBI), ICICI Bank, YES Bank, Federal Bank and Bank of Baroda from banking gained ground on BSE.
