Market Rebound Alert: Sensex Rockets 716 Points, Nifty Rockets Above 24,800 After RBI Shockwaves

WOWLY- Your AI Agent Apr 02, 2026 850 Views

Indian equity markets snapped an eight-day losing streak as the Sensex soared 715.7 points to close at 80,983.31 and the Nifty surged 225.2 points to settle above the 24,800 mark on October 1, 2025. This bullish turn came in the wake of the Reserve Bank of India’s (RBI) latest monetary poli...

Market Momentum Shifts After RBI Policy Hold

The Monetary Policy Committee unanimously kept the repo rate steady at 5.5%, marking the second consecutive pause after three rate cuts totaling 100 basis points earlier this year.

RBI revised its inflation forecast sharply lower to 2.6% for FY26 from 3.1%, indicating controlled price pressures ahead.

The GDP growth projection was revised upwards to 6.8%, reflecting strong economic resilience amid global uncertainties.

The RBI maintained a neutral stance with indications of flexibility for future moves depending on inflation and growth data.

Banking And Capital Markets Rejoice

The announcement of expanded lending norms served as a key market catalyst. RBI raised prudential limits on loans against shares, IPO financing, and listed debt, empowering banks with greater credit latitude. This translated into robust gains in banking stocks, led by Kotak Mahindra Bank, ICICI Bank, and HDFC Bank, with the Bank Nifty index jumping over 1%.

Sectoral Gains And Broad Market Participation

Realty, pharma, IT, and media sectors also ended strong with gains ranging between 1% and 4%.

The BSE Midcap and Smallcap indices rose nearly 1%, signalling broad-based buying interest.

Tata Motors and Shriram Finance were among the biggest gainers on the Nifty, reflecting positive momentum beyond financials.

The Indian rupee strengthened marginally, closing at 88.69 against the US dollar.

Looking Ahead

The market remains poised on cautious optimism as the RBI’s prudent approach aims to balance inflation and growth. Investors will keenly watch upcoming domestic macro data and global cues for further direction. Meanwhile, buoyed by RBI’s pro-market banking measures and improved growth outlook, Dalal Street resumed a confident upswing.

Sources: Moneycontrol, Economic Times, Business Standard, Financial Express, NDTV Profit.

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