RBI Rate Cut Sparks Upbeat Market Reaction

Sensex and Nifty indices surged as RBI under Governor Sanjay Malhotra cut interest rates for the first time in five years to boost the economy. Bharti Airtel led the gainers, while ITC and others lagged. The rate cut aligns with global policy trends amid economic challenges.

The Indian stock market experienced a positive surge on Friday, as benchmark indices Sensex and Nifty moved upward following an interest rate cut by the Reserve Bank of India (RBI). The rate reduction, the first in nearly five years, was announced by new Governor Sanjay Malhotra to invigorate the economy.

The 30-share BSE Sensex gained 233.96 points to reach 78,290.08, while the NSE Nifty rose by 83.40 points, hitting 23,686.75. Bharti Airtel was a standout performer, with a 5% surge in its stock price due to a significant increase in quarterly profit bolstered by Indus Tower consolidation and tariff hikes.

In contrast, ITC saw a nearly 2% drop after reporting a 7.27% decline in net profit. The rate cut was part of a strategic shift by the Monetary Policy Committee, which aims to stimulate economic growth, aligning with global trends despite potential risks to the currency.

(With inputs from agencies.)