Why Did Markets End Flat Ahead of RBI Policy Outcome?

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Why Did Markets End Flat Ahead of RBI Policy Outcome?

Synopsis

On September 29, the Indian stock market displayed a flat performance as investors remained cautious ahead of the RBI's monetary policy announcement. While banking and financial services saw gains, other sectors like metal and IT faced challenges. What does this mean for investors?

Key Takeaways

  • Indian stock market ended flat amid cautious investor sentiment.
  • Banking and financial services sectors showed resilience.
  • Metal and IT stocks faced declines.
  • Upcoming RBI policy is a critical factor for market direction.
  • Broader market indices exhibited mixed performance.

Mumbai, Sep 29 (NationPress) The Indian stock market concluded the day on a neutral note on Monday. The main domestic indices oscillated within a limited range as investors adopted a cautious stance ahead of the forthcoming RBI monetary policy announcement.

The banking and financial sectors experienced buying activity, while the metal and IT sectors faced declines.

The Sensex ended at 80,364.94, a decrease of 61.52 points or 0.08 percent. The 30-share index began the day positively at 80,588.77, compared to the previous session's close of 80,426.46. Despite broader market buying, the index remained range-bound, reaching intra-day highs and lows of 80,851.38 and 80,248.84, respectively.

The Nifty closed at 24,634.90, down 19.80 points or 0.08 percent.

“The Indian markets opened positively, taking cues from global trends, but displayed volatility throughout the session. The benchmark Nifty fluctuated within a narrow band of 24,800 to 24,600 before closing near the day's end,” analysts noted.

Market players remained vigilant as they anticipate the upcoming RBI monetary policy outcome, which is expected to be the next significant driver for market direction.

Among the top laggards in the Sensex stocks were Axis Bank, Maruti Suzuki, Bharati Airtel, ICICI Bank, L&T, HCL Tech, Kotak Bank, and PowerGrid. In contrast, Titan, SBI, NTPC, Trent, Eternal, BEL, Mahindra & Mahindra, Tata Steel, HDFC Bank, Bajaj Finance, Sun Pharma, and Bajaj FinServ showed positive movement.

Sectoral indices exhibited mixed performance. Nifty Auto dipped 48 points or 0.18 percent, while Nifty IT closed flat. Conversely, Nifty FMCG gained 98 points or 0.18 percent, Nifty Bank rose 71 points or 0.13 percent, and Nifty Fin Services increased 21 points.

Broader markets mirrored this trend. Nifty Midcap 100 surged 154 points or 0.27 percent, Nifty 100 advanced 27 points or 0.11 percent, and Nifty Next 50 jumped 690 points or 1.03 percent. However, Nifty Small Cap 100 ended lower.

Point of View

It’s crucial to note that the Indian stock market’s mixed performance reflects a broader uncertainty among investors. The upcoming RBI monetary policy decision will likely be a significant factor influencing market trends in the near future, and staying informed is vital for all stakeholders.
NationPress
29/09/2025

Frequently Asked Questions

What caused the Indian stock market to end flat?
The Indian stock market ended flat due to a cautious approach by investors ahead of the RBI monetary policy announcement, despite some gains in the banking and financial services sectors.
Which sectors performed well?
The banking and financial services sectors saw increases, while sectors like metal and IT faced declines during the trading session.
How did Sensex and Nifty perform?
The Sensex closed at 80,364.94, down 61.52 points, while the Nifty ended at 24,634.90, down 19.80 points.
What is the significance of the upcoming RBI policy?
The upcoming RBI monetary policy outcome is expected to be a key driver for market direction, making it crucial for investors to stay updated.
Which stocks were the top gainers and losers?
Top gainers included Titan, SBI, and HDFC Bank, while top losers were Axis Bank, Maruti Suzuki, and ICICI Bank.
Nation Press