India’s equity benchmark extended gains after the Reserve Bank of India’s Monetary Policy Committee kept the repo rate at a record low of 4% and maintained its accommodative policy stance to support growth in times of need. Sensex rose as much as 862 points, or 1.5%, and the Nifty 50 index climbed above the key psychological level of 17,400, led by gains in banking, financial services and information technology shares.
As of 10:11 a.m., Sensex was up 820 points to 58,453 and the Nifty 50 index was up 238 points to 17,414.
The RBI benchmark (repo) rate is currently 4% and the reverse repo rate is 3.35%. The central bank left its key lending rate unchanged for the ninth time.
RBI Governor Shaktikanta Das said the MPC voted unanimously to leave rates unchanged and maintain a favorable stance for as long as necessary to spur growth while ensuring inflation remains under control.
