The central bank has proposed to allow real estate investment trusts (REITs) to borrow from banks, although certain prudential safeguards will be in place. The move aims to deepen the funding pool for the real estate sector and encourage long-term investment. Market uncertainty eased as policy decisions remained in line with expectations, while announcement related to credit facility to REITs supported buying in real estate and banking stocks.

• Thanks to last-minute buying, the 30-share BSE Sensex closed 266.47 points or 0.32 per cent higher at 83,580.40. From the day’s low of 82,925.35, the index rose 655.05 points by the end of trading.




• The 50-share NSE Nifty closed 50.90 points or 0.20 per cent higher at 25,693.70 in a volatile session.




• The rupee fell 36 paise to close at 90.70 (provisional) against the US dollar on Friday.

RBI kept interest rates at 5.25

The Reserve Bank of India on Friday kept its benchmark interest rate unchanged as expected, as inflation remained at manageable levels and growth concerns eased due to increased government spending in the Budget and reduction in tariff pressure following the trade deal with the United States.

The central bank’s six-member Monetary Policy Committee (MPC) unanimously decided to keep the repurchase or repo rate at 5.25 percent. RBI maintained its neutral policy stance, indicating that it will maintain status quo for now.

Condition of Sensex companies

• Among the Sensex listed companies, ITC shares rose the most by 5.09 percent.




• Kotak Mahindra Bank, Hindustan Unilever, Bharti Airtel, Bajaj Finance, Power Grid and Bajaj Finserv were among the other major gainers.




• Tata Consultancy Services, Tech Mahindra, Adani Ports, Asian Paints, Eternal and HCL Tech were among the major laggards.

There was a rise in European markets and a decline in American markets.

In Asian markets, South Korea’s Kospi, Shanghai’s SSE Composite index and Hong Kong’s Hang Seng index closed with losses, while Japan’s Nikkei 225 index closed with gains. European markets mostly witnessed a rise.

American markets closed with a decline on Thursday. The Nasdaq Composite Index fell 1.59 percent, the S&P 500 fell 1.23 percent and the Dow Jones Industrial Average fell 1.20 percent.

What is the opinion of experts?

Vinod Nair, head of research at Geojit Investments Ltd, said domestic stock markets remained sluggish for most of the session but later gained momentum due to selective buying in FMC and private banking stocks. In contrast, the domestic IT sector continued to perform poorly. He said the RBI’s policy announcement was broadly in line with expectations, reiterating the positive growth outlook while maintaining status quo on interest rates.

However, sentiment was supported by regulatory clarity after the RBI indicated that banks will be allowed to lend to REITs, thereby increasing long-term financing for the real estate and credit ecosystem, said Ponmudi R, CEO of online trading and wealth tech firm Enrich Money.

The price of Brent crude increased to US $ 68.34 per barrel.

• Global oil benchmark Brent crude rose 1.20 percent to US$68.34 per barrel.




• According to exchange data, foreign institutional investors sold shares worth Rs 2,150.51 crore on Thursday.




• On Thursday, the Sensex closed 503.76 points or 0.60 per cent lower at 83,313.93. Nifty ended 133.20 points or 0.52 per cent lower at 25,642.80.