Mumbai: Today at closing of stock market, The BSE benchmark Sensex rallied over 358 points on Wednesday while the NSE Nifty recaptured the key 11,000 mark as investors wagered on the RBI changing its policy stance to neutral. The 30-share Sensex soared 358.42 points, or 0.98 per cent, to close at 36,975.23. The broader Nifty jumped 128.10 points, or 1.17 per cent, to 11,062.45.
However Investor sentiment was bullish ahead of the Reserve Bank of India's policy outcome, scheduled for Thursday, analysts said. The RBI's Monetary Policy Committee (MPC) began its three-day meet on Tuesday to decide on key rates. According to experts, the MPC is likely to change its policy stance to 'neutral' from the current 'calibrated tightening' on low inflation footprint but would refrain from cutting interest rates due to fiscal challenges and rising crude oil prices.
Here RBI will have room to provide a dovish tip to the upcoming policy along with a change in stance, a Kotak report said. In the Sensex pack, Bajaj Finance, Tata Steel, ONGC, Bajaj Auto, Sun Pharma, NPTC, Coal India, Maruti, Tata Motors, ICICI Bank and Reliance surged up to 4.34 per cent. On the other hand, Axis Bank and IndusInd Bank fell up to 0.54 per cent.
Broader indices, however, ended on a mixed note, with the BSE LargeCap rallying 1.13 per cent, BSE MidCap slipping 0.12 per cent and BSE SmallCap inching up 0.05 per cent. Sectorally, banking, pharma, metal and IT stocks led the rally, jumping over 2 per cent. Sustained buying by domestic and foreign institutional investors also boosted trading sentiment, traders said.