Sensex Hits New Record 30,000 Points As RBI Cuts Interest Rates

Business

oi-Sunil

By Sunil Fernandes

Published: Wednesday, March 4, 2015, 9:45 [IST]

Benchmark indices in the country scaled fresh lifetime highs after the Reserve Reserve Bank of India's (RBI) surprise decision to cut interest rates outside the Monetary policy for the second time in a row.

The Sensex was trading with gains of 265 points, while the Nifty rallied 68 points in trade. The Sensex crossed a new record of 30,000 points, only to give up some gains on profit booking,

Banking stocks were clearly the leaders in trade with the RBI rate cut. PSU banking stocks like Syndicate Bank, Punjab National Bank, Bank of Baroda and Syndicate Bank were among the clear winners.

Private sector banks also rallied on hopes that a cut in repo rates could boost their stock prices. Among the ones that gained ground were Axis Bank, Kotak Bank, Yes Bank and IndusInd Bank.

Real estate stocks also rallied as a cut in interest rates could benefit the sector. DLF rose a whopping 4 per cent in trade, while other winners were Prestige, Shobha Developers and Unitech.

Housing Finance Companies like HDFC and Dewan Housing were also in the limelight. Losers from the Nifty in trade were Bajaj Auto, Hindalco and Wipro.

Meanwhile, markets in Asia were trading with modest losses on weak cues from the US.

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