The BSE Sensex climbed 809.53 points (1%) to close at 81,765.86, while the NSE Nifty50 rose 240.95 points (0.98%), settling at 24,708.40.
Sensex closed at 81,709.12, shedding 56.74 points (0.07%), while Nifty ended at 24,677.80, down by 30.60 points (0.12%). Despite the slight dip, the broader weekly performance showed an upward trend, with both indices adding over 2% during the week.
The RBI met market expectations by keeping the repo rate unchanged at 6.5% for the 11th consecutive time. However, the announcement of a phased reduction in the CRR (Cash Reserve Ratio) to 4% gave a liquidity boost, bringing optimism to PSU banks.
Broader indices such as the BSE Midcap and Smallcap gained 0.3% and 0.6%, respectively.
Impact on the stock market
Sectoral movements
- PSU Banks shone the brightest, buoyed by the CRR cut. The PSU Bank index rose between 0.3-1%, making it one of the top-performing sectors.
- Other gainers included auto, metal, FMCG, and telecom, while IT and media sectors underperformed.
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| Sector/Index | Performance |
| IT & BPM sector | -0.20% |
| Healthcare sector | 0.06% |
| Oil & Gas sector | 0.03% |
| Real estate sector | -0.05% |
| PSU Bank in India | 0.42% |
Top gainers today
| Company | Price | Change % |
| Tata Motors Share Price | 816.80 | 3.06 |
| Bajaj Auto Share Price | 9,099.90 | 2.34 |
| Axis Bank Share Price | 1,184.55 | 1.56 |
| Maruti Suzuki Share Price | 11,317.95 | 1.21 |
| SBI Life Insura Share Price | 1,448.55 | 1.17 |
Top losers today
| Company | Price | Change % |
| Adani Ports Share Price | 1,259.05 | -1.41 |
| Cipla Share Price | 1,477.40 | -1.39 |
| Bharti Airtel Share Price | 1,597.85 | -1.08 |
| HDFC Life Share Price | 636.50 | -1.03 |
| Asian Paints Share Price | 2,429.70 | -0.92 |
Market aftermath: Impact on stocks
Steelman Telecom surges on a Reliance Jio contract
Steelman Telecom hit the 20% upper circuit at ₹154.8 after securing a ₹147 crore work order from Reliance Jio. The contract involves providing technical personnel to maintain indoor smallcell systems and Wi-Fi infrastructure.
While the stock has underperformed in 2024, this three-year deal marks a turning point, giving a strong growth outlook.
Vedanta gains on deleveraging efforts
Vedanta’s stock rose 6% after announcing the redemption of $1.2 billion bonds, leading to the release of encumbered shares. The move significantly reduced Holdco debt to $4.8 billion, its lowest in a decade.
The market welcomed this development, which also lifted the NSE Metal index by over 1%.
Also read: All you need to know about Vedanta’s Demerger
Advait Infratech climbs on power transmission order
Advait Infratech’s shares hit a 5% upper circuit at ₹1,713.35 after securing a turnkey order for 24F OPGW installation on a 400 kV line. The company rebounded sharply in December, gaining 18% so far, reversing its losses from previous months.
The new contract is expected to be executed within seven months, further solidifying its growth trajectory.
Crude oil prices remain under pressure
Crude oil futures traded lower after OPEC+ announced a three-month extension of its production cuts.
- February Brent oil futures dropped 0.10% to $72.02.
- On MCX, December crude oil futures traded at ₹5,797, marginally down by 0.14%.
OPEC+ reaffirmed its voluntary cuts of 1.65 million barrels/day until December 2026, aiming to stabilise the market. Despite these measures, the market surplus forecast for 2025 remains a concern, keeping oil prices subdued.
Conclusion
The Indian stock market ended flat after a week of strong gains, reflecting caution amid the RBI’s policy announcements. While PSU banks benefitted from the CRR cut, sectors like IT and media lagged. Positive corporate developments in stocks like Vedanta, Steelman Telecom, and Advait Infratech kept market sentiment upbeat.
Looking ahead, global cues like crude oil prices and domestic liquidity improvements could guide the market in the near term. Investors may remain cautious but optimistic as the December momentum builds.
For more stock market insights, check out the StockGro blog.
