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RBI Cuts Repo Rate 25 Basis Points, Announces Rs 1.45 Lakh Crore Liquidity as Sensex, Nifty Climb

Currency weakness leaves markets sensitive to upcoming global policy signals.

Overview

  • Sensex closed at 85,712.37 (+447 points) and Nifty at 26,186.45 (+152.70) after the Dec 5 policy move.
  • The RBI paired the rate cut to 5.25% with bond purchases and dollar–rupee swaps to inject about Rs 1.45 lakh crore.
  • The rupee weakened to 89.95 per US dollar and hovered near 90 despite equities ending higher.
  • Foreign investors remained net sellers with roughly Rs 10,400 crore of outflows, while domestic buyers provided support.
  • Rate-sensitive shares led gains and large caps outperformed as mid- and small-cap indices lagged, with traders watching the US Fed decision and India’s CPI next week.