A morning walk down Dalal Street | Selling pressure may aggravate if Nifty breaks crucial support of 11,550

RBI gave 25 bps cut which investors were eyeing for but what investors didn’t expect was near 200-point cut on Sensex and about 50 points fall in Nifty50.

The big highlight of the day was the outcome of MPC meeting. The committee on expected lines slashed repo rate by 25 bps to 6 percent and kept the stance unchanged to ‘Neutral’. This is the second rate cut in 2019. 

The final tally – the S&P BSE Sensex closed 192 points lower at 38,684 while the Nifty50 dropped 45 points to close at 11,598.

A big setback for the bulls which were eyeing for levels above 11761 on the Nifty. One big factor which capped upside for Nifty is the financials space. Nifty Bank slipped below crucial support at 30,000 on Thursday and could consolidate further in the next few sessions before resuming uptrend.