Sensex, Nifty Rally Pre-RBI MPC; Banks, IT Surge | 5 December 2025, 10:20 AM IST
Sensex, Nifty rally into RBI MPC with banks (+0.57%), IT (+0.58%) powering gains. VIX crashes 2.13% signaling calm before policy verdict. Midcaps steady, smallcaps lag—traders position for liquidity cues, expiry swings on Dec 5.
Indian benchmarks gained traction in early trade ahead of Reserve Bank of India's Monetary Policy Committee announcement with Sensex rising 250.06 points to 85,515.38 (0.29%) and Nifty 50 advancing 72.05 points to 26,105.80 (0.28%). Banking and IT sectors led the upside with Nifty Bank up 0.57% and Nifty IT gaining 0.58%, supported by short covering and positioning. India VIX plunged 2.13% to 10.59, signaling reduced volatility as markets anticipated RBI's repo rate status quo at 6.5% with focus on liquidity measures. Midcaps edged higher while smallcaps lagged amid mixed global cues and moderated FII outflows.
Snapshot – 10:20 AM IST, 5 December 2025
| Index | LTP | Change | % Chg |
|---|---|---|---|
| SENSEX | 85,515.38 | 250.06 | 0.29 |
| NIFTY 50 | 26,105.80 | 72.05 | 0.28 |
| NIFTY BANK | 59,625.25 | 336.55 | 0.57 |
| NIFTY IT | 38,582.15 | 221.90 | 0.58 |
| India VIX | 10.59 | -0.23 | -2.13 |
| NIFTY Midcap 100 | 60,352.60 | 52.80 | 0.09 |
| NIFTY Smallcap 100 | 17,537.40 | -70.45 | -0.40 |
Latest News & Trends
- RBI MPC anticipation drives positioning with consensus expecting unchanged rates but liquidity infusion signals.
- Banks rebound led by HDFC Bank , ICICI Bank ; IT gains on Infosys , TCS strength.
- VIX drop reflects calming sentiment post recent correction; FII selling eased to ₹1,681 crore yesterday.
- HUL demerger record date with special session; stocks like IndiGo , Max Healthcare in focus.
Predictions & Watch Outs
- Nifty targets 26,200-26,300 post-policy; MPC commentary critical for direction.
- Favor banks, IT momentum plays; caution smallcaps amid expiry volatility.
- Trade strategy: Trail stops on leaders, scale out pre-announcement; watch Governor's inflation stance.
