Closing Bell: Headline indices extend losses ahead of RBI policy meet

Domestic equity benchmarks closed lower for the third consecutive session on Thursday ahead of the Reserve Bank India (RBI) policy outcome tomorrow.

The Indian equity market fell for the third straight session today as global sentiment turned weak on hawkish US Federal Reserve minutes. The minutes of the Fed's March meeting showed deepening concern among policymakers that inflation had increased throughout the economy and the need for tighter monetary policy. Participants also awaited the Reserve Bank of India's (RBI's) bi-monthly policy outcome due on Friday. Thus, the headline indices ended lower for the third consecutive session.

At the closing bell on April 7, the Sensex was down 575.46 points or 0.97% at 59,034.95, and the Nifty was down 168.20 points or 0.94% at 17,639.50. On the market breadth, around 1678 shares have advanced, 1644 shares declined, and 102 shares are unchanged.

Top Nifty losers today were Adani Ports, Titan Company, HDFC, Power Grid Corp and ONGC. The top gainers include Axis Bank, Divis Labs, HUL, Dr Reddy's Laboratories and ICICI. In the top laggards, Adani Ports was the top Nifty loser as the stock lost 3.46% to Rs 820.45. HDFC and HDFC Bank which rallied nearly 10 per cent each on Monday after the merger announcement, have declined for three consecutive sessions after that.

On the sectoral basis, except pharma, all other sectoral indices ended lower. In the broad markets, BSE midcap and smallcap indices ended in the red.

The Reserve Bank of India is set to announce its first bi-monthly interest rate decision on Friday (April 7), where investors will eye the central bank's revised growth and inflation forecast.

Indian rupee closed lower by 21 paise at 75.96 per dollar against Wednesday’s close of 75.75.