Prime End of the Day Summary: View on Market Performance 05 June 2026

Nifty Ends Marginally Lower on RBI Policy Day; Rupee Hits One-Month High

It was a muted session for Indian markets as the Nifty closed at 23,366, down 49 points. After opening 62 points higher, the index failed to hold gains and experienced profit-taking through most of the session. For the week, the Nifty fell 0.77%.

The Reserve Bank of India’s Monetary Policy Committee unanimously kept the repo rate at 5.25% and maintained a neutral stance. The RBI trimmed its FY27 real GDP forecast to 6.6% from 6.9% and revised its inflation projection to 5.1%.

To shore up external financing, the central bank unveiled a six-point package aimed at boosting capital inflows via G-Secs, FPIs and FCNR(B) deposits.

Among Nifty constituents, Adani Enterprises, Hindustan Unilever, and Adani Ports led gains, while Hindalco, Trent and TCS lagged. All sectoral indices closed higher except Metal, IT and Oil & Gas. Media, Realty and Healthcare were the top performers.

Broader markets tracked the benchmark, with the Nifty Midcap 100 and Smallcap 100 sliding 0.35% and 0.06% respectively. Market breadth weakened slightly as the BSE advance-decline ratio slipped to 0.97 from 1.16.

The rupee logged its biggest single-day gain since April 2, strengthening 85 paise to close at one-month high of 94.94 levels. The currency outperformed Asian peers after the RBI’s capital-flow measures, aided by a softer dollar and lower crude prices.

For the last four trading sessions, Nifty has been consolidating in the narrow closing range of 150 points, which indicates consolidation happening at the lower range.

The index remains below key moving averages, keeping positional bias bearish. Near-term support lies in the 23,100–23,150 band, while immediate resistance is placed at 23,557, followed by 23,800.