Sensex, Nifty Open At Record Highs Ahead Of RBI's Monetary Policy Decision

The RBI's Monetary Policy Committee is expected to leave interest rates at record lows for a seventh straight meeting.

The Indian equity benchmarks opened at record highs with Nifty 50 index advancing above its important psychological level of 16,300-mark for the first time ahead of Reserve Bank of India's monetary policy decision due later in the day. The RBI's Monetary Policy Committee is expected to leave interest rates at record lows for a seventh straight meeting and the markets will focus on what it says about normalising liquidity. As of 9:17 am, the Sensex rose 53 points to 54,545 and Nifty 50 index advanced 23 points to 16,317. To help the economy through the hard times caused by the pandemic, the RBI has maintained excess rupee liquidity in the banking system with the daily surplus currently exceeding Rs 6 lakh crore. While most analysts reckon the RBI won't raise interest rates till next year, some expect the RBI to offer some clues as to when it will start reducing liquidity in a commentary that is released after the monetary policy committee (MPC) meeting.