RBI keeps repo rate at 5.25% while IT stocks face pressure and financials stay resilient

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The Indian stock market traded with a mixed mood on February 06, 2026. The benchmark BSE Sensex stays around the low 83,000 level during the session, while Nifty 50 moves near the 25,500 to 25,600 range. Volatility is slightly higher compared to last week. Traders react quickly to news related to interest rates and the global technology sector. 

RBI Policy Decision

The largest focus of the day is the policy decision by the Reserve Bank of India. The central bank keeps the repo rate unchanged at 5.25%. It also maintains a neutral stance. The RBI says inflation is stable and economic growth remains solid. Because of this, no immediate rate change is made.

RBI also talked about improving digital payment safety. A draft proposal has been announced, which considers compensation up to Rs. 25,000 for small digital payment fraud cases. Banking and fintech stocks reacted mildly to this announcement.

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Sector Performance

Different sectors perform differently today. Financial stocks remain relatively stable. Some private banks show gains due to a better margin outlook. However, public sector banks trade mixed.

The technology sector faces pressure. The Nifty IT index fell sharply as concerns rose about global AI competition. Market estimates show that around $22.5 billion of market value has been erased in recent sessions from major IT stocks. Investors worry that artificial intelligence tools from global companies may reduce demand for traditional IT services.

Consumer and FMCG stocks show better performance. Defensive buying is seen in this space as investors rotate money from volatile sectors.

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Stock Specific Movement

Some individual stocks show strong movement based on earnings. Nykaa rose after reporting a stronger quarterly profit. Growth in skincare and makeup sales supports the results. Investors respond positively to margin improvement.

Life Insurance Corporation of India also gains after improved earnings commentary. The insurance segment remained stable, and the long term growth story continues to attract institutional investors.


Global and Domestic Factors

Global markets influence Indian stocks today. Concerns about global interest rates and technology valuations create an uncertain environment. Any negative news from the US tech sector can impact Indian IT shares quickly.

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The domestic economy shows resilience. GDP growth outlook remains positive. Inflation data in recent months have been under control, which gives comfort to policymakers. The rupee is moving in line with global risk sentiment, but no sharp fall is seen.

Investors now watch upcoming corporate earnings and further updates on the digital payment protection framework. Market participants also monitor bond yields and foreign institutional investor flows closely.

Overall Outlook

The Indian stock market reflected a balanced situation today. Sensex and Nifty showed that the market still holds strong levels despite sector pressure. Financial and consumer stocks provide support, while IT stocks drag indices down.

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Short-term direction depends on global cues and clarity about AI's impact on IT services. Volatility may stay for a few sessions. Long-term outlook remains constructive, but near-term movement is choppy and a little uncertain.