Pre-Market 6 Feb 2026: Nifty Drops 0.52% Ahead of RBI Policy

Indian equity markets go into Friday after a weaker close on Thursday, February 5, as selling picked up across most sectors. The fall followed recent gains, with investors choosing to lock in profits while tracking global cues and waiting for the RBI’s policy decision due later in the day.

The session never really gathered momentum. Early moves faded quickly, and the tone stayed soft for most of the day. While volatility eased, participation thinned, especially in the broader market.

Yesterday’s Market Recap

Benchmark indices finished the session lower on Wednesday. Although there were brief attempts to stabilise, selling pressure returned, particularly in the second half.

The Bank Nifty also closed lower, down 0.29% at 60,063.65, as select banking stocks remained under pressure.

Wednesday’s selling was more visible beyond the frontline indices. The Nifty Midcap 100 ended 0.28% lower, while the Nifty Smallcap 100 slipped 1.29%. The damage was more visible in small-cap stocks, where selling was sharper as investors cut back on risk.

Broader Market Overview

Market breadth stayed weak through most of the session yesterday. Declines outpaced advances, pointing to cautious positioning rather than stock-specific churn.

Sectoral trends offered little support. Except Nifty PSU Bank, all major sectoral indices closed in the red. The decline, which was led by the metals, IT, auto, and real estate sectors, affected the benchmarks.

The selling reflected profit booking in stocks that had moved sharply higher in recent sessions, along with hesitation ahead of RBI’s policy cues.

The market capitalisation of BSE-listed companies slipped to ₹466.5 lakh crore, down from ₹469 lakh crore in the previous session. This meant a loss of over ₹2 lakh crore in a single day.

The fall followed a period of strong gains after 3 days, highlighting the shift in near-term sentiment.

Rupee and Volatility

In currency markets, the rupee ended slightly firmer, closing at ₹90.36 per US dollar, compared with 90.44 a day earlier.

The volatility cooled further. The India VIX fell 0.69% to 12.16, indicating that risk perception was kept under control even as markets corrected.

Technical Levels To Monitor

• On a technical basis, the Nifty's immediate resistance zone is expected to be between 25,750 and 25,800.

• The 25,450–25,500 range is where support is located on the downside. In recent sessions, this sector has held, and traders are still keeping an eye on it.

• Despite the decline, the daily RSI at 51.68 suggests neutral momentum and some underlying stability.

What Should We Expect in Today’s Market?

Focus will probably continue to be on the RBI policy result and international cues when trading gets underway on Friday. Instead of establishing large holdings, traders could continue to be selective, observing how markets respond around important levels.

Early trading is predicted to be dominated by stock-specific activity as volatility decreases but mood remains cautious.

Sources:

ET Now

NSE India

BSE India