Market Midday, 4 June: Benchmarks Flat Before RBI Rate Decision

The benchmark indices traded in a narrow range on Thursday as investors refrained from taking large positions ahead of the Reserve Bank of India's Monetary Policy Committee (MPC) decision due on Friday.

The Nifty 50 and the Sensex moved within a limited band during the session, reflecting caution across the market. Traders largely remained on the sidelines as they awaited clarity on the central bank's policy stance and interest rate outlook. At 12:29 pm, both the Sensex and Nifty 50 were up 0.10% and 0.11%, respectively.

Outperformance In Broader Markets

Broader markets were trading in the green. The Nifty Midcap 100 and Nifty Smallcap 100 were up 0.88% and 0.63%, respectively, at 12:29 pm.

Sectoral trends remained mixed during the session. The Nifty Consumer Durables index emerged as one of the top performers. The Nifty Oil & Gas and Nifty Chemical indices also traded in positive territory and outpaced the broader market.

On the other hand, information technology stocks remained under pressure. The Nifty IT index was among the major laggards.

Global Developments Remain In Focus

Apart from the RBI policy outcome, investors also monitored developments in West Asia. Iran struck Kuwait International Airport early Wednesday, adding to geopolitical tensions in the region.

A day earlier, the United States Central Command said it had intercepted multiple ballistic missiles launched by Iran. The command also said it had carried out defensive strikes on Qeshm Island in the Persian Gulf.

Top Stocks On Nifty 50

At 12:33 pm, the top five stocks on the Nifty 50 index were:

• Eternal Ltd

• Coal India Ltd

• Adani Enterprise Ltd

• Titan Company Ltd

• ITC Ltd

Stock-Specific Action

• Rajesh Exports shares hit a 5% lower circuit after SEBI's interim order highlighted extensive financial irregularities.

• Lenskart Solutions shares fell over 2% in early trade after SoftBank affiliate SVF II Lightbulb sold a significant stake.

• JBM Auto shares jumped over 5% in early trade after the company emerged as India’s leading electric bus manufacturer in May 2026.

Also Read - Defence Sector Rally Continues In Early Trade On Strong Q4 Earnings, Order Wins

Afternoon Trade Outlook

Markets are likely to remain range-bound through the afternoon session as investors avoid aggressive bets ahead of the RBI's policy decision on Friday. Stock-specific action in the midcap and smallcap segments may continue, while global cues and developments in West Asia could keep sentiment cautious.

Sources:

Business Standard

The Economic Times