Mumbai, Dec 6 (PTI) Benchmark Sensex dropped 205 points
to end at 32,597.18 today after the RBI left the policy rate
unchanged at 6 per cent but raised the inflation forecast.
The six-member Monetary Policy Committee (MPC), headed by
Reserve Bank of India Governor Urjit Patel, kept the policy
rate unchanged on expected lines but raised the inflation
forecast for remainder of the current fiscal to 4.3-4.7 per
The 30-share index declined by 205.26 points, or 0.63 per
cent, to 32,597.18 after hitting a low of 32,565.16 soon after
the central bank announced its policy rate.
The wider Nifty hit a low of 10,033.35 before finishing
at 10,044.10, down 74.15 points or 0.73 per cent. It had
touched a high of 10,104.20 in early trade.
The central bank kept the economic growth forecast
unchanged at 6.7 per cent for the fiscal ending March 31.
Interest rate-sensitive stocks took a beating, dragging
the BSE banking index down by 1.23 per cent. SBI, ICICI Bank,
Axis Bank, HDFC Bank, Bank of Baroda, Punjab National Bank and
Yes Bank fell by up to 2.27 per cent.
This is published unedited from the PTI feed.