Indian benchmark indices, the Sensex and Nifty, commenced trading on Friday, June 5, 2026, with significant gains. The positive opening came as market participants eagerly anticipated the outcome of the Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) meeting, scheduled for later in the day.
In early trade, the BSE Sensex climbed as much as 357 points, later settling at 74,534.72, up 174.71 points or 0.23% at 9:17 am. Concurrently, the NSE Nifty surged 41.15 points or 0.18% to 23,457.70, briefly touching a high of 23,516.35, surpassing the 23,500 mark. The upward movement occurred amidst a backdrop of mixed global cues.
Investors' primary focus remained on the central bank's policy stance, particularly regarding interest rates and future guidance. Additionally, the potential repercussions of the escalating West Asia conflict on India's economy, crude oil prices, and the value of the rupee were closely monitored.
Among the Sensex constituents, several stocks posted notable gains. Infosys advanced by 1.59% to Rs 1219.75, while UltraTech Cement climbed 1.39%. Other significant gainers included Tata Consultancy Services (TCS), rising 1.33%, Tech Mahindra with a 1.29% increase, and Bajaj Finserv, up 0.81%.
Broader Asian markets, however, presented a contrasting picture, largely trading lower. Japan’s Nikkei 225 plunged 1.45%, South Korea’s Kospi slumped 3.88%, and Hong Kong’s Hang Seng declined 0.79%.
Overnight, Wall Street ended mostly higher, with the S&P 500 gaining 0.41% and the Dow Jones Industrial Average jumping 1.73%. The Nasdaq Composite, however, edged down 0.09%.
“The MPC is likely to hold rates with a guidance of a rate hike later in the year to combat inflation, which is expected to rise in H2 FY27. RBI is likely to revise the GDP growth for FY27 downward and CPI inflation upward in the context of the energy shock and its implications,” stated VK Vijayakumar, Chief Investment Strategist at Geojit Investments Ltd.
In the preceding session on Thursday, both Indian benchmarks had closed marginally higher. The Sensex had edged up 13.84 points (0.02%) to 74,360.01, and the Nifty gained 10.95 points (0.05%) to close at 23,416.55.
Gaurav Udani, Founder of ThinCredBlu Securities Pvt Ltd, advised caution: “For now, the market remains largely driven by global news flow, with geopolitical developments and international market cues continuing to influence short-term direction. Traders should remain cautious and focus on key levels, as the next meaningful move is likely to emerge from a breakout of the current support-resistance range.”