📉 Indian Stock Market Update – February 7, 2025 📈

--- ## 📰 Market Overview Today, the Indian stock market experienced a downturn despite the Reserve Bank of India's (RBI) decision to cut the repo rate by 25 basis points to 6.25%. The benchmark indices closed as follows: BSE Sensex: Decreased by 198 points (0.25%) to close at 77,860.19. Nifty 50: Declined by 43 points (0.18%) to settle at 23,559.95. --- ## 📉 Sectoral Performance Financials: Despite the rate cut, major financial stocks underperformed. State Bank of India (SBI) shares fell by 2.03%, closing at ₹737.05. In contrast, IndusInd Bank Ltd. and Kotak Mahindra Bank Ltd. saw gains of 1.27% and 1.08%, respectively. Information Technology: Infosys Ltd. shares decreased by 0.69% to ₹1,902.75, yet outperformed some of its peers. Tata Consultancy Services Ltd. experienced a sharper decline of 1.31%, closing at ₹4,029.40. --- ## 📊 Key Factors Influencing the Market 1. RBI's Rate Cut: The RBI reduced the repo rate by 25 basis points to 6.25%, aiming to stimulate economic growth. However, the anticipated boost in market sentiment was not observed, possibly due to the rate cut being already priced in by investors. 2. Global Economic Indicators: Mixed performances in Asian markets, with Chinese tech stocks rising while other Asian equities faced declines, influenced investor sentiment. Additionally, India's recent interest rate cut and an increase in Japan's household spending played roles in market dynamics. --- ## 🔮 Looking Ahead Investors are advised to monitor upcoming economic data releases and global market trends closely. The sustainability of domestic flows supporting the equity market remains a point of focus, especially considering the significant sell-off by foreign institutions since October 2024.