BSE Sensex Hits 30,000 on 4th March 2015 FIRST Time due to Repo Rate Cut by RBI

The BSE Sensex hits 30000 point for the first time. Sensex and Nifty jumped high on 4th March 2015 for the first time after RBI Governor decided to go for a mid-policy rate cut for what the central bank said was mainly because of emergence of disinflationary trends in the economy.

The Sensex jumped over 400 points to edge above 30,000 for first time ever as the RBI lowered repo rate by 25 basis points to 7.5 per cent. This was the 2nd repo rate cut this year that took place apart from RBI’s scheduled policy review meetings.

The Nifty also risen to hit a lifetime high of 9,119.20 in the opening trade. The Sensex at 30000 points could not sustain its position and fallen down 200 points lower.

The repo rate cut came days after Finance Minister ArunJaitley's Union Budget announcement on Saturday. In his Budget, MrJaitley had loosened the reins on public spending to drive growth, but promised lower-than-expected borrowing despite raising the economicdebit target.

The Nifty lost 0.82 percent after earlier rising as much as 1.37 percent to mark a record high of 9,119.20, marking its third consecutive all-time high. Among Sensex gainers, Sun Pharmaceutical Industries Ltd rose 6.62% to Rs.1,004.80, ITC Ltd added 0.89% to Rs.344.40, Bharti Airtel Ltd advanced 0.63% to Rs.351.15, while Bajaj Auto Ltd added 0.28% to Rs.2,122.10.

RBI had last cut repo rate on 15 January by a similar number but had left it unchanged at its monetary policy meet in February, mentioning the need for more signs on increase and fiscal alliance.

Sensex rose nearly 3 per cent in the previous four sessions on Budget announcements which were mostly viewed positively by market participants.