Sensex slumps 215 points as RBI begins monetary policy review

The BSE Sensex ended at 35,011.89, down 215.37 points or 0.61%. The broader NSE Nifty too ended lower by 67.70 points, or 0.63%, at 10,628.50.

Benchmark equity index BSE Sensex tanked over 215 points to close at 35,011.89 on Monday, as cautious investors trimmed their portfolios amid the RBI’s monetary policy meeting getting underway.

The Bombay Stock Exchange (BSE) logo is displayed in front of a bronze bull statue at the Bombay Stock Exchange in Mumbai. (Dhiraj Singh/Bloomberg)

The RBI’s Monetary Policy Committee began its three-day meeting on Monday, amid speculation that it may hike the key interest rate on June 6 for the first time in about four-and-half years on account of firming inflation.

The 30-share BSE Sensex opened on a strong footing on across-the-board gains amid positive global leads and hit a high of 35,555.59.

However, it soon slipped into the negative zone on massive selling in several heavyweights. It finally ended at 35,011.89, down 215.37 points or 0.61%.

The broader NSE Nifty too ended lower by 67.70 points, or 0.63%, at 10,628.50, after hovering between 10,770.30 and 10,618.35.

Meanwhile, foreign portfolio investors (FPIs) offloaded shares worth a net ₹202.80 crore, while domestic institutional investors (DIIs) bought equities to the tune of ₹337.97 crore on Friday, as per provisional data.