At 14:26 IST, the barometer index, the S&P BSE Sensex, was down 114.58 points or 0.18% to 63,028.38 The Nifty 50 index lost 38.80 points or 0.21% to 18,687.60.

In the broader market, the S&P BSE Mid-Cap index declined 0.59% while the S&P BSE Small-Cap index shed 0.25%.

The market breadth was negative. On the BSE, 1,512 shares rose and 1,988 shares fell. A total of 119 shares were unchanged.

RBI Maintains Status Quo on Rates :

The Reserve Bank of India (RBI) monetary policy committee (MPC) has voted unanimously to keep the repo rate unchanged at 6.5%.

The standing deposit facility (SDF) rate remains unchanged at 6.25% and the marginal standing facility (MSF) rate and the Bank Rate at 6.75%.

The MPC also decided to remain focused on withdrawal of accommodation to ensure that inflation progressively aligns with the target, while supporting growth.

These decisions are in consonance with the objective of achieving the medium term target for consumer price index (CPI) inflation of 4% within a band of +/- 2 per cent, while supporting growth, RBI stated.

The central bank has cut inflation aim to 5.1% from 5.2% forecast in April policy.

Meanwhile, the RBI Governor Shaktikanta Das said real GDP growth is projected at 6.5% for FY24, — Q1 at 8%, Q2 at 6.5%, Q3 at 6% and Q4 at 5.7%.

Numbers to track:

The yield on India's 10-year benchmark federal paper advanced 0.39% to 7.009 from previous close of 6.982.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 82.5475, compared with its close of 82.52 during the previous trading session.

MCX Gold futures for 4 August 2023 settlement rose 0.09% to Rs 59,559.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.20% to 103.89.

The United States 10-year bond yield gained 0.29% to 3.797.

In the commodities market, Brent crude for August 2023 settlement fell 7 cents or 0.09% to $76.88 a barrel.

Buzzing Index:

The Nifty Media declined 1.10% to 1,785.80. The index rose 0.45% in a past trading session.

Network 18 Media & Investments (down 2.47%), Zee Entertainment Enterprises (down 1.79%), New Delhi Television (down 1.52%), TV18 Broadcast (down 1.43%) and Sun TV Network (down 1.25%) were the top losers.

Among the other losers were Navneet Education (down 0.71%), PVR Inox (down 0.49%), Nazara Technologies (down 0.28%).

Stocks in Spotlight:

Delhivery declined 0.99%. The company announced that it has partnered with Mystore, an ONDC-powered marketplace for Indian sellers, to provide express parcel shipping for rural entrepreneurs nationwide.

Jindal Poly Films surged 7.29% after the company announced that it has entered into an agreement to acquire the 100% shareholding of JPF Netherlands Investment B.V.