Sensex and Nifty fell despite RBI reducing interest rates to 6.25% after five years. Rate-sensitive stocks declined, while Bharti Airtel emerged as a top gainer. Financials experienced losses while the auto sector gained slightly.

It was widely anticipated that the RBI will deliver a rate cut and, hence, the market has not reacted much to the rate cut, said an analyst.

Indian benchmark indices Nifty 50 and Sensex ended the previous trade session in the red. Nifty 50 closed at 23,603.35, while Sensex ended at 78,058.16. Overnight, Wall Street indices were in the green.