RBI Policy: Bet on these 9 rate-sensitive stocks as RBI maintains status quo with neutral stance

Bet on these 9 rate-sensitive stocks post RBI policy

• RBI unanimously decids to keep the policy repo rate unchanged at 5.25%
• RBI raises FY26 real GDP growth forecast to 7.40% from 7.20%
• Inflation estimates for FY26 also revised higher to 2.1% from 2%

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The Reserve Bank of India Monetary Policy Committee (RBI MPC) on February 6 unanimously decided to keep the policy repo rate unchanged at 5.25 percent while continuing with a neutral stance at the conclusion of its three-day meeting.

This was largely expected by economists, as they believe the transmission of previous rate cuts and maintenance of liquidity should be the priority of the central bank.

“Based on a comprehensive review of the domestic macroeconomic conditions and the outlook, the MPC is of the view that the current policy rate is appropriate,” said the central bank, which reduced the repo rate by 125 bps last year.

The MPC noted that since the last policy meeting, external headwinds have intensified, though the successful completion of trade deals augurs well for the economic outlook. Overall, the near-term domestic inflation and growth outlook remains positive.

“Overall, the MPC’s decision underscores a transition phase for Indian markets, where monetary policy becomes less of a catalyst and fundamentals reclaim centre stage,” said Sonam Srivastava, Founder and Fund Manager at Wright Research PMS.

For equities, the message is more nuanced. The absence of a policy surprise shifts focus back to earnings quality, balance-sheet strength, and pricing power, especially in an environment where global growth remains uneven and capital flows are highly selective, she added.

The RBI has raised its FY26 real GDP growth forecast to 7.40 percent from 7.20 percent and also increased its inflation estimate to 2.1 percent from 2 percent. For the first two quarters of the next financial year (2026–27) as well, it has revised projections higher for both growth and inflation.

“As expected, it was a non-event policy. The RBI revised Q1/Q2 FY27 GDP estimates upward, supported by robust commentary driven by strong domestic factors and recent tariff-related trade agreements. Q1/Q2 FY27 inflation projections were also revised slightly higher, though nothing concerning,” said Vikas Garg, Head – Fixed Income at Invesco Mutual Fund.

For now, he expects an extended pause in policy rates. However, the RBI may continue to infuse durable liquidity through OMOs (open market operations) to aid better rate-cut transmission, particularly in the short-tenor segment, he said.

Meanwhile, the equity market remained consolidative for the third straight session, especially after the sharp run led by US trade deals. The Nifty 50 was down 14 points at 25,629, while the BSE Sensex rose 42 points to 83,356 at 11:42 hours IST.

Sectorally, rate-sensitive pockets may see limited near-term relief, but the broader takeaway is stability, Sonam said. Over the medium term, this policy approach supports domestic cyclicals and private capex by keeping real rates positive but not restrictive, while discouraging excess leverage.

Moneycontrol collated top 9 rate-sensitive stocks from experts to accumulate after the RBI policy decision:

Rajesh Bhosale, Technical Analyst at Angel One

Max Financial Services | CMP: Rs 1,701.5

Despite recent market volatility, Max Financial Services has displayed relative strength, maintaining a higher-high–higher-low structure. The recent price action suggests the formation of a rising channel, with prices rebounding from the lower boundary of the channel.

Given the improving momentum, the stock is likely to move towards the upper end of the channel and potentially break higher. Hence, we recommend buying the stock in the range of Rs 1,700–1,690.

Strategy: Buy

Target: Rs 1,850

Stop-Loss: Rs 1,600

RBL Bank | CMP: Rs 304.4

RBL Bank has witnessed a significant turnaround over the past year. After declining from the Rs 290 level to around Rs 150 since January 2024, it staged a sharp reversal, reclaiming and decisively moving above the Rs 290 mark, thereby confirming a rounding bottom breakout on the weekly chart.

Following the initial breakout rally, prices retraced back to the breakout zone, where buying interest re-emerged. Post the Union Budget, the stock has resumed its upward momentum. Importantly, prices are trading well above all major moving averages, reinforcing the overall bullish trend. Hence, we recommend buying RBL Bank around Rs 304–300.

Strategy: Buy

Target: Rs 335

Stop-Loss: Rs 290

Tata Motors Passenger Vehicles | CMP: Rs 374.15

Tata Motors Passenger Vehicles has been an underperformer, but prices have now approached a crucial long-term support zone aligned with the 89-month EMA and are showing early signs of reversal. On the daily chart, prices have formed a double bottom pattern accompanied by a bullish gap, which can be classified as a breakaway gap.

On the indicator front, a positive divergence is evident, strengthening the reversal thesis. Additionally, the stock has closed above the 89-day EMA for the first time in several months, indicating a pickup in near-term positive momentum. Hence, we recommend buying TMPV around Rs 374–370.

Strategy: Buy

Target: Rs 410

Stop-Loss: Rs 354

Vidnyan Sawant, Head Research at GEPL Capital

City Union Bank | CMP: Rs 293.65

City Union Bank (CUB) witnessed a breakout from a multi-year consolidation phase in November 2025 and is currently positioned well above its 5-month moving average, indicating a shift to a positive long-term regime.

On the weekly scale, the stock continues to form higher tops and higher bottoms, confirming the presence of a sustained bullish trend. The RSI momentum indicator is placed near 70, signaling an acceleration in bullish momentum.

Strategy: Buy

Target: Rs 317

Stop-Loss: Rs 281

Bank of India | CMP: Rs 163.46

Bank of India has exhibited a robust structural setup on the weekly scale, with a breakout from a large cup-and-handle pattern in October 2025. Post breakout, the stock has sustained its positive regime and remains well positioned above its 12-week and 26-week EMAs.

Volume activity has also expanded above the 20-week average, indicating healthy participation. Additionally, the stochastic indicator signals bullish continuation, reinforcing the positive outlook.

Strategy: Buy

Target: Rs 180

Stop-Loss: Rs 156

Can Fin Homes | CMP: Rs 937.4

Can Fin Homes has been trading within a rising channel on the monthly scale since 2018 and is currently positioned comfortably above its 5-month moving average, underscoring its long-term strength.

On the weekly scale, the stock has remained rangebound for six consecutive weeks while forming higher bottoms since February 2025, highlighting strong relative strength amid prevailing market volatility. Additionally, the weekly stochastic indicator has witnessed a bullish crossover, further reinforcing the positive outlook.

Strategy: Buy

Target: Rs 1,003

Stop-Loss: Rs 899

Aditya Thukral, Founder & Analyst of AT Research & Risk Managers

Union Bank of India | CMP: Rs 177.92

Union Bank of India has been consolidating within a box pattern after a breakout from short consolidations. All major EMAs have been sloping higher, and the price action of higher highs and higher lows signifies an uptrend in the stock price.

The current consolidation is occurring with falling volumes, which indicates another phase of accumulation before a breakout in the direction of the larger trend, which is upward in this case. Trading within this consolidation using a buy-on-dips strategy towards Rs 173 would be apt.

Strategy: Buy

Target: Rs 181

Stop-Loss: Rs 169

IDFC First Bank | CMP: Rs 85.48

IDFC First Bank witnessed a breakout from consolidation in December. Since then, prices have been sustaining above this breakout and have been consolidating further. A clear uptrend is imminent in the stock price, with the formation of higher highs and higher lows. This consolidation may take another couple of weeks to complete.

However, there will be opportunities to trade within this consolidation. As there is an established uptrend, the strategy remains to buy on dips. Anticipating an uptrend continuation, any dips towards Rs 83 should be used as a buying opportunity, with a stop-loss at Rs 79 on a daily closing basis.

Strategy: Buy

Target: Rs 91

Stop-Loss: Rs 79

Bajaj Auto | CMP: Rs 9,647

A fresh uptrend emerged in Bajaj Auto from the Rs 7,000 level. Since then, price action suggests an uptrend, with the formation of higher highs and higher lows. As prices are now consolidating within a box and a very short-term sideways price action is being witnessed, buying close to the bottom of the range would be apt for buyers looking to enter.

All major EMAs have been moving higher along with stock prices, which is a positive sign. Any minor dip towards the support level of Rs 9,400 will be a buying opportunity, as the stock finds support from moving averages around those levels.

Strategy: Buy

Target: Rs 9,800

Stop-Loss: Rs 9,180