The market held early gains before the Reserve Bank of India announced its credit policy review at 11 am. Economists expect no change in policy rates. Chetan Ahya of Morgan Stanley says hawkish comments on inflation data will be negative. The Sensex rose 75.18 points to 24760.03 and the Nifty gained 16.75 points to 7379.25.
Advancing shares outnumbered declining ones by a ratio of 1274 to 678 on the BSE. Metals and mining stocks continued to see buying interest. Tata Steel rallied nearly 3 percent as sources told CNBC-TV18 that Odisha government has allowed four iron ore mines of Tata Steel to reopen.
Sesa Sterlite and Coal India rallied 2 percent and 2.7 percent, respectively. NTPC, L&T, ONGC and Hero Motocorp advanced 1-2 percent while ITC, Dr Reddy’s Labs, HDFC Bank, Tata Motors, Bharti Airtel, HUL and M&M lost ground.