Sensex Stuck In Narrow Range Ahead Of RBI Policy, Nifty Holds 8,150

10:53 a.m.: The market breadth on the BSE was positive as 1,310 shares were advancing while 745 were declining on the BSE.

10:42 a.m.:Oil & gas shareswitness good buying interest. The BSE Oil & Gas index jumps 1 per cent on the back of gains in Indian Oil, HPCL, Bharat Petroleum, Petronet LNG, IGL and Oil India.

10:30 a.m.: The stock markets were trading in a narrow range. The Sensex was up 23 points at 26,415 and Nifty was at 8,153, up 10 points. Selling pressure was seen in healthcare, IT, consumer durables and select FMCG shares.

9:30 a.m.: The Sensex and Nifty edged higher in morning trades today ahead of Reserve Bank of India’s monetary policy review on the back of buying in rate sensitive shares. However, the gains were capped owing to weakness in heavyweight pharma shares.

The Sensex jumped 77 points to hit high of 26,469.93 and Nifty advanced 27 points to 8,170.70.

The Reserve Bank of India’s monetary policy review is expected later in the day. RBI Governor Urjit Patel-led Monetary Policy Committee is widely expected to cut interest rates today as the economy reels from the aftermath of demonetisation. But economists differ about the quantum of rate cut: 25 or 50 basis points.

The Street is expecting a 25 bps rate cut but if there is a 50-bps cut it would be big positive for markets, says Mayuresh Joshi of Angel Broking.

This will be RBI’s first monetary policy review after demonetisation of high value notes.

Meanwhile, on Dalal Street most of the sectors were witnessing buying interest barring a few pharma stocks.

Rate sensitive- banking, auto and real estate stocks were trading higher in hopes of interest rate cut by the RBI. The respective indices rose 0.4-0.5 per cent each.

From the Nifty basket of shares, 40 were advancing while 11 were declining.

Ambuja Cements was among the top Nifty gainers, up 1.14 per cent to Rs. 213. Adani Ports, BPCL, HDFC, Bosch, Hero MotoCorp, State Bank of India, Hindustan Unilever, HCL Technologies and Maruti Suzuki were also among the gainers.

On the other hand, Sun Pharma, Zee Entertainment, Aurobindo Pharma, TCS, Dr Reddy’s Labs and Reliance Industries were among the notable laggards.

The broader markets were trading higher with BSE mid-cap and small-cap indices up 0.4 per cent each.