By IANS
New Delhi : Indian equities opened on a positive note Tuesday after a moderate decline a day before, as expectations rose from the quarterly review of India’s monetary policy by the central bank later in the day.
The 30-share sensitive index (Sensex) of the Bombay Stock Exchange (BSE) opened the day at 18,346.49 points compared with the previous day’s close at 18,152.78 and was ruling at 18,476.12 after the first 20 minutes of trading.
At that level, the key index that had surged to a high of 18,467.07 was up 323.34 points, or 1.78 percent, as the stakeholders awaited the central bank announcement of the monetary policy review, expected around noon.
All the 13 industry-specific indices of the bourse were ruling in the positive territory, led by that for fast-moving consumer goods, up 2.96 percent, followed by 2.87 percent for the information technology index.
Among the 30 Sensex stocks, only two scrips – Bajaj Auto and ICICI Bank – were trading in the red. All the remaining 28 were in the positive territory, led by Oil and Natural Gas Corp, up 4.32 percent.
The key index had closed Monday with a loss of 208.88 points, or 1.14 percent.
The paradox for the central bank is if it chooses to cut interest rates, inflows from foreign funds could be moderated, but if it chooses not to, industry will get no respite from borrowing at higher rates, a market analyst explained.