Domestic equity markets climbed on Tuesday amid rising gains in financial, pharmaceutical and infrastructure stocks, with official data showing that consumer inflation in the country declined slightly. Benchmark indices S&P BSE Sensex and NSE Nifty 50 were up 0.83 percent at 39,079.30 and 11,534.55 respectively during the session.
The Sensex ended 287.72 points – or 0.74 percent – at a high of 39,044.35, and the Nifty closed 91.70 points – or 0.80 percent – 11,531.75 from its previous close.
After market hours on Monday, data from the Ministry of Statistics showed consumer inflation fell to 6.69 percent in August, lower than economists had anticipated, although above the RBI’s medium-term target for the fifth straight month is.
This reinforced view that the central bank does not have enough space to ease its monetary policy at its next meeting in October.
Elsewhere in Asia, equity grew more than positive industrial data from China and optimism surrounding COVID-19 vaccines.
Investors eagerly awaited the meeting of the US Federal Reserve’s two-day policy that began later in the day.