Markets gain as RBI reviews credit policy

Markets have not reacted much to the RBI policy.

RBI has hiked Repo Rate by 25 basis points and the Reverse Repo Rate 50 basis points. However, the CRR has been left unchanged.

The Sensex dipped into the red for a second but rebounded almost immediately and touched a high of 18,081. The index is now up 48 points at 18,068.

The Nifty is up seven points at 5,425.

BSE auto index has jumped 1.5% to 8,254. The bankex has also recovered from the negative zone and is now up 0.3% at 11,440.
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(Updated at 1110hrs)

Markets are trading on a flat note as investors await the RBI credit policy review.

The Sensex had opened at the day's low of 17,999 and touched a high of 18,077 on buying in auto stocks. However, the index has now turned flat as investors are cautious. The Sensex is now up 14 points at 18,034.

Nifty is flat at 5,417.

BSE auto index is up 1% at 8,227.

However the banking index is marginally in red at 11,376. IndusInd Bank, Bank of Baroda, Union Bank and Axis Bank are some of the losers in this space.

Rate sensitive auto stocks have gained in late-morning trades. Hero Honda has gained nearly 3% at Rs 1,863. Tata Motors has added 1% to Rs 828. Maruti Suzuki is up 1% at Rs 1,203.

IT stocks are in green. TCS, Wipro and Infosys have advanced 1% each to Rs 855, Rs 417 and Rs 2,827, respectively.

Reliance is up 0.5% at Rs 1,058 ahead of its results today.

Hindustan Unilever, ONGC, Hindalco and ACC are also up.

On the other hand, ICICI Bank has slipped 1% to Rs 906 ahead of the RBI monetary policy review. The central bank will review its credit policy in some minutes. HDFC Bank and SBI are trading flat at Rs 2,057 and Rs 2,416, respectively.

Larsen & Toubro is the biggest loser with a loss of 2.5% at Rs 1,871.

NTPC, DLF and Jindal Steel have droped nearly 1% each.

BSE market breadth is positive. Out of 2,630 stocks traded, 51% have advanced while 45% have declined.