The Indian equities edge higher amid fresh buying by foreign institutional investors amid renewed hopes of a rate cut by RBI after a slew of positive macroeconomic numbers, including easing inflation, influenced mood. Further, firm cues from Asian peers coupled with gains in IT, autos, consumer durable, realty and capital goods stocks also bolstered market sentiments.
At 12:20 hours, the BSE SENSEX was trading at 26242.3, up by 49.32 points or by 0.19 per cent, and the NSE Nifty was quoting 16.3 points higher at 7993.4.
In the bullish trade so far, the BSE Sensex touched an intraday high of 26339.1 and intraday low of 26218.44, while the NSE Nifty touched high and low of 8021.6 and 7979.65, respectively.
Early today, the Indian equities belled the day in green, tracking a firm trend in markets across Asia and a bullish finish at Wall Street overnight after top US Federal Reserve officials" reassurance over the health of the world"s biggest economy bolstered risk taking appetite. The rupee also recovered, in line with equity market, against the dollar in early trade today on fresh selling of the US currency by exporters.
On the sectoral front, IT and consumer durable indices emerged as top gainers, adding 1.9 per cent and 1.61 per cent, respectively.
Leading the rally on the D-Street were Infosys Ltd. (Rs. 1134.20,+2.68%), Wipro Ltd. (Rs. 601.90,+1.62%), ITC Ltd. (Rs. 317.40,+0.99%), Mahindra & Mahindra Ltd. (Rs. 1195.20,+0.91%), Dr. Reddy's Laboratories Ltd. (Rs. 3988.00,+0.77%), among others.
However, some selling were witnessed in blue chip stocks, such as Hindalco Industries Ltd. (Rs. 75.90,-2.69%), Bharti Airtel Ltd. (Rs. 345.35,-2.06%), NTPC Ltd. (Rs. 124.80,-1.42%), Reliance Industries Ltd. (Rs. 867.45,-1.17%), Vedanta Ltd. (Rs. 97.40,-1.17%), among others.
The Market breadth, indicating the overall strength of the market, was strong. On BSE out of total shares traded 2352, shares advanced were 1432 while 814 shares declined and 106 were unchanged.
On the global front, the Asian equities were trading higher after a rebound in US equities, with Shanghai Composite surging over 1 per cent, marking the third straight day of gains amid optimism over President Xi Jinping"s state visit to the US. Hang Seng advanced after a China leading index rose at a faster pace in August, up 1 per cent from July when it climbed 0.9 per cent, easing worries over a slowdown in the world"s second biggest economy. Japanese markets remained shut due to a holiday.