Mumbai: India’s main stock index gain 0.5%, while the broader 50-share NSE index adds 0.5% on rising hopes for a twin cut in both the repo rate and cash reserve ratio at the RBI rate policy meeting on 18 June.
Traders say weaker-than-expected factory output data has raised hopes for more aggressive RBI action.
Inflation data on Thursday now awaited: a Reuters poll shows WPI likely accelerated 7.60% in May from a year ago, the fastest pace this year.
HDFC Bank gains 1%, while State Bank of India up 1.6%. Rate-sensitive autos also advance: Tata Motors gains 0.9%, while Maruti Suzuki gains 1.2%.
