The BSE Sensex and NSE Nifty recovered from day's low after lower than expected inflation for June, but remained in a tight range. According to Central Statistics Office, inflation for June declined to 7.25% as against 7.55% in May. CNBC-TV18 poll had expected at 7.61%. Inflation for April has been revised to 7.5% as against 7.23% (provisional).
The BSE benchmark gained 26.54 points at 17,240 and the NSE benchmark rose 8 points to 5,235.30. Even the Indian rupee recovered to 54.88 from 54.98 against the US dollar during the day. It was up by 26 paise over Friday's closing.
Country's largest lender State Bank of India extended gains, rising 1.4% on hopes that the Reserve Bank of India may consider rate cut in its quarterly monetary policy review on July 31. ICICI Bank moved up 0.66% and HDFC Bank gained 0.4%.
Top telecom operator Bharti Airtel extended gains, rising 3% and index heavyweight Reliance Industries was up 0.44%.
Healthcare stocks continued to rally since early