Indian shares closed 0.59 percent up on Tuesday on select buying after the government announced a fresh economic stimulus package last week, dealers said. The benchmark 30-share Sensex index rose 60.33 points to 10,335.93, its fourth straight day of gains.
"The markets were rangebound but select buying in rate-sensitive sectors like banking and auto pushed the markets up," said Bhaskar Kapadia, partner with brokerage Pyramid Securities. Concerns of low quarterly earnings growth however prevented a sharp rally.
In Tuesday's trade, losers led gainers 1,271 to 1,244 on turnover of 46.85 billion rupees (962 million dollars). Last year overseas funds were net sellers of Indian stocks, having sold 13.13 billion dollars for 2008, official data showed. India's largest private sector bank ICICI Bank rose 23.5 rupees or 4.5 percent to 523.15 while HDFC Bank rose 57.65 rupees or 5.53 percent to 1,100.45.