(Reuters) -Indian shares opened marginally higher on Wednesday, with investors anticipating dovish signals from the Reserve Bank of India’s policy decision to counter risks from U.S. tariffs and H-1B visa fee hike, even as they expect it to hold rates steady.
The Nifty 50 was up 0.11% at 24,639.2, while the BSE Sensex added 0.09% to 80,349.55, as of 9:18 a.m. IST.
Eleven of the 16 major sectors logged gains at the open. The broader small-caps and mid-caps traded flat.
The RBI’s monetary policy decision is due at 10:00 a.m. IST, with nearly three-quarters of economists in a Reuters poll expecting rates to remain unchanged.
The central bank held rates steady at its August meeting, following its surprise, front-loaded 50-basis-point rate cut in June.
“We expect the RBI to hold policy rates, though it remains a close call since inflation is expected to remain benign going forward and lack of a trade deal with the U.S. increases external headwinds to growth,” said analysts led by Sajjid Chinoy of J.P.Morgan.
A rate cut would lower borrowing costs, lift consumption, and bolster corporate earnings, providing a boost to domestic equities.
(Reporting by Bharath Rajeswaran in Bengaluru; Editing by Janane Venkatraman)
