Sensex, Nifty maintain uptrend; Midcap underperforms, ICICI down

Moneycontrol Bureau10:58 am Market Update: The Sensex rose 250.34 points or 1.03 percent to 24493.32 and the Nifty advanced 69.30 points or 0.94 percent to 7438.15.About 1274 shares advanced against 768 declining shares on the BSE.10:40 am Market Expert: Following the government's Union Budget, expectations are high that the Reserve Bank of India cut interest rates soon -- and perhaps several times over the year.But Taimur Baig, Chief Economist, Asia Global Markets Research, Deutsche Bank AG says that while one rate hike is expected to be in the offing, more is unlikely to come.Baig puts his thesis down to the consumer price index, which, he thinks, is likely to look "okay but not great" through the year.He also said the central bank was unlikely to undertake an out-of-turn policy action.Arun Jaitley's Budget, he said, was positive overall and the fiscal deficit coming in on target would be good for FII sentiment, inflows and the bond market.10:20 am Interview: Eveready India has decided to spin off its packaged tea business, and the new unit will work more closely with group firm McLeod Russel, said the company MD Amritanshu Khaitan.

The news was first reported by Mint this morning.

In an interview with CNBC-TV18, Khaitan said the packaged tea market was fragmented with there being a difference a huge difference between the market leaders HUL and Tata Tea and the rest.

"We are aiming to consolidate the number three spot," he told.

The consumer electronics firm owns the Tez and Jaago brands of packaged tea.Also read - CBI sets up group to deal with financial frauds, loan defaults10:00 am Market Check

The market continued to see buying interest with the Sensex rising 190.55 points or 0.79 percent to 24433.53. The Nifty held 7400 level, up 52.10 points or 0.71 percent to 7420.95.

The broader markets underperformed benchmarks with the BSE Midcap trading flat and Smallcap up 0.4 percent. The market breadth was positive as about 1050 shares advanced against 679 declining shares on the BSE.

Tata Steel topped buying list on Sensex, up 4 percent. Tata Motors rallied 3.7 percent after Jaguar Land Rover sales increased 25.3 percent year-on-year to 7,929 units in February, majorly supported by Land Rover that grew by 30.5 percent to 6,417 units.

Dr Reddy's Labs jumped 2.5 percent on approval from the US Food & Drug Administration for Palonosetron hydrochloride injection, anti-nausea drug.

Infosys climbed over a percent as Morgan Stanley maintained overweight rating on the stock.

"Infosys management reiterated their outlook of achieving industry leading revenue growth in FY17 and believes that growth is not coming at the expense of margins. Its philosophy of "consistent profitable growth" remains unchanged and automation should start reflecting in better margins over the medium term," says the brokerage.

ICICI Bank lost 2.7 percent and SBI declined 0.9 percent on profit booking. Maruti Suzuki slipped 0.6 percent despite company decided to hike car prices in range of Rs 1,441-34,494.