Indian shares concluded a volatile session virtually flat on Tuesday as investors eagerly anticipated the U.S. consumer price data release and the Federal Reserve's interest rate decision scheduled for Wednesday.
It is widely expected that the Federal Reserve will maintain current interest rates. However, traders will focus more on the updated economic and rate projections from Fed officials.
The likelihood of rate cuts in the current year appears diminished, with many analysts predicting the Federal Reserve's first rate reduction to occur in November.
The S&P BSE Sensex benchmark closed the session down by 33.49 points or 0.04 percent, settling at 76,456.59. Meanwhile, the broader NSE Nifty index inched up by 5.65 points or 0.02 percent to finish at 23,264.85.
Notable decliners included Dr. Reddy's Laboratories, Reliance Industries, ITC, Divis Laboratories, and Kotak Mahindra Bank, each dropping approximately 1 percent.
ONGC shares surged by 5.7 percent following a 3 percent rise in crude prices to a one-week high on Monday, driven by expectations of robust summer demand for fuel and possible U.S. crude purchases for its petroleum reserve.
Other gainers included Maruti Suzuki India, Adani Ports, Larsen & Toubro, and Tata Motors, which appreciated by 1-2 percent.
Housing finance stocks saw a significant rally after the Modi 3.0 government's first Cabinet meeting approved funding for the construction of an additional 3 crore rural and urban houses under the Pradhan Mantri Awas Yojana (PMAY).
As a result, PNB Housing Finance, Aavas Financiers, Homes First Finance, and NBCC surged by 6-10 percent.
