Auto stocks are weighing on the indices.
Investors turn their attention to export-driven sectors.
The 30-share Sensex ended higher by 46 points at 26,360 and the 50-share Nifty gained 16 points at 7,891.
Many exemptions make little sense, such as a monthly exemption of Rs 100 for college education and Rs 300 for hostel fees.
The 30-share Sensex ended 271 points higher to end at 28,930 and the 50-share Nifty climbed 76 points to close at 8,776.
Investors engaged in profit booking in the recent gainers at attractive and higher valuations.
'India is still a cash economy.' 'For a common household, almost everything from grocery to maid services is paid in cash.' 'The demonetised notes account for 85 per cent of the currency in circulation.' 'Until fresh notes flow back into the economy, day-to-day transactions ordinarily done in cash will be impacted.'
RBI also retained its GDP growth forecast at 7.6 per cent
Markets across the globe gained after China Securities Regulator removed its four-day-old circuit-breaker system.
Volatility ain't going away any time soon. 2013 was the most volatile year for the rupee in at least the last 10, with 2009 not far behind.
The market players are expected to react to the better than expected factory output data for the month of August, which revealed that the industrial production grew by 6.4%.
Many investment options once seen as safe havens are presently out of sync
Sensex lacklustre, bluechips in focus.
India's banks are propping up too many weak producers.
