By Abhishek Vishnoi
MUMBAI (Reuters) - The BSE Sensex edged higher on Thursday as Mahindra & Mahindra advanced after its quarterly earnings beat analyst estimates, while ICICI Bank rose ahead of it results on Friday.
Shares were also helped as world stocks recovered from a recent slide on encouraging data from Britain and China, as well as the U.S. Federal Reserve's latest commitment to support growth.
The expiry of October derivatives contracts at the end of the session proved less volatility that usual, as investors focused on earnings and on hopes for a surprise cut in interest rates at the Reserve Bank of India's policy review on Tuesday, according to traders.
"Earnings so far have been on the positive side and will remain important," said Dipen Shah, head of Private Client Group Research at Kotak Securities.
"But RBI's policy review now becomes the key to determine the trend of the market from here onwards."
The BSE Sensex rose 0.26 percent, or 48.61 points, to 18,758.63 points.
The 50-share Nifty rose 0.24 percent, or 13.90 points, to 5,705.30 points.
Mahindra and Mahindra Ltd
Banking stocks were well bid on the back of solid earnings and improvements in the shedding of bad loans.
However, among the stocks that fell, Sun TV Network
(Editing by Rafael Nam)