Indian shares gain; banks rally ahead of RBI

Last Updated: Fri, Jun 15, 2012 10:20 hrs

MUMBAI, June 15 (Reuters) - Indian shares rallied on Friday as banks led gains on hopes for aggressive monetary easing from the RBI, with sentiment also boosted by hopes major central banks would take coordinated global action should Greek elections lead to turmoil.

The Reserve Bank of India reviews policy on Monday, with traders betting it will cut the repo rate by 25 basis points and potentially also cut the cash reserve ratio.

ICICI Bank gained 2.8 percent, while HDFC Bank added 2.3 percent.

Tata Motors jumped 5.3 percent after global sales rose more than expected.

India's main 30-share BSE index provisionally rose 1.55 percent to 16,936.22 points, its biggest percentage gain since June 6. The broader 50-share NSE index gained 1.67 percent to 5,139.05 points. (Reporting by Manoj Dharra; Editing by Rafael Nam)

More from Sify: