* NSE index up 0.68 pct, BSE index rose 0.64 pct
* Idea Cellular gains on report of stake sale in tower arm
* Positive cues from demonetisation - analyst
By Tanvi Mehta
Nov 29 (Reuters) - Indian shares rose on Tuesday after the
central bank said lenders had received 8.45 trillion rupees
($123.05 billion) in deposits, absorbing a substantial amount of
the 500 and 1,000 rupee notes that were declared worthless
earlier this month.
The amount deposited, announced by the Reserve Bank of India
on Monday, raised hopes that the demonetisation process would
end sooner than expected, reducing what has been a key
constraint for markets.
The government unveiled a scheme on Monday to give tax
dodgers another chance to come clean, in a bid to bring billions
of dollars worth undeclared income into the mainstream economy.
"The government has succeeded in mobilizing large sum of
money under demonetisation, now they are working on giving
unaccounted money an opportunity to come into the legal system,"
said Deven Choksey, managing director, KR Choksey Securities,
adding that there has been some help with the stabilization of
The Indian rupee was trading at 68.45 against the
dollar, after it closed at 68.73 in the previous session.
The broader NSE index was up 0.68 percent at
8,181.95 as of 0627 GMT, after hitting its highest since Nov.
The benchmark BSE index climbed 0.64 percent to
The Nifty Bank Index gained as much as 0.69
percent, while IndusInd Bank and ICICI Bank
rose up to 1.35 percent and 0.67 percent respectively. Mortgage
lender HDFC Ltd rose as much as 3.07 percent.
A faster end to the demonetisation drive could revive auto
sales, according to analysts.
The Nifty Auto Index, which has dropped about
12 percent this month, was up 2.13 percent with Eicher Motors
and Maruti Suzuki India as top percentage
Meanwhile, Tata Steel Ltd hit a two-week high
after the company said its British arm Tata Steel UK would enter
talks with Liberty House on sale of speciality operations.
Shares of Idea Cellular climbed 4.29 percent after
CNBC-TV18 reported that the company plans to sell 100 percent
stake in tower arm for $1 billion.
($1 = 68.6725 Indian rupees)
(Reporting by Tanvi Mehta in Bengaluru; Editing by Sherry