The Sensex is up 0.6 percent and the Nifty is up 0.9 percent, on their way to snapping four sessions of losses. Stocks leading gains on the Sensex include ICICI Bank, up 2.7 percent, and HDFC, up nearly 2 percent.
Cairn India Ltd (CAIL.NS) gains 3.13 percent after the company announces an oil discovery in the Rajasthan block.
ICICI Bank(ICBK.NS) is up after Morgan Stanley upgrades the stock to "overweight" from "equal-weight", citing an expected pick-up in consumer loan growth.
Wipro (WIPR.NS) recovers after earlier falling as much as 11.3 percent in the first trading session after splitting non-IT business into a separate unit. (Read full story here)
Foreign funds continue to be net sellers in Indian equities, having sold $30.03 million of equities on Monday, a fourth consecutive session of selling.
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