Key equity benchmarks ended with decent gains on Wednesday, tracking positive global cues. Easing US-China tensions buoyed trading sentiment across the global stock markets.

The barometer index, the S&P BSE Sensex, rose 125.37 points or 0.34% to 37,270.82. The Nifty 50 index rose 32.65 points or 0.30% to 11,035.70.

The Nifty opened above 11,000 level and hovered in a narrow range for most part of the day. A dash of volatility was witnessed in last hour of trade along with some profit booking. The Nifty, however, managed to end above 11,000 mark with realty, auto and banking stocks in the lead.

Buying was broad based. The S&P BSE Small-Cap index rose 1.43%. The S&P BSE Mid-Cap index rose 1.04%.

The market breadth was strong. On the BSE, 1845 shares rose and 775 shares fell. A total of 155 shares remain unchanged.

On domestic front, Fitch Ratings on Tuesday forecast India's economic growth at 6.6% during the current year, down from 6.8% in the previous year, and said the government has only limited room to ease fiscal policy because of high debt. It said GDP growth is likely to rebound to 7.1% next year.

India's retail inflation rate for August 2019 and industrial production figures for July 2019 will be announced on Thursday, 12 September 2019.

Overseas, European markets traded higher ahead of key central bank meetings. Asian markets closed higher on hopes of diminishing US-China tensions and reduced risk of no-deal Brexit. Investors also await the European Central Bank's decision on interest rates on Thursday.

On the trade front, China's Ministry of Finance announced that 16 American products will be exempted from additional tariffs. On Tuesday, media reported that China has offered to increase US agricultural purchases in exchange for a delay in tariffs and easing of a supply ban against telecommunications giant Huawei Technologies.

US markets ended on a mixed note on Tuesday, with a rally in energy and industrial shares countering a drop in the technology and real estate sectors as investors favoured value over growth.

Back home, auto shares were in demand. Escorts (up 5.30%), Eicher Motors (up 4.98%), Maruti Suzuki India (up 4.18%), TVS Motor Company (up 3.64%), Bajaj Auto (up 2.76%), Hero Motocorp (up 2.62%), Mahindra & Mahindra (up 2.38%) and Ashok Leyland (up 1.27%) advanced.

Tata Motors jumped 10.21%. The auto major's wholly-owned UK-based unit Jaguar Land Rover (JLR) said retail sales in China continued to recover (up 17.4% year-on-year) as the company's local turnaround plan gathered momentum.

Felix Brautigam, Jaguar Land Rover Chief Commercial Officer, said that while the global market remains challenging, the company has seen a second month of consecutive growth in China.

Most private sector banks rose. RBL Bank (up 5.02%), IndusInd Bank (up 2.83%), Axis Bank (up 1.5%), Kotak Mahindra Bank (up 0.24%) and HDFC Bank (up 0.03%) rose.

Yes Bank jumped 13.47% to Rs 71.60. Media reports indicated that mobile payments major Paytm-owner One97 Communications is in discussions for a deal to pick up a stake in Yes Bank.

The private sector lender, however, termed media reports as speculative. The bank in the usual and ordinary course of its business continues to explore various means of raising capital/funds through issuance of securities to diverse set of investors, in order to meet its business/ regulatory requirements, Yes Bank said.

Among public sector banks, Union Bank of India (up 5.51%), Punjab National Bank (up 3.68%), Bank of Baroda (up 3.66%), Canara Bank (up 3.41%), Bank of India (up 3.26%), Andhra Bank (up 3.17%) and State Bank of India (up 2.66%) jumped.

Sun Pharmaceutical Industries declined 1.57%. The drug major said that the wholly owned subsidiary of the company has increased its shareholding in PJSC Biosintez, Russia, by way of purchase of 8698 shares (2391 ordinary shares and 6307 preferred shares) equivalent to 3.04% of PJSC Biosintez under Mandatory Tender Offer. Post completion of this purchase of shares, the total holding of wholly owned subsidiary company was increased from 96.96% to 100% in PJSC Biosintez. The announcement was made after market hours on Monday, 9 September 2019.

Realty shares rose across the board. Oberoi Realty (up 10.21%), Peninsula Land (up 6.94%), Godrej Properties (up 5.79%), Parsvnath Developers (up 5%), D B Realty (up 4.95%), HDIL (up 4.95%), Unitech (up 4.05%) and DLF (up 4.02%) surged.

Indiabulls Real Estate rose 0.23% after the company divested commercial assets to Blackstone for Rs 4,420 crore.

I G Petrochemicals jumped 15.82%. India Ratings & Research affirmed 'INDA+/Stable' to the company's term loan. It assigned 'INDA+/Stable' to the firm's long-term borrowings. The agency affirmed 'INDA+/Stable/INDA1+' to the firm's bank facilities. The announcement was made during market hours today, 11 September 2019.

Larsen & Toubro (L&T) rose 0.42% higher after the company announced a 'significant' order win. The buildings and factories business of L&T Oman has been awarded the main works contract of The Mandarin Oriental, Muscat. The project involves the construction of the Mandarin Oriental Hotel and the residences at the Mandarin Oriental, Muscat.

Premier Explosives jumped 8.48% after it announced that the company has received an order from Vikram Sarabhai Space Centre (VSSC) for production of PSOM-XL segments (solid propellant) for their satellite launch vehicles. The order is to be executed within a period of 18 months.

MTNL jumped 6.61% to Rs 6.13 after media reported that the government is likely to infuse capital in two telecom public sector undertakings, BSNL and MTNL. The reports added that the funds infusion in both BSNL and MTNL will be through bonds as has been the case of PSU bank recapitalizations.