Nifty turns positive; rate sensitive stocks jump

MUMBAI (Reuters) - The Nify turned positive as shares of financial firms such as IDFC and ICICI Bank jumped after Finance Minister Arun Jaitley raised the foreign direct investment limit in the insurance sector, offsetting earlier profit-taking.

The 50-share Nifty was up 0.9 percent after earlier falling as much as 1.4 percent to its lowest in nearly 2-1/2 weeks.

The NSE sub-index for banks is up 0.6 percent after earlier falling as much as 1.7 percent.

ICICI Bank gained 1 percent while IDFC surged 6.8 percent.

(Reporting by Abhishek Vishnoi; Editing by Anupama Dwivedi)