Sensex edges up; RBI keeps door open for future rate cuts

MUMBAI (Reuters) - Indian shares edged higher on Tuesday as the central bank left the door open for more monetary easing after keeping rates on hold as widely expected, while broader sentiment was also supported by strong gains in Asian markets.

The Reserve Bank of India kept its key lending rate unchanged at 6.75 percent, leaving the door open for more easing but making that dependent on meeting a challenging inflation target f?or 2017.

Sentiment was also supported after Asian shares rallied on private manufacturing data showing activity contracted last month at a slower pace than in October.

The Nifty rose 0.25 percent, while the Sensex gained 0.09 percent.

 

(Reporting by Rafael Nam; Editing by Subhranshu Sahu)