(AP) NEW DELHI
Indian shares rose sharply Tuesday, tracking other Asian markets, amid hopes that the U.S. Federal Reserve may no more hike interest rates.

Banking stock led the rally, while many blue chip stocks also gained as investors remained bullish.

The benchmark index of the Bombay Stock Exchange - the 30-share Sensex - jumped 202 points, or 1.9 percent, to 11,015. On the broader National Stock Exchange, the 50-company S&P CNX Nifty rose 2 percent to 3,212.40.

"The rise was because of expectations that the Fed will not only leave the rates unchanged, but also take a dovish view on further rate hikes," said Arun Kejriwal at KRIS Capital, a Bombay-based brokerage.

ICICI Bank jumped 4.8 percent to 595.30 rupees, while State Bank of India climbed 2.5 percent to 831.45 rupees. Sensex heavyweight Oil & Natural Gas Corp. rose 2.4 percent to 1,189.30 rupees.

_______________________________________________________________

All contents © 2006 The Kiplinger Washington Editors, Inc.