Pharma, auto stocks lift Indian shares in start of data-heavy week

BENGALURU, Aug 7 (Reuters) - Indian shares rose marginally on Monday, helped by pharma and auto stocks, amid caution in a data-heavy week that includes U.S. inflation data and the Reserve Bank of Indias monetary policy decision.

The Nifty 50 (.NSEI) index was up 0.24% at 19,563.05 at 10:22 a.m. IST, while the S&P BSE Sensex (.BSESN) rose 0.25% to 65,883,65.

Asian markets were even more subdued, with the MSCI Asia ex-Japan (.MIAPJ0000PUS) losing 0.05%.

“Overall valuations are somewhat stretched and to that extent, the mood is cautious,” Rajeev Thakkar, chief investment officer and director at PPFAS Asset Management.

“The (India) earnings season has been along expected lines, but I do not think it justifies our runaway market.”

Analysts expect the markets to continue to consolidate between 19,150 and 19,800 levels ahead of U.S. inflation data and the RBIs monetary policy decision, both on Thursday.

Seven of the 13 major sectoral indexes logged gains, with the pharma index (.NIPHARM) jumping 1.46% to a record high.

Lupin (LUPN.NS) led the gains, adding nearly 3% and advancing for the sixth session in a row, continuing a post-earnings rally.

Aurobindo Pharma (ARBN.NS) jumped 2% to a near two-year high after the U.S. health regulator completed a pre-approval inspection at its formulation manufacturing facility.

Mahindra & Mahindra (MAHM.NS) climbed nearly 3% and was the top Nifty gainer after the automaker said on Friday that its quarterly profit nearly doubled.

On the flip side, Britannia (BRIT.NS) dropped 1.7%, the most on the Nifty, after the biscuits maker reported quarterly earnings below market estimates.

Paytm (PAYT.NS) surged as much as 11.44% on the fintech firms founder and CEO, Vijay Shekhar Sharma, plan to buy back a 10.3% stake in the company a unit of Chinas Ant Financial.