Mumbai, Jan 29 (IANS): A benchmark index for Indian equities markets was trading more than a quarter percent up in afternoon trade Tuesday after the Reserve Bank of India (RBI) cut key lending rates in its third quarterly review of monetary policy.

The RBI's move cutting the short-term lending rate to 7.75 percent after a gap of nine months, and reducing Cash Reserve Ratio (CRR) to 4 per cent - which would reduce the cost of home, auto and corporate loans and improve liquidity in the system - brought cheer to the market.

There was heavy buying in the interest rate sensitive realty, banking, metal and automobile stocks.

However, oil and gas, consumer durables and information technology stocks came under selling pressure.

The 30-share Sensex, which opened at 20,080.31 points, was ruling at 20,169.80 points, up 66.45 points or 0.33 percent from its previous close at 20,103.35 points.

The Sensex touched an intra-day high of 20,203.66 points and a low of 20,029.42 points. The midcap index was up 39.50 points, while the smallcap index was higher by 16.21 points.

The wider 50-scrip S&P CNX Nifty of the National Stock Exchange (NSE) was trading up 30.90 points or 0.51 percent at 6,105.70 points.

Major indices like bank index was up 166.35 points, followed by the metal index, up 99.06 points, and automobile index, up 77.47 points, and the realty index, up 28.63 points.

The oil and gas index was down 54.77 points. And so were the consumer durables index, down 15.15, and the IT index, down 5.08 points.

Among other Asian markets, Japan's Nikkei was UP 0.39 percent, while Hong Kong's Hang Seng was down 0.04 percent. China's Shanghai Composite Index was trading higher by 0.53 percent.