Mumbai, Dec 1 (IANS): Lack of major triggers coupled with uncertainty over the upcoming US rate hike subdued the Indian equity markets as a barometer index provisionally closed flat on Tuesday.

Initially, both the bellwether indices of the Indian equity markets opened on a positive note following Monday's late night reforms initiated by the finance ministry in accordance with market regulator and the Reserve Bank of India (RBI).

Even a modest growth in the gross domestic product (GDP) for the second quarter, which showed a gradual recovery in the country's economy, cheered the markets. 

However, the gains were capped after a slowdown in demand was indicated by a lackluster eight core industries (ECI) and purchasing managers index (PMI) data.

Nevertheless, investors kept an optimistic outlook with the RBI announcing that it will maintain an accommodative stand on future rate cuts and that the economy is eventually limping towards a marked recovery. 

Furthermore, positive cues emanated from hopes that the European Central Bank (ECB) will announce a stimulus package during its next monetary policy meet slated for December 3.

The barometer sensitive index (Sensex) of the S&P Bombay Stock Exchange (BSE) provisionally closed with gains of 19 points during the day's trade.

Similarly, the wider 50-scrip Nifty of the National Stock Exchange (NSE) made modest gains. It provisionally closed higher by 18.15 points or 0.23 percent at 7,953.40 points.

The Sensex of the BSE, which opened at 26,201.27 points, provisionally closed at 26,165.08 points (at 3.30 p.m.), up 19.41 points or 0.07 percent from the previous day's close at 26,145.67 points.

The Sensex touched a high of 26,246.02 points and a low of 26,121.52 points in the intra-day trade.