* NSE index up 0.98 pct, BSE index 1.04 pct higher
* Asian shares advance as U.S. payrolls report falls short
* Tata Motors up on report co plans to make Land Rover in
Sept 6 India's broader NSE index jumped
1 percent to an 18-month high on Tuesday after tepid U.S.
payrolls data last week tempered expectations of a September
rate hike by the Federal Reserve.
Sentiment was also boosted by gains in Asian stock markets
as traders trimmed the probability of a Fed rate hike this month
to 21 percent from 24 percent on Thursday, according to CME
Group's FedWatch program.
Indian markets were closed on Monday, making Tuesday the
first trading session since data on Friday showed U.S.
employment growth slowed more than expected in August after two
straight months of robust gains.
Foreign investors have been buying into Indian shares apart
from those in other emerging markets this year, bringing the
total net investments in the year to $6.05 billion.
"September rate hike talks have been put to rest now.
Therefore, this liquidity-driven rally is expected to continue
for the time being, which is comforting our markets," said
Pankaj Pandey, head of research at ICICI Securities.
The benchmark BSE index was up 1.04 percent at
28,827.70 as of 0535 GMT after hitting its highest since April
16, 2015 earlier in the session.
The broader NSE index was up 0.98 percent at
8,895.79 after earlier hitting its highest since March 5, 2015.
Among the gainers, Tata Motors Ltd hit a
five-month high and was last up 2.6 percent after the Economic
Times newspaper reported unit Jaguar Land Rover was
planning to make Land Rover SUVs in India for both the local and
Car maker Maruti Suzuki India Ltd gained 2 percent
after data showed its total production rose 3.2 percent in
Among the losers, Jubilant Foodworks Ltd plunged
as much as 9.9 percent to a more than two-month low after the
operator of Domino's Pizza and Dunkin Donuts chains in India
posted a 31 percent drop in its June-quarter profit on Saturday.
MindTree Ltd dropped as much as 7.6 percent to its
lowest since October 2014 after the IT services firm said on
Friday it expected its second-quarter revenue to be lower than
the previous quarter.
Telecoms firm Idea Cellular Ltd shed as much as
2.3 percent on Tuesday before bouncing back. It hit its lowest
since October 2012 on Friday after Reliance Industries
announced its foray into the telecom sector.
Bharti Airtel Ltd dropped as much as 1.7 percent
after declining as much as 9 percent and 1.3 percent in the
previous two sessions following the announcement of Reliance
Industries' telecom venture.
(Reporting by Aastha Agnihotri in Bengaluru; Editing by