The recent rate hike announced by the RBI failed to dent the confidence level in the markets and they gained backed by favorable global cues.

This happened since the step taken by RBI was on expected lines and they helped the sensitive stocks to outperform the markets.

However, a number of companies failed to meet the market expectations in terms of their financial results and it also includes many big companies as well.

Benchmark BSE Sensex closed at 18,077 that is 57 points up the last level. NSE gained 12 points to end at 5,430.

The markets were flat and hovered around the Monday's close until the rates were announced. They touched an intraday high backed by the good performance of the European markets but settled don lower because of a number of poor earning results.

Rate sensitive sectors like the banking performed well and two top stocks were SBI and ICIC. They went up by 2.44 per cent and 1.47 per cent respectively. Even the auto stocks faired well after bad performance on Monday.

Capital goods index was down because of L&T that went down by 2.94 per cent. This happened since the company failed to meet market expectations.