Benchmark indices were trading higher, discounting the Moody's downgrade even as most Asian markets were trading higher. The Hong Kong's Hang Sang, the Japanese Nikkei and the Australian S&P/A&X 200, all were higher in trade.
The Banking Nifty was weak in trade, with cuts seen in the shares of ICICI Bank and State Bank of India.
The Sensex was trading with gains of 74 points, while the Nifty was up 23 points in trade.
Shares in Kotak Mahindra Bank jumped, after reports that Uday Kotak, will be selling 2.83 per cent stake worth over Rs 6,800 crore in the lender. The shares were up 4 per cent in trade.
The country's largest passenger carmaker Maruti Suzuki India saw its share price lose 1 per cent, after the company reported 88.93 per cent decline in sales last month.
V Guard saw its shares lower too, after the company said that sales loss during summer months has a significant impact on the overall financial results, due to seasonality of certain products.
Among the top Nifty gainers were some of the auto names like Mahindra and Mahindra and Hero Moto Corp.
Nifty stocks at the losing end were ICICI Bank, Coal India and Wipro.