Indian benchmark indices opened lower on Tuesday, reversing some of the gains from a sharp rally the previous day.

The Nifty 50 traded down 175 points, or 0.71%, while the Sensex slipped modestly from its opening mark.

The pullback reflects a correction phase after Monday's strong performance, which analysts attributed partly to positive global cues and domestic sentiment.

The market's cautious tone underscores the defensive positioning that has characterized recent trading sessions.

With the Reserve Bank of India (RBI) policy decision looming, investors are weighing the central bank's likely stance on interest rates against a backdrop of mixed economic signals.

The upcoming monetary policy announcement is expected to provide clarity on the bank's approach to inflation and growth, influencing market direction in the near term.