The GIFT Nifty was trading at 22,057 as of 08:03 a.m. IST, indicating the Nifty 50 will open near Monday's close of 22,055.70.

Both the Nifty 50 and BSE Sensex logged about 0.15% gains on Monday, despite the ongoing selling pressure seen in broader markets.

The blue-chip Nifty 50 has closed above the 22,000 levels in 11 of the 12 sessions so far in March, gaining 0.33%. Small- and mid-caps have declined 7.6% and 3.8%, respectively, over the same period, on rising concerns of froth and elevated valuations in the segments.

"Overall, we expect the benchmarks to consolidate in the next few days, while broader markets may continue to remain subdued," said Siddhartha Khemka, head of retail research at Motilal Oswal Financial Services.

Asian markets slipped ahead of the Bank of Japan's policy decision later in the day, potentially ending the longest streak of negative interest rates.

Wall Street equities closed higher overnight, with treasury yields increasing ahead of the Federal Reserve policy decision and commentary on Wednesday, as investors seek insights on the U.S. central bank's future rate trajectory. [MKTS/GLOB]

Foreign portfolio investors sold Indian shares worth 20.51 billion rupees (~ $247 million) on a net basis on Monday. Domestic institutional investors bought a net 22.61 billion rupees of stocks.

STOCKS TO WATCH

** Tata Consultancy Services: Tata Sons, the holding arm of the Tata Group, planned to sell shares in TCS worth up to $1.13 billion on Tuesday, according to a term sheet.

** Tata Steel: Company decided to cease operations of coke ovens at the Port Talbot plant, in Wales, following a deterioration of operational stability.

** HG Infra Engineering: Company, in a joint venture with Stockwell Solar Services, received four orders worth 10.26 billion rupees for solar business.

** Paradeep Phosphates: Company announced shut down of ammonia and urea plants at Goa due to breakdown of synthesis gas compressor.

($1 = 82.9260 Indian rupees)

(Reporting by Bharath Rajeswaran in Bengaluru; Editing by Dhanya Ann Thoppil)