Feb 5 (Reuters) - India's equity benchmarks are set to open higher on Wednesday, with rate-sensitive sectors in focus as the three-day monetary policy meeting begins later in the day, where the central bank is widely anticipated to reduce its rates.

Both blue-chip indexes - NSE Nifty 50 .NSEI and BSE Sensex .BSESN - climbed 1.6% and 1.8%, respectively, on Tuesday, logging their best session in a month and pushing them into positive territory for 2025.

Domestic interest rate-sensitive banks .NSEBANK and financials .NIFTYFIN rose about 2% each, while the auto index .NIFTYAUTO logged its fourth straight daily gain.

The GIFT Nifty futures GIFc1 were trading at 23,840.5, as of 8:10 a.m. IST, indicating that the blue-chip NSE Nifty 50 .NSEI will open above Tuesday's close of 23,739.25.

Asian markets opened higher, with the MSCI Asia ex-Japan .MIAPJ0000PUS rising 0.3%. Wall Street equities advanced overnight, supported by the one-month tariff reprieves on Mexico and Canada. MKTS/GLOB

Safe-haven investors favoured gold, which hit a record high on Wednesday, after China retaliated with tariffs on Washington in response to U.S. President Donald Trump's tariff salvo.

While global trade uncertainties loom, Indian markets await the Reserve Bank of India's policy decision, due on Friday, in which the central bank is expected to deliver a 25-basis-point rate cut to support growth revival.

Analysts said that with largecaps trading at attractive valuations and the recent tax cuts in the union budget aimed at boosting consumption, markets could maintain positive momentum ahead of the RBI's policy decision.

India's Nifty 50 and Sensex are currently about 9.7% and 8.6% below their record highs from Sept. 27, weighed down by concerns over slowing economic and corporate earnings growth, along with continued foreign outflows.

FPIs have offloaded Indian shares worth $9.37 billion in 2025 so far, registering the second-highest monthly sales in January.

STOCKS TO WATCH

** Titan TITN.NS beats December-quarter profit estimates on festive gold demand

** Tata Power TTPW.NS misses third-quarter profit estimates on slowing power demand

** Whirlpool of India WHIR.NS reports 51% profit growth in Q3 on strong demand in the festive season

** JK Tyre JKIN.NS posts second straight drop in profit on weak demand from bus, truck makers

($1 = 87.1530 Indian rupees)

(Reporting by Bharath Rajeswaran in Bengaluru; Editing by Sherry Jacob-Phillips)

((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))