Sensex, Nifty Trade On A Flat Note; PSU Bank, Metal Stocks Outperform

The Indian equity benchmarks were trading on a flat note in morning trading as gains in Tata Consultancy Services, Kotak Mahindra Bank, Bharti Airtel and Bajaj Finserv were offset with losses in Infosys, Axis Bank, Reliance Industries, HDFC and Tech Mahindra amid weak cues from other Asian markets. Asian shares dropped Thursday in line with a cautious global mood as investors worried about the combination of slowing global growth and the potential tapering of central bank stimulus.

By 9:21 am, the Sensex was down 43 points or 0.07 per cent at 58,206 and Nifty 50 index slipped 8 points to 17,345.

MSCI's broadest index of Asia-Pacific shares outside Japan lost 1.04 per cent while Japan's Nikkei dropped 0.38 per cent.

There were losses in Australia down 1.01 per cent, Korea off 0.74 per cent, and in Hong Kong which shed 1.17 per cent, with tech names leading the declines there.

Back home, seven f 15 sector gauges compiled by the National Stock Exchange were trading lower led by the Nifty Realty index's 0.4 per cent decline. Nifty Pharma, Healthcare, Consumer Durables, Oil & Gas and FMCG indices were also trading on a weak note.

On the other hand, Metal, PSU Bank, Media, Private Bank and Bank indices rose between 0.2-0.6 per cent.

Mid- and small-cap shares were trading on a mixed note as Nifty Midcap 100 index was trading marginally lower while Nifty Smallcap 100 index advanced 0.5 per cent.

SBI Life was top Nifty gainer, the stock rose 3.35 per cent to Rs 1,179. Hero MotoCorp, UPL, Axis Bank, Eicher Motors, Mahindra & Mahindra, Wipro, Bajaj Auto, Shree Cements, Sun Pharma, Divis Labs and Titan also fell between 0.6-1 per cent.

On the flipside, Tata Motors was top Nifty gainer, the stock rose 2.3 per cent to Rs 303. Nestle India, Bharti Airtel, Kotak Mahindra Bank, Hindalco, Tata Consultancy Services, Bajaj Finserv and Britannia Industries were among the gainers.

The overall market breadth was positive as 1,427 shares were advancing while 1,012 were declining on the BSE.