Markets continue to trade flat

FMCG, Auto shares slip

After a flat opening with a negative bias, the benchmark indices have moved into the positive territory on the back of gains in Infosys and ICICI Bank. At 10.30am, the Sensex was up 15 points at 17,328 and the Nifty remained flat around 5,225 levels.

However, the midcap and the smallcap indices advanced 0.2-0.5%

Among the BSE sectoral indices, FMCG, Capital Goods and Auto were the only indices in the red losing 0.3-1%.

FMCG majors ITC and HUL were down between 1-2%

In the auto space, Hero Motocorp and Mahindra & Mahindra lost 1% each followed by Bajaj Auto and Tata Motors down 0.2% and 0.7% respectively. FMCG majors ITC and HUL were down between 1-2%

Among the banks, ICICI Bank, Axis Bank, Punjab National Bank gained 0.4-1%.

In the IT space, Infosys, Wipro, HCL Technologies and TCS gained 1-2%
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(Updated at 9:17)
Markets opened flat with a negative bias with the Sensex down eight points at 17,305 and the Nifty started off losing four points at 5,221.

In the broader markets, the midcap and the smallcap indices gained 0.2% each outperforming the BSE benchmark index which was extremely flat.

Overnight, U.S. stocks closed out a second straight session of thin trading on Wednesday, with investors reluctant to make big bets ahead of a crucial meeting of the European Central Bank, which could announce new policies to help contain the euro zone's debt crisis.

Asian shares edged up on Thursday and the euro held the previous session's gains made after reports that the European Central Bank will buy unlimited amounts of short-term sovereign bonds to cap surging borrowing costs in indebted euro zone states.

Back home, according to technical analysts, the bias is likely to remain negative as long as the index sustains below 5,230. On the downside, the index can slide to 5,160 as the momentum seems to remain in favour of the bears. The Nifty is likely to seek support around 5,210-5,200, while face resistance around 5,240-5,255.

Among the sectoral indices, IT, Metal, Realty and Bankex indices which gained between 0.2-0.8% were the top gainers in the opening trades. Among the laggards were Capital goods, Power, FMCG and Health Care losing 0.2-0.7%

The notable gainers among the Sensex stocks were Infosys, Sterlite, ICICI Bank and Jindal Steel up 1% each. Gail India, Hindalco, Tata Steel and Tata Motors were the other major gainers up 0.5% each.

BHEL, NTPC, Sun Pharma and Bharti Airtel down 1% each were the top losers among the Sensex-30.The other notable losers were Hero MotoCorp, ITC, Tata Power, HDFC and L&T losing 0.5-0.7%

The market breadth was positive owing to the gains in the broader markets. 745 stocks advanced while 408 stocks declined on the BSE.