Markets in a state of limbo

This morning's session has been an anti-climax of sorts. After two action packed sessions, the markets have just been hovering around the previous day's levels. The Sensex has been confined to a narrow range of about 120 points between 17239 and 17116 and is now quoting at 17145, higher by five points and the Nifty is at 5136, up 10 points. On the broader market front, the mid-cap index is up 0.1% at 6940 and the smallcap index is up 0.5% at 8916.

Hero Honda has strengthened by 1.8% at Rs 1927 to emerge as the leading gainer on the BSE. Wipro has gained 1.4% at Rs 676 and ITC has gained 1.1% at Rs 262. And index heavyweight RIL has edged higher by 0.7% at Rs 1075.

Telecom stocks have extended the previous day's losses as a result of the Telecom Regulatory Authority of India's recommendation that operators should not be given free spectrum beyond 6.2 MHz when their licenses come up for renewal, but must pay market rates based on 3G prices. Bharti Airtel has lost 4.9% at Rs 271 and Reliance Communication has lost 1% at Rs 145. And M&M has shed 1.4% at Rs 554.

The market breadth is positive though. out of 2298 stocks traded on the BSE, there are 1462 advancing stocks as against 754 declines.