Nifty hovers around 7,400; BSE Midcap index up 1%

Benchmark indices continue to maintain the choppy trend with Sensex and Nifty oscillating between negative and positive zone.

By 10:20, the Sensex was lower by 41 points at 24,817 mark and the Nifty dipped by 8 points at 7,408 mark.

According to Mohit Gaba, Independent technical analyst and trader," The Nifty is in a broad range of 7450 - 7200, so far the bias is bullish however, the premiums on the futures don't confirm the same. On the other hand the Bank Nifty (it contributes to a near 25% on the Nifty) futures are trading at a discount presently, a 50 point discount which is not a bullish sign. Hence be cautious, stay long and stay light."

Markit Economics will unveil the result of a monthly survey on the performance of India's services sector for May 2014 today.

Meanwhile, foreign institutional investors (FIIs) bought shares worth a net Rs 575.09 crore on Tuesday, 3 June 2014, as per provisional data from the stock exchanges.

On the global front, Asian shares edged down on Wednesday but remained close to recent highs, while the dollar benefited from rising US Treasury yields and pressure stayed on the euro ahead of expected easing steps from the European Central Bank.

MSCI's broadest index of Asia-Pacific shares outside Japan slipped about 0.3%, pulling away from last week's one-year high.

Japan's Nikkei stock average inched slightly down from Tuesday's 2-month closing high, though a weaker yen limited losses and helped traders stay optimistic.

Back home, the rupee is trading at 59.39/40 versus its previous close of 59.3850/3950, tracking largely mixed Asian currencies with traders watching the domestic share market for clues on foreign fund flows.

BSE Consumer Durables index has surged by nearly 2% followed by counters like Realty, Capital Goods, Power, Metal and Auto, all gaining between 0.5-1%. However, BSE IT, TECk and FMCG indices have gained between 0.4-1.25%.

The main gainers on the Sensex are Hindalco, Tata Steel, Bajaj Auto, BHEL, GAIL, Tata Motors, Hero Moto and Sun Pharma.

On the losing side, TCS, M&M, Wipro, ITC and Infosys have gained between 1-2%.

Among other shares, National Fertilizers Limited (NFL) zoomed 9.4% to Rs 44.6 on the BSE after posting a net sale turnover of Rs 1985 crore in Q4 march 2014  as againstRs 1149 in Q4 march 2013.

The broader markets are outperforming the benchmark indices- BSE Midcap and Smallcap indices by nearly 1% each.

The market breadth in BSE remains healthy with 1,535 shares advancing and 609 shares declining.