Markets remain range bound

BSE Consumer Durable and Metal indices have plummeted by 2%

Key share indices continue to remain volatile in a narrow range ahead of Oct-Dec earnings starting this Friday.

By 12:50, the 30-share Sensex was down 28 points at 19,663 and the 50-share Nifty was down 15 points at 5,973.

On the global front, Asian shares fell on Tuesday as investors turned cautious after the New Year’s rallies, with corporate earnings season for the last quarter of 2012 looming and the European Central Bank's policy meeting due later in the week.

European shares were seen flat to modestly lower, with financial spreadbetters predicting London's FTSE 100, Paris's CAC-40 and Frankfurt's DAX uld open down by 0.1%. US stock futures suggested a soft Wall Street start with a 0.1% drop.

Back home, the rupee today slipped by seven paise to 55.30 in the late morning trade due to renewed dollar demand from banks and importers amid lower equities.

On the sectoral front, BSE Consumer Durable and Metal indices have plummeted by almost 2% followed by counters like Capital Goods, Realty, IT, PSU, Oil & Gas and TECk, all declining by 1% each. However, BSE FMCG and Healthcare indices have surged by nearly 1% each.

The main losers on the Sensex at this hour include Sterlite, Infosys, Tata Steel, Hindalco, JSPL, Wipro, L&T, Hero Moto and GAIL.

On the gaining side, defensive sectors like Healthcare and FMCG are witnessing some buying demand.

ITC has moved higher by 2% at Rs 284 in noon deals in otherwise subdued market on hopes of strong earnings growth during the third quarter ended December.

From Pharma space, Cipla, Sun Pharma and DRL have gained by 1% each.

Among others shares, shares of United Spirits and United Breweries (UB) Holdings have dipped more than 2% each after United Spirits the group company said that the UK-based Diageo plc's proposed open offer to buy up to 26% additional stake in United Spirits from January 7, 2013 has been postponed.

Meanwhile, BSE Midcap index has plunged by 0.44% whereas BSE Smallcap index is down 0.56%.

The market breadth in BSE remains unhealthy with 1,503 shares declining and 1,130 shares advancing.