Markets trading in tight range

BSE Oil & Gas index has declined by nearly 1%

Key share indices continue to remain volatile in a narrow range, oscillating between negative and positive terrain.

By 1245 hrs, the 30-share Sensex was up 19 points at 18,597 and the 50-share Nifty was up 4 points at 5,652.

Moving in line with the equity market, the rupee failed to maintain its earlier gains, although it was still quoting 8 paise stronger against the dollar.

On the global front, Asian markets were trading higher on the back of strong US earnings reports brightened investor mood, while the euro hit a one-month high against the dollar as Spain dodged a bullet when Moody's Investor Service kept Madrid's investment grade rating. Hang Seng has jumped 1% to 21,420. Nikkei and Kospi are up 0.5-1% each.

Back home, on the sectoral front, BSE Consumer Durable index has surged by almost 1% followed by counters like Healthcare, FMCG, Auto, Power, Banks and Capital Goods, all gaining marginally. However, BSE Oil & Gas index has declined by nearly 1%.

The main gainers on the Sensex at this hour include Tata Power, Maruti Suzuki, HDFC, ITC, BHEL, ONGC, ICICI Bank and Bharti Airtel, all surging between 1-2%.

On the losing side, GAIL, RIL, TCS, Hero Moto and Sterlite have slipped by almost 1% each.

According to reports, the Oil Ministry has informed the Prime Minister's Office (PMO) that it has not given final nod to Reliance Industries' plans to raise natural gas output from the flagging KG-D6 fields as the firm has refused to allow audit of its expenditure by CAG.

Among other shares, Tribhovandas Bhimji Zaveri (TBZ) has soared 6% to Rs 173, extending its over 16% rally in past two trading days on back of heavy volumes in otherwise subdued market.

Deccan Chronicle Holdings has locked in 5% lower circuit at Rs 8.31 for a third consecutive day on the Bombay Stock Exchange.

IRB Infrastructure Developers has tanked 6% to Rs 140 on reports that India Against Corruptions (IAC) activist Anjali Damania claims that BJP chief Nitin Gadkari had favoured the infrastructure company while he was the PWD minister in the Shiv Sena-BJP government in Maharashtra.

The market breadth in BSE remains negative with 1,345 shares declining and 1,247 shares advancing.