Indian shares continued to trade cautiously in morning trades ahead of the Reserve Bank of India's polcicy announcement tomorrow amid fear the central bank may maintain status-quo and wait until January before cutting interest rates.
Buying was, however, witnessed in metal stocks after China, world's biggest commodity consumer, pledged to stabilize economic growth.
At 10:15AM, the Bombay Stock Exchange's Sensex index rose 16 points and traded at 19,333 while the National Stock Exchange's Nifty-50 index gained 2 points and traded at 5,881.
Asian markets are trading mixed amid profit-taking in certain markets after last week's gain. China's stocks, however, gained hen the Politburo Central Committee of the Communist Party of China released a statement that said it would maintain steady economic policies in 2013 while Japanese markets touched 8-1/2 month high after LDP party that backs more economic stimulus returned to power with a landslide election victory on Sunday.
China's Shanghai Composite gained 0.5% to 2,162, Hong Kong's Hang Seng was down 0.4% to 22,541, Singapore's Straits Times declined 0.2% to 3,161 while Japan's Nikkei rose 1.4% to 9,876.
The MSCI Asia Pacific index outside Japan fell 0.6% to 896.
Back home, technology, consumer durables and fast moving consumer goods indexes led fall while metal , automobiles, health care sector led gains on BSE.
Among key Sensex stocks, the laggards include Bharti Airtel falling 1%, ITC declined 0.6% and Tata Consultancy Services, Wipro fell 1% each in technology space while among gainers Maruti Suzuki rose 2.3% and Hindalco rose 2%, Sterlite Industries gained 1% in metal space.
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Among other notable movers, Fortis Healthcare has rallied 7% at Rs 117 after the company announced to divest 64% stake in Dental Corporation Holdings (DC), Australia to Bupa, for a consideration of for 270 million Australian dollars (around Rs 1,554 crore).
Honeywell Automation of India surged 13% to Rs 2,714 after the promoter have received a strong response from investors to its offer-for-sale (OFS) issue with an over-subscription of more than 7 times.
Wheels India has rallied almost 9% to Rs 967 on the BSE, also its record high, after announcing fund raising plans up to Rs 100 crore through equity to meet its capital requirements.
The BSE mid-cap and small-cap gained 0.5-0.6%.
The overall breadth is positive as 1,275 stocks gained while 658 stocks declined on the BSE.
