The Sensex and the Nifty50 opened flat on Thursday as gains in heavyweights such as Infosys and IndusInd were offset by losses in HDFC Bank and Tech Mahindra.
Indian equity benchmarks began Thursday's session on a lacklustre note amid choppy trade, as losses in IT shares offset gains in auto and FMCG pockets. Investors awaited more of corporate earnings from India Inc for domestic cues, a day after Wipro reported its financial results.
Mixed moves across other Asian markets amid nervousness about steep hikes in COVID-era interest rates and their impact on economic growth kept investors on the back foot, denting the sentiment on Dalal Street.
At 9:30 am, the Sensex was up 4.5 points at 55,402 and the Nifty50 at 16,515.4, down 5.5 points from its previous close.
A total of 33 stocks in the Nifty50 basket opened in the green.
IndusInd, Hindalco, Titan, UltraTech, Adani Ports, Sun Pharma and Maruti Suzuki were among the top gainers — rising between 0.5 percent and 2.7 percent.
On the other hand, Tech Mahindra, Wipro, Larsen & Toubro, Kotak Mahindra Bank and Infosys the worst hit among blue-chip laggards.
Among heavyweights, while Infosys and IndusInd Bank were the biggest contributors to the gains in headline indices, HDFC Bank and Tech Mahindra were the biggest drags.
One can expect the Nifty50 to consolidate at the current levels, and its next move is likely to be influenced by the outcome of ECB and Fed meetings, said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
"The Fed is likely to raise the key rate by 75 basis points and the ECB perhaps by 50 basis points. But more importantly, their commentary on the inflation trajectories and economic growth would be watched closely. If there are indications that inflation has peaked and likely to trend down, markets would respond positively. Else, the response would be negative," he said.
Wipro started the session 1.6 percent lower, a day after the quarterly performance of India's fourth largest software exporter fell short of Street expectations.
ITC shares climbed up as much as 1.4 percent to a 52-week high, crossing the Rs 300 mark for the first time since May 2019.
Overall market breadth was in favour of the bulls, as 1,944 stocks rose and 975 fell on BSE.
Equities in other Asian markets slipped into the red in early hours. MSCI's broadest index of Asia Pacific shares outside Japan was down 0.3 percent at the last count. Japan's Nikkei 225 was down 0.1 percent.
S&P 500 futures were down 0.2 percent, suggesting a breather ahead on Wall Street after the three main US indices rose up to 1.6 percent amid positive earnings signals.