Sensex ends flat in cautious trade ahead of earnings season

Reversing its initial gains, the BSE Sensex today ended flat as caution prevailed ahead of corporate results amid soaring global crude prices and a subdued trend in European markets.

After a higher opening at 33,913.55, the Sensex advanced to hit the day's high of 33,964.14. But profit-booking towards the middle of the session erased gains completely dragging the index to a low of 33,703.37.

The 30-share barometer closed at 33,812.26, down by just 0.49 points. The gauge had lost 244.08 points in the first trading session of 2017 yesterday.

The NSE Nifty, however, ended a shade higher by 6.65 points or 0.06 per cent at 10,442.20 after moving between 10,495.20 and 10,404.65.

The upcoming corporate result season, beginning later this week and the approaching Union Budget kept investors on their toes, who indulged in selling activity, brokers said.

Stocks failed to hold onto gains after positive core industry data. Infra sector grew at the fastest pace in more than a year at 6.8 per cent in November 2017 on the back of robust performance in segments like refinery, steel and cement.

Also, the Nikkei India PMI data showed that Indian manufacturing activity improved at the strongest rate in five years in December driven by significant increase in new orders.

Stocks of oil marketing companies came under pressure after crude prices strengthened in global market. Brent crude futures, the international benchmark, hit USD 67.27 a barrel, amid large anti-government rallies in Iran and ongoing supply cuts led by OPEC and Russia.