Sensex, Nifty trading lower in volatile trade; HUL, M&M, ICICI Bank top losers
The Sensex and Nifty were trading lower in afternoon trade after reclaiming the 35,000-mark as IIP slipped to a three-month low in August and retail inflation rose marginally in September.
After opening flat in early trade, the indices entered negative territory amid weak Asian cues as worries over China-US trade dispute also impacted sentiment.
While the Sensex was trading 13 points or 0.04% lower at 34,720, the Nifty was down 13 points or 0.13% to 10,458.
The Sensex which opened at 34,971 hit a high of 35,008 and a low of 34,559 intra day.
Infosys (1.69%), ITC (1.35%) and Sun Pharma (0.99%) were the top Sensex gainers.
Top Sensex losers were HUL (3.47%), M&M (2.45%) and ICICI Bank (2.23%).
Foreign portfolio investors (FPIs) gave up shares worth a net of Rs 1,322 crore, while domestic institutional investors (DIIs) remained net buyers, picking up shares worth a net of Rs 1,287 crore on Friday, provisional data showed.
"Oil and rupee are driving markets as of now. A weak rupee impacts our fiscal deficit... Inflation and IIP data, both were relatively better," Anita Gandhi, wholetime director at Arihant Capital Markets told Reuters.
Meanwhile, the mid cap and small cap indices were trading 0.52% and 0.97% higher in afternoon trade.
Market breadth was positive with 1,439 stocks trading higher compared to 916 falling on BSE.
Asian stocks slipped on Monday, as investor worries continued about global trade tensions and prospects for economic growth.
Japan's benchmark Nikkei 225 dipped 1.2 percent to 22,426.32, while Australia's S&P/ASX 200 slipped nearly 1.1 percent in early trading to 5,832.00. South Korea's Kospi inched down 0.2 percent to 2,156.56. Hong Kong's Hang Seng fell nearly 1.0 percent to 25,553.41, while the Shanghai Composite edged down 0.4 percent to 2,597.15.
Investors are worried that US-China trade tensions are impairing global economic growth. The International Monetary Fund cut its forecast for global economic growth last week because of trade tensions and increased interest rates.