Reliance Industries, Bharti Airtel, ICICI Bank, SBI and Hero Honda helped the markets to stay in positive terrain.
The 30-share BSE Sensex closed at 18,114.83, up 33.62 points and the 50-share NSE Nifty 7.9 points to settle at 5,439.55.
Overall financial was the leading sector for the second consecutive day, led by ICICI Bank, which rose 2.4 percent on Aug 3.
Bharti Airtel, ICICI Bank, Kotak Mahindra, Hero Honda were among the top gainers with 3.27 percent, 2.39 percent, 2.28 percent, 1.93 percent respectively.
Reliance Comm, Reliance Power, Larsen, Mah and Mah were among the top losers with 2.58 percent, 2.56 percent, 1.50 percent, 1.45 percent down respectively.
Mkts lacklusture; IT, metal, ADAG shares drag
Sensex continued its lacklusture trade as it hovered around its previous closing value. Nifty also was flat after the rally both the benchmark indices saw on Aug 2.
At 2 pm, BSE Sensex was at 18,111.87, up 30.66 and NSE Nifty was at 5437.80, up 6.15 points.
Technology, metal, cement and Anil Dhirbhai Ambani Group companies' shares were weighing on the markets. Among the other losers were L&T, ONGC, ITC, M&M, HDFC Bank, Tata Motors, Ranbaxy, Power Grid and Suzlon Energy.
The top losers were Reliance Communication down 2.66 per cent; L&T down 1.5 per cent; M&M down 1.34 per cent; Hindalco down 1.31 per cent; Reliance Infrastructure down 1.12 per cent; Reliance Power down 1.97 per cent; Ambuja Cements down 1.78 per cent and Suzlon Energy down 1.66 per cent.
On the positive side, the markets were gaining support from buying in Reliance Industries, ICICI Bank, Bharti Airtel, HDFC, Hero Honda, SBI, DLF, Unitech, Axis Bank, Kotak Mahindra, Idea, Siemens, HUL, Tata Power and Idea.
The top gainers were ICICI Bank up 2.27 per cent; Hero Honda up 1.75 per cent; BPCL up 1.45 per cent; Reliance Industries up 0.92 per cent; Bharti Airtel up 0.90 per cent and HDFC up 0.63 per cent.
HMT, Hindusthan National Glass, Jubilant Foodworks, Jai Corp and Kirloskar Brothers were the midcap gainers while KGN Industries, Puravankara Projects, Punj Lloyd (ahead of results), Akzo Nobel and Rei Agro lost.
In the smallcap arena, AP Paper Mills, IFB Industries, SE Investments, Take Solutions and Gujarat Natural were up. However, Vikas WSP, Tatia Global, Bhagwati Banquet, Subros and Banco Products slipped.
On the global front, European markets were marginally in red on the back of profit booking.
2: 12 PM
Sensex consolidates; selling in RComm, M&M, HDFC
Following the 1.2 per cent rally in the previous session, the Sensex was consolidating above the 18,000 mark and Nifty also was seen hovering around the previous closing value.
At 11: 50 am, BSE Sensex was at 18,106.31, up 25.10 points and NSE Nifty was at 5436.45, up 4.80 points.
The indices were stalled by selling in technology and cement companies' shares along with L&T, Reliance Communications, Tata Motors, M&M, Sterlite Industries, HDFC Bank, HDFC, Reliance Infrastructure and Jindal Steel.
On the positive side, heavyweights like SBI, ICICI Bank, Reliance Industries and Bharti Airtel were quite supportive of the markets.
Among the other gainers were DLF, Axis Bank, BHEL, NTPC, BPCL, Hero Honda, Maruti, Unitech, Tata Steel, SAIL, Idea and HUL.
11: 56 AM
Mkts open green; slowed by profit booking
While the Nifty opened positive for the second day, the benchmark's uptrend was dampened by weak Shanghai trading and profit booking in heavyweights.
At 9:01 am, BSE Sensex was trading at 18131, up 50 points and NSE Nifty was at 5443, up 12 points. The CNX Midcap rose 30 points to 8529.
ITC, Idea Cellular, Ambuja Cements, ACC, Reliance Communications, Reliance Power, Reliance Infrastructure and RNRL were reeling under pressure.
The early frontline gainers were ICICI Bank, Kotak Mahindra Bank, PNB, GAIL, Wipro, DLF, Maruti, Jaiprakash Associates, Tata Motors, SAIL, Hero Honda, TCS and Hindalco.
9: 18 AM