Markets End Flat in Green

The markets had a volatile session of trade post the astounding 600+ (Sensex) gains on the previous trading day. The Sensex swung in a range of more than 300 points before ending at 18,489, higher by 43 points and the Nifty ended at 5536, up 13 points. The midcap index ended at 6598, higher by 21 points and small cap index ended at 8019, up 16 points. The markets had a gap-down opening as they would have attempted to catch up with their global peers after the holiday on Wednesday. The US markets had a rough time on Tuesday, although there was a marginal reversal in the previous session, due to the unabated strife in the Middle East. Moreover, oil has been holding firm above the $100 a barrel mark. There was a bounce back in mid-noon trades, with the benchmark indices hitting their highest levels in nearly two weeks, on easing food inflation and the buzz that the Libyan crisis may be heading towards a settlement, with Gaddafi reportedly agreeing to a peace plan proposed by Venezuelan President Hugo Chavez. Unconfirmed reports of a firing raid in Libya dragged our indices lower thereafter before yet another bounce back in the last hour of trade led to a respectable closing. Food inflation declined by more than one percentage point to 10.39% for the week ended February 19, led by a drop in the prices of onions, potatoes and pulses. Food inflation stood at 11.49% in the previous reporting week and 21.62% in the corresponding period a year ago. The FTSE, DAX and CAC were trading in the positive in the mid-morning session. And the Asian markets ended on a firm note, with the Seoul Composite gaining more than 2%, while the Hang Seng and Nikkei adding upto half a percent each.