The BSE Sensex and NSE Nifty remained lacklustre in afternoon trade. Banks, auto and pharma stocks were on buyers' radar whereas technology and steel stocks were under pressure.
The BSE benchmark was up 39 points at 17,252.85 and the NSE benchmark gained 13 points at 5,240.35. The Indian rupee was quite volatile; it hit the 55 against the US dollar, rising just 13 paise over Friday's close.
10-year bond yields declined 0.93% to 8.0213% after inflation numbers. Inflation for June slipped to 7.25% as against 7.55% in previous month.
State Bank of India, country's largest lender, gained 1.3% while its rivals ICICI Bank and HDFC Bank gained 0.4% and 0.8%, respectively.
Auto stocks too stayed higher. Top car maker Maruti Suzuki jumped over 2% while Tata Motors, Bajaj Auto and M&M moved up 0.5% each.
Top telecom operator Bharti Airtel was the top loser among largecaps, shooting up 4%. Oil & gas producers Reliance Industries and ONGC were up 0.5% each.