It was a flat day in early morning trade for the benchmark indices after a sensational fall of almost 215 points in the Nifty in two trading sessions.
A rebound in oil prices, saw a sharp intra day recovery in the Dow Jones, which ended higher after seeing a drop of 220 points. Asia was trading mixed with the Japanese Nikkei trading marginally higher, while the Shanghai Composite dropped.
The Sensex was trading with gains of 1 points, while the Nifty was up 3 points in trade. Railway stocks were trading higher ahead of the Railway Budget, due later at 11.00 am.
Kalindee Rail, Titagorh Wagons and Texmaco were marginally higher. However, the biggest gainer was Kernex, which jumped 2 per cent in trade.
Banking stocks saw some early buying support with heavyweights ICICI Bank and State Bank of India among the early gainers.
Midcap stocks saw some good buying interest with stocks like Karnataka Bank, Wockhardt and Reliance Power among the gainers.
NTPC, ITC, TCS and Axis Bank were the biggest losers in trade from the Nifty.
Meanwhile, the rupee opened marginally higher at 68.47 to the dollar. The currency is expected to move in a tight range through the day.