At 11.01 am, the Sensex is up 35.81 points at 6603.75, and the Nifty is up 11.35 points at 2080.95. The market breadth is positive, about 1322 shares have advanced, 555 shares declined, and 41 shares are unchanged.

Analysts say that the markets are expected to be volatile owing to the F&O expiry. Over a longer period, the Sensex could overshoot 7200 levels.

• Cement, telecom stocks firm
• Media, pharma, technology shares gain
• FMCG, auto, stocks mixed
• Refinery stocks down

The FII inflows remain positive. They were net buyers to the tune of Rs 242.50 crore (Rs 2.42 billion) on Tuesday.

The BSE Consumer Durable Index is up 1.38% to 1,517.67 as Mirc Electronics, Su-Raj Diamonds, Blue Star, and Samtel Color all have surged up after remaining weak yesterday.

Among the telecom shares, Bharti Tele-Ventures, Tata Teleservices, VSNL, MTNL are trading higher. The Finance Minister said that higher cap for FDI telecom and banking is likely in the next few days.

The BSE Metal Index is up 1.67% at 6313.98 as most of the steel and aluminium stocks are firm. Analysts say that there is a favourable cycle in commodities especially in aluminium.

Several cement stocks have also firmed up on expectation of an increase in cement offtake due to reconstruction after the Tsunami destruction.

The BSE Bankex Index is up 1.05% to 3,678.46 as several public as well as private sector banks have gained. UCO Bank, Andhra Bank, PNB, UTI Bank, Union Bank, Oriental Bank, Canara Bank, Bank of Baroda, Bank of India, HDFC Bank, ICICI Bank and SBI all are trading higher. Analysts say that consolidation & FDI in banking to provide momentum to the sector.

Among the technology shares, most of the frontline technology as well as second run technology share are trading firm. Most of the auto, FMCG, stocks is trading mixed.

The refinery majors HPCL, BPCL, and IOC are all trading lower as crude oil prices have moved up following explosions in the Saudi Arabian capital of Riyadh.