At 1.30 p.m. the Nifty and the Sensex were trading marginally in the red. The Nifty was 5,281.55 and the Sensex at 17,399.65. Volatility was up 0.37 per cent and the India Vix, was trading at 18.63.
Dealers said that interest among market players would revive only on global cues, first quarter results and progress of monsoon.
Market-men are expecting a 25 basis point rate in the Euro zone by the European Central Bank. Also expected is an increase in the Bank of England's asset purchase target for July from GBP 325 billion to GBP 375 billion.
Meanwhile, the IMF on Tuesday said that US would grow at 2 per cent in 2012 and 2.25 per cent in 2013 due to constraints such as housing difficulties, expiration of fiscal stimulus measures, and continued low global demand, particularly in Europe.
“The US remains vulnerable to contagion from an intensification of the euro area debt crisis, which would be transmitted mainly via a generalised increase in risk aversion and lower asset prices, as well as from trade channels,” said the IMF Managing Director, Ms Christine Lagarde, in Washington.