Indian markets erased opening gains during the intraday trade on Thursday. The S&P BSE Sensex and the NSE Nifty50 traded 40,569.56 and 11,956.50 at 1206 hours.

The Sensex and Nifty had opened on a higher note, ahead of the release of key macro figures CPI and IIP—later in the day. Sensex was up 172.21 points at 40,584.78. It opened at 40,561.34 from its previous close of 40,412.57. It traded in a range as it touched an intra-day high of 40,636.96. The broader Nifty was also up 52.65 points at 11,962.80.

Analysts have said that the upcoming macro indicators like CPI inflation and the IIP data were unlikely to paint a rosy picture which may reduce upside potential in the near term.

Citing higher inflation the central bank in a surprise move earlier this month decided to keep the key lending rates unchanged after slashing rates for five consecutive times since the start of the year.

Index heavyweights Infosys (-13.80) and Bharti Airtel (-2.65) were trading in the red at Rs. 707.00 and Rs. 439.85 respectively. But SBI (+3.05) and HDFC gained (+12.30) at Rs.315.75, Rs. 1,261.00 respectively.

On Wednesday, FPIs bought Rs. 605.41 crore worth of stocks while domestic investors purchased Rs. 239.87 crore worth of scrips.

(With input from agencies)