Markets have slipped in early afternoon trades after failing to hold on to the gains built up in mid-morning trades. Most Asian markets are modestly weak in afternoon trades while Europe has opened with losses.

Sensex index is trading lower by 51 points at 12403 at 01.10 PM.

Nifty is now trading lower by 11 points at 3578.

HDFC has slipped further and remains the worst performer among index stocks, trading nearly 2.5 per cent lower.

Among pharma stocks, Ranbaxy is down more than 2 per cent while Cipla continues to trade with losses of nearly 1.5 per cent.

Select technology stocks remain weak after a soft opening. Both Infosys and Wirpo have lost close to 1.5 per cent each.

HLL has lost further ground and is now down more than 2 per cent.

Among engineering stocks, L&T has shed nearly 1.5 per cent while BHEL has lost nearly a per cent.

Among other losers, Tata Power has lost close to 2 per cent and Nalco has slipped more than a per cent.

Oil marketing stocks have gained further after a positive start. HPCL has added more than 2 per cent and BPCL is trading nearly 1.5 per cent.

Suzlon remains the best performer among index stocks, with gains of over 3.5 per cent.

Auto stocks are holding on to their gains with Bajaj Auto and M&M trading with gains of around 1.5 per cent each.

Telecom stocks Reliance Communications and VSNL have come off their highs and are trading with gains of close to a per cent each.

Among metals, SAIL has gained over a per cent and Hindalco is trading nearly a per cent higher.

Reliance Energy is another gainer, trading nearly a per cent higher.

Despite the uncertain trend in large caps, mid-caps and small caps continue to do well. The NSE mid-cap index is now trading with gains of over 0.20 per cent. BSE mid-cap index is trading close to 0.50 per cent higher and the small-cap index has gained more than 0.75 per cent. Market breadth on the NSE remains positive with nearly 1.5 stocks advancing for every declining stock.

Visual Soft has gained further and is trading nearly 9 per cent higher following the merger announcement with Megasoft.

Rama Newsprint is locked in the 20-per cent upper circuit. The stock had gained 20 per cent each on all days of the previous week.

Sakuma Exports, Maharashtra Scooters, Shree Precoated Steel, Numeric Power, Rajvir, FAG Bearing, Sesa Goa and Elecon Engineering are among the major mid-cap gainers.

Prime Securities, Dharani Sugar, Dynamatics Technologies, Educomp and Indoco Remedies are the major mid-cap losers.