Mumbai, Aug 8 (IANS): Shedding all their morning gains, the key Indian equity indices -- the BSE Sensex and the NSE Nifty50 -- traded in the red during the mid-afternoon session on Tuesday.

According to market observers, broadly negative global cues and heavy selling pressure in banking, oil and gas, and capital goods stocks dragged the key indices lower.

Around 1.15 p.m., the wider Nifty50 of the National Stock Exchange (NSE) fell by 50.20 points or 0.50 per cent to trade at 10,007.20 points.

The 30-scrip Sensitive Index (Sensex) of the BSE, which opened at 32,341.05 points, traded at 32,096.14 points -- down 177.53 points, or 0.55 per cent -- from its previous close at 32,273.67 points.

The Sensex has so far touched a high of 32,354.77 points and a low of 31,915.20 points during intra-day trade.

The BSE market breadth was skewed in favour of bears -- with 1,808 declines and 626 advances.

"Equity benchmarks erased opening gains, with the Nifty testing 10,000 level due to selling pressure in banking and financials and oil stocks. Tata Steel gained as much as 3.44 per cent after it reported a net profit of Rs 921 crore during the April-June period," Dhruv Desai, Director and Chief Operating Officer of Tradebulls, told IANS.

"The top gainers on the NSE were Hindalco, Tata Steel and Vedanta, while top losers were Infratel, NTPC and Indian Oil Corporation," he added.

On Monday, the benchmark indices traded rangebound and closed on a flat-to-negative note.

The Nifty50 fell by 9 points or 0.09 per cent at close at 10,057.40 points, while the Sensex closed at 32,273.67 points -- down 51.74 points, or 0.16 per cent.