The markets have recovered from the lows and are flat again. The Sensex is now up one points at 17,403. The Nifty is down three points at 5,185.

(Updated at 1140 hrs)

The Sensex has suddenly dropped sharply to the day's low of 17,322- down 80 points. The index is now down 60 points at 17,341.

The Nifty is down 20 points at 5,167.

The healthcare sector has displayed weakness and is now down almost 1% at 4,995. Other indices which are in the red are metal, oil & gas and bankex.

Reliance has dragged the markets down. The stock is now down marginally at Rs 1,072.

Hero Honda has shed 2.13% to Rs 1,706. Metal stocks have dropped. Sterlite and Hindalco have slipped 2% each to Rs 1,512 and Rs 158, respectively.

HDFC bank, NTPC and Tata Steel are the other losers in the market today.

Meanwhile, ACC and Grsim have managed to hold on to gains. ACC has moved up 1% at Rs 869. Grasim is flat at Rs 2,444.

The market breadth is positive. Out of 2,629 stocks traded, 1,583 have advanced while 948 have declined.