Mumbai, Nov 3 (IANS): A barometer index of the Indian equity markets gained over 104 points during the late-afternoon trade session on Tuesday.

Choppy market conditions prevailed, as caution grew over Bihar election results, ongoing results season and heightened chances of a US rate hike.

Initially, both the bellwether indices of the Indian equity markets opened in the positive territory on the back of robust economic data, value buying and positive Asian indices.

However, both indices ceded their initial gains as caution grew on the heightened chances of a US rate hike. Furthermore, investors were seen anxious about the Bihar election results and ongoing results season.

Short covering were observed, as investors exited their investment positions after six consecutive sessions of losses at both the bellwether indices.

The 50-scrip Nifty of the National Stock Exchange (NSE) made marginal gains during the session under review. It was higher by 17.15 points or 0.21 percent at 8,067.95 points.

The 30-scrip sensitive index (Sensex) of the S&P Bombay Stock Exchange (BSE), which opened at 26,660.71 points, was trading at 26,663.37 points (at 3.00 p.m.) -- up 104.22 points or 0.39 percent from the previous day's close at 26,559.15 points.

The Sensex has so far touched a high of 26,732.24 points and a low of 26,514.48 points during the intra-day trade.

The S&P BSE Sensex had closed the previous day's trade down 98 points or 0.37 percent.

Market observers said the markets were volatile due to the Bihar election results and ahead of the crucial data release on the US economy.

"The markets had initially made healthy gains on the back of robust ECI data that showed a substantial increase in output. However, short coverings and anxiety over the Bihar poll results and US rate hike subdued sentiments and capped the initial gains," Anand James, co-head, technical research desk with Geojit BNP Paribas Financial Services, told IANS.