Mumbai, Dec 29 (IANS): Value buying, coupled with expectations of more reforms by the government marginally rose the Indian equity markets during the late-afternoon trade session on Tuesday.

This led a barometer index of the Indian equity markets to trade 30 points or 0.12 percent up during the late-afternoon trade session.

Initially, both the bellwether indices of the Indian equity markets rose in-sync with their Asian peers.

In addition, markets' maintained their Monday's gains which were made on the back of Prime Minister Narendra Modi's new initiative of "Start-up India Stand-up India" which has been lined up for next month's launch.

However, markets soon ceded their gains, as lack of investors' participation and absence of any triggers depressed sentiments and prompted some investors to book profits.

Latest data with the stock exchanges showed that the volumes in cash markets across key bellwether indices eased to Rs.16,000 crore in the last couple of trading sessions.

Besides, investors were seen cautious regarding the upcoming third quarter earnings season.

Nevertheless, positive European markets and value buying at lower levels again rose prices.

The barometer 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE) was trading marginally higher by 30 points, or 0.12 percent, during the late-afternoon session.

Notwithstanding, the wider 50-scrip Nifty of the National Stock Exchange (NSE) was trading in the red. It slipped by 2.20 points, or 0.03 percent, at 7,922.95 points.

The Sensex of the S&P Bombay Stock Exchange (BSE), which opened at 26,075.68 points, was trading at 26,064.24 points (at 3.00 p.m.) -- up 30.11 points, or 0.12 percent, from the previous day's close at 26,034.13 points.

The Sensex has so far touched a high of 26,133.78 points and a low of 25,994.45 points during the intra-day trade.

The Sensex had closed the previous session on December 28 with gains of over 195 points, or 0.76 percent, whereas the Nifty was higher by 64.10 points, or 0.82 percent.

"Value buying at lower levels and expectations of more reforms by the government after the announcements on "Start-up India Stand-up India" which is lined up for launch next month supported the markets rise," Anand James, co-head, technical research desk with Geojit BNP Paribas Financial Services, told IANS.

"Nifty maintaining its consistent position above the 7,900 mark has given confidence to investors to chase prices. There are expectations that the Nifty will breach the 8,000-level markt."

Vaibhav Agarwal, vice president and research head at Angel Broking elaborated that initially markets traded flat in the absence of any major trigger and low volumes due to the holiday season. 

"Markets have recovered from the lows of the day after European markets opened in the green. Market breadth however continues to remain in favour of the declines," Agarwal said.

"We expect the coming week to continue to remain lacklustre with the new year holidays on the anvil. We expect corporate earnings to be the next major trigger for markets."