Stock markets in India are trading in a range with positive bias in the afternoon session amid firm cues in the Asian markets and a recovery in rupee. Gains are largely seen in metal stocks and energy stocks.

The BSE Sensex is trading up by 66 points and the NSE Nifty is trading up by 26 points. Meanwhile, the BSE Mid Capindex and the BSE Small Cap index are trading down by 0.5% & 0.1% respectively.

In the latest development, shares of asset management companies slumped on fears of the impact on their revenue and profitability after the markets regulator reduced the total expense ratio. HDFC AMC and Reliance Nippon AMC were trading at their lowest levels since their trading debut.

The regulator on Tuesday capped the total expense ratio for equity-oriented mutual fund schemes (close-ended and interval schemes) at 1.25% and for other schemes at 1%. The cap for fund of funds will be 2.25% for equity-oriented schemes and 2% for other schemes.

Oil & gas stocks are trading on a mixed note with ONGC & GAIL being among the top gainers. As per an article in a leading financial daily, ONGC Videsh Ltd, the overseas investment arm of Oil and Natural Gas Corp (ONGC) is planning to exit Kazakhstan’s Satpayev block after it could not find commercially exploitable oil.

OVL had in April 2011 bought 25% of Satpayev oil block. It paid US$13 million as a signing amount to Kazakhstan and an additional US$80 million as a one-time assignment fee to JSC NC KazMunaiGas (KMG), the national oil company of Central Asian nation.

Satpayev was OVL’s entry into hydrocarbon-rich Kazakhstan. But its exploration campaign hasn’t met with much success, the reports noted.

Reportedly, OVL drilled the committed two exploration wells on the block without any commercial hydrocarbon success.

The company had sent almost US$300 million (about Rs 17.3 billion) on the block so far.