Sensex and Nifty traded on a flat note during the morning trade session on Tuesday.
Traders remain cautious ahead of the Union Budget and a key meting between US and Chinese Presidents Donald Trump and Xi Jinping at the G20 Summit in Osaka, Japan, where the two leaders are likely to discuss the ongoing trade war.
Metal stocks gained after heavy selling on Monday.
At 10.04 a.m., the S&P BSE Sensex traded 6.75 points lower or 0.02 per cent at 39,116.21.
The Sensex opened slightly higher from its previous close of 39,131.94.
The Nifty was 1.15 points or 0.01 per cent down at at 11,700.80.
Globally, investor sentiment dampened over heightened tension between the US and Iran after American President Donald Trump signed an order imposing financial sanctions on Tehran's senior leaders.
This followed Iran's downing of US drone which increased tensions in the region.
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