Mumbai, Feb. 5 -- The key equity indices traded sideways in early trade as investors remained cautious ahead of the Reserve Bank of India's three-day monetary policy meeting, set to begin later today. There is growing expectation that the RBI may announce a rate cut. The Nifty traded above the 23,750 mark. Oil & gas, media, and PSU bank shares advanced while FMCG, auto, and consumer durables shares declined.

At 09:30 IST, the barometer index, the S&P BSE Sensex, fell 21.11 points or 0.03% to 78,564.79. The Nifty 50 index rose 25.95 points or 0.11% to 23,765.20.

The broader market outperformed the headline indices. The S&P BSE Mid-Cap index rose 0.84% and the S&P BSE Small-Cap index added 1%.

The market breadth was strong. On the BSE, 2...