Mumbai, July 31 (IANS) The key Indian equity indices pared initial gains amid volatility to trade in the red on Friday.

Decline in the Asian markets weighed on the domestic indices. Selling activity in finance, banking and oil and gas stocks also pulled the indices lower.

At 10.20 a.m, Sensex was trading at 37,695.22, lower by 40.85 points or 0.11 per cent from the previous close of 37,736.07.

It opened at 37,847.88 and has so far touched an intra-day high of 37,897.78 and a low of 37,537.80.

The Nifty50 on the National Stock Exchange was trading at 11,091.35, lower by 10.80 points or 0.10 per cent from its previous close.

--IANS rrb/sn/in