The SP BSE Sensex on Tuesday slipped 109 points to close at 34,903.21 while the National Stock Exchange (NSE) benchmark index Nifty50 settled at 10,593.15.
Benchmark indices traded lower today for the second day as investor turned cautious ahead of the Reserve Bank of India's policy statement on Wednesday.
Sentiment was also hurt after a survey showed services activity in May shrank for the first time in three months as new orders stagnated.
The Nikkei/IHS Markit Services Purchasing Managers' Index fell to 49.6 in May, sinking below the 50-mark that separates growth from contraction.
5 things to know about stock markets today:Tata Steel, HDFC, Reliance and Maruti were among the top gainers on BSE today.
Losers on BSE were Sun Pharma, Asian Paints, Tata Motors and ICICI Bank.
Cipla, Bajaj Finance, Tata Steel and HDFC were leading the pack of Nifty gainers.
Main losers on Nifty were Coal India, Bharti Airtel, Wipro and Titan.Investors are now waiting to see whether RBI will raise interest rates for the first time since January 2014 on Wednesday.
A Reuters poll before the March-quarter economic growth data showed that 40 per cent of nearly 60 respondents saw a rate hike on Wednesday, while nearly 70 per cent of 44 projected that in August - a sharp contrast to an April survey seeing an increase only in 2019's second half.Larsen Toubro (LT) and Infosys Ltd accounted for majority of the losses on both indexes today.
LT fell nearly 2 per cent, while Infosys declined 1.3 percent.
Reliance Communications Ltd fell as much as 6 per cent after the company said it would not pay interest on its non-convertible debentures until its restructuring process is over.4.Biocon Ltd rose 6.4 per cent to a record high after the drugmakers's partner Mylan NV said the US Food and Drug Administration approved its biosimilar to Amgen Inc's Neulasta.
Shares of sugar companies also climbed following reports that the government would announce a bailout package of over 70 billion rupees for cash-starved sugar mills to help clear dues to farmers."Key benchmark index nifty is unfolded into corrective pattern where it took the important resistance of 61.8% Fibonacci retracement of the recent fall from 10950 to 10400.
10800 level would be a strong resistance for the bulls to cross.
While current chart structure of bank nifty suggest that it is oscillating in escalating channel.
Traders should be cautious on the higher level and place the proper risk management", said Dyaneshwar Padwal AVP Technical Analysis, KIFS TradeCapital.
(With inputs from Agencies)