The Sensex and Nifty ended flat on Tuesday, erasing earlier gains as markets ran out of steam even as lower-than-expected inflation data raised hopes of a central bank rate cut in August.
The BSE index rose 7.79 points or 0.03 per cent to 31,103.49 and the broader NSE index fell 9.5 points or 0.1 per cent to 9,606.90.
The NSE index had gained for five consecutive weeks in a record-setting run, leaving it vulnerable to consolidation, according to analysts.
Softer-than-expected
Data released late on Monday showed consumer inflation easing to 2.18 per cent in May, helped by a drop in food prices - the lowest since India started publishing an economy-wide consumer price index in 2012.
Industrial production, however, grew at a slower rate of 3.1 per cent in April due to poor show by manufacturing, mining and power, coupled with a lower offtake of capital goods and consumer durables.
Sectoral indices
Among BSE sectoral indices, power index gained the most by 0.78 per cent, followed by realty 0.75 per cent, infrastructure 0.55 per cent and consumer durables 0.33 per cent. On the other hand, IT index was down 1.00 per cent, TECk 0.86 per cent, metal 0.83 per cent and auto 0.44 per cent.
Gainers, losers
Top five Sensex gainers were PowerGrid (+1.94%), Lupin (+1.73%), HDFC (+1.52%), NTPC (+1.27%) and Adani Ports (+0.67%), while the major losers were Tata Motors (-1.51%), TCS (-1.47%), Wipro (-1.44%), Hero MotoCorp (-0.65%) and M&M (-0.65%).
Asian stocks crept higher on Tuesday, defying a weak lead from Wall Street, which was dragged lower by technology stocks for a second day, while the Canadian dollar soared on the possibility interest rates might go up sooner than expected.
MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.1 per cent in early trade. Japan's Nikkei slipped 0.3 per cent. South Korea's KOSPI gained 0.3 per cent, with the biggest stock Samsung Electronics flat after Monday's 1.6 percent slump. Naver Corp. and LG Innotek, which led Asian losses on Monday, also recovered.