After a subdued opening, key indices gained and hit a fresh intraday high in morning trade but the trend reversed as selling emerged in the late trade.
The Sensex gained 139.42 points, or 0.42 per cent, to settle at 33,136.18 points while the Nifty-50 gained 30.90 points, or 0.31 per cent to close at 10,155.25.
The market continued to face selling pressure with the Sensex falling by 252.88 points to close at 32,923.12 while the Nifty shed 100.90 points to settle at 10,094.25.
After six consecutive days of trading lower, benchmark indices bucked the trend to end in positive territory.
The market witnessed massive selling on the back of negative news from the banking sector and closed lower for the fifth straight trading session.
The market started the week on a shaky wicket as key benchmark indices opened in negative territory and witnessed selling pressure through the day.
Volatility has returned to the Indian market after a prolonged spell of ultra low volatile moves, in which the market largely remained in an upward trajectory, driven by huge liquidity.
The market is quite overvalued from a historic perspective and if it has to sustain at these levels then we should have over 7 per cent gross domestic product (GDP) growth.
Domestic market ended lower in line with the global trend, declining for the third straight day.
The market ended lower in line with the global trend as investors turned cautious after the hawkish comments from US Federal Reserve chair Jerome Powell.