The broader NSE Nifty too rose 70.50 points, or 0.63 per cent, to close at 11,305.05.
The broader NSE Nifty fell 78.75 points, or 0.70 per cent, to close at 11,234.55.
NSE Nifty ended 1.74 pc higher at 11,319.60, while the benchmark BSE Sensex closed up 1.72 pc at 38,177.95.
According to experts, market has been witnessing profit-booking post the recent rally on account of corporate tax cut.
Investors are cautious and watchful about the earnings season which at this juncture looks less enthusiastic.
After opening nearly 300 points higher, the 30-share index gave up all the gains to turn negative after the RBI announcement.
Top losers in the Sensex pack included Kotak Bank, Bharti Airtel, L&T, PowerGrid, ITC, HDFC Bank, Tata Motors among others.
The Sensex was trading 258.60 points, or 0.68 per cent, higher at 38,365.47.
Likewise, the 50-share NSE Nifty closed down by 46.80 points or 0.41 per cent at 11,313.10.
Other major laggards were IndusInd Bank, SBI, Bharti Airtel, ONGC, Tata Steel and RIL -- falling as much as 6.30 pc.