The Sensex opened with a positive gap of 14 points at 8,208, and zoomed to a high of 8,260 in late noon deals.
Profit-taking at higher levels saw the index shed the gains, and drop to a low of 8,144 - a decline of 116 points from the intra-day high.
Renewed buying at lower levels saw the Sensex finally close with a marginal decline of four points at 8,189.
The Nifty closed at 2492, down 8 points.
ITC declined 2% (Rs 36) to Rs 1,856. Reliance dropped 1.5% (Rs 11) to Rs 741. SBI, however, moved up 2% (Rs 17) to Rs 897. HLL was up Rs 2 at Rs 172.
Infosys finished flat at Rs 2,446. TCS declined Rs 19 to Rs 1,400. Satyam also slipped today, but Wipro was up Rs 7 at Rs 380.
Hindalco was firm right through the session, and closed with a gain of Rs 4 at Rs 151.
HDFC advanced 3% (Rs 28) to Rs 988. ICICI Bank gained 2% (Rs 10) to Rs 529. Bajaj was up Rs 10 at Rs 1,648. Hero Honda, Maruti and Tata Motors also finished with gains.