The index, which rose over 167 points in previous four sessions, started the day on a positive note but failed to hold onto gains. Selling in IT, banking and metal weighed.
The BSE Sensex ended at 20,334.27, down 42.29 points or 0.21 per cent. Intra-day, it touched a high of 20,434.50 and a low of 20,312.21. Overall, 16 constituents of 30-share Sensex fell while 14 like RIL, L&T and ITC rose.
Traders said telecom stocks, including Bharti that shed 2.57 per cent, faced selling after fears of excessive competition came to the fore as the ongoing spectrum auction entered the 43rd round of bidding on seventh day today.
Among IT stocks, TCS fell 2.32 per cent but Infosys and Wipro bucked the trend.
Also Read
Banking counters, including SBI, declined as the two-day nationwide strike by public sector bank staff began, traders added. Uneasiness over macroeconomic signals after advance growth estimates also kept the market volatile.
In buzzing large-cap stocks, DLF shot up by the most in two months by surging 2.94 per cent after announcing the sale of its luxury hospitality chain Amanresorts for USD 358 million. Sun Pharma climbed to a three-month high and Tata Motors gained ahead of its earnings.
Sectorally, the BSE Teck sector index suffered the most by losing 0.84 per cent, followed by Banking index (down 0.53 per cent), Metal index (0.51 per cent) and IT index (0.42 per cent). On the other hand, six out 12 indices gained.