Weakness in Asian stocks, surging global crude oil prices amidst lingering non-performing assets (NPA) concerns, looming over India's banking sector also weighed on investor sentiments.
Overseas, European stocks edged slightly higher as investors look ahead to Fed, ECB meetings.
Asian stocks declined as investors turned cautious after several days of advances, erasing early gains.
It saw an intra-day movement of about 95.90 points.
The NSE Nifty opened lower at 10,324.90 and moved in a range of 10,326.10 and 10,230.20, before ending at 10,240.15, down by 82.10 points, or 0.80 per cent, from its last close.
Major index gainers were Dr Reddy, Adani Ports, ONGC, GAIL, Lupin, Infosys, Vedanta, HDFC, Zeel and Reliance.
Among the losers were: Hind Petro, Infra Tel, BPCL, Coal India, IOC, Eicher Motors, UPL, Hero MotoCo and Cipla.
The market breadth, indicating the overall health of the market, was in favour of lossers. On the NSE, 558 stocks advanced, 1,206 declined and 64 remained unchanged.
Turnover in the cash segment rose to Rs 26,991.28 crore from Rs 25,217.76 crore as on Monday.
A total of 12,624.21 lakh shares changed hands in 10,058,604 trades. The market capitalisation of listed firms on the NSE stood at Rs 1,43,91,673.33 crore.
Disclaimer: No Business Standard Journalist was involved in creation of this content
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