The Sensex and Nifty pared gains after hitting record lifetime highs backed by IT sector stocks on Wednesday.
Earlier in the day, the Nifty rose to a fresh high of 11,110, Sensex too gained over 100 points to hit 36,268 mark, its highest ever.
While the Sensex closed at 36,163 rising 23 points or 0.06%, the Nifty rose just 2 points to 11,086 on account of profit booking.
L&T Technology Services Ltd (20%), NIIT Technologies (9.97%) and IIFL (8.03%) were the top BSE gainers on Wednesday.
Radico Khaitan (8%), Bharti Airtel (6.51%), Delta Corp (6.24%) were the top BSE losers.
Market breadth was negative with 1004 stocks rising against 1900 falling on BSE. 135 stocks were unchanged.
State Lender SBI (3.62%), Adani Ports (2.46%) and TCS (2.30%) were the top gainers on Sensex.
Bharti Airtel was the top loser falling 6.51 percent on Sensex. The fall came after Reliance Jio cut tariffs to counter bigger rival Bharti Airtel Ltd's revision in data plans.
Jio, the telecom arm of Reliance Industries Ltd, said on Tuesday the revision was "a response to Airtel's tariff changes", which would help it maintain "its price leadership".
Bharti Airtel, India's No.1 mobile carrier, revised its data plans earlier this week.
IT stocks led the gains with the BSE IT index rising 193 points to 12833.94, the maximum on index.
"Valuations of growth-oriented sectors are high, so broader focus is on defensive sectors like IT and pharma. After seeing some stabilisation in quarterly numbers, investors are shifting towards IT," said Vinod Nair, Head of Research at Geojit Financial Services.
Consumer durables and metal indexes too lost 492 points and 236 points on BSE on profit-booking.
Since the last ten trading days were very positive, some kind of profit-booking can be seen just before the budget, Nair added.
The Indiabulls Housing Finance stock hit a fresh 52-week high of 1409 today after the company reported a 55.38 percent rise in consolidated net profit to Rs 1,167.73 crore for the third quarter ended December 31.
The company had reported net profit of Rs 751.49 crore in the corresponding quarter of the previous fiscal.
Shares of Indian telecom services providers also fell after Reliance Jio Infocomm Ltd cut tariffs to counter bigger rival Bharti Airtel Ltd's revision in data plans.
Bharti Airtel led losses on the NSE index, falling as much as 6.2 percent. Idea Cellular Ltd fell as much as 5.7 percent while Reliance Communications Ltd slipped over 2 percent.