ICICI Bank was the top gainer in the Sensex pack, surging 4.64 per cent, followed by Axis Bank at 3.86 per cent and SBI 2.53 per cent.
The Nifty finished the day at 10,265.65, a hefty gain of 98.95 points, or 0.97 per cent, after shuttling between 10,270.85 and 10,195.25.
The NSE 50-share Nifty spurted 97.25 points, or 0.92 per cent, to 10,715.50
But the 30-share Sensex rose by 141.52 points, or 0.41 per cent, to close at 34,297.47. The broader NSE Nifty gained 44.60- points, or 0.42 per cent, to end at 10,545.50 after touching a high of 10,618.10.
The ongoing corporate results and the Union budget are also making participants tread cautiously though the GST agreement provided some relief.
The BSE benchmark Sensex surged about 241 points to end at 35,165.48 and the NSE Nifty gained 84 points to close at 10,688.65.
The NSE Nifty too recovered over 100 points, or 0.96 per cent, to end at 10,576.85.
Sentiment was hurt after market regulator Sebi directed bourses to initiate action against 331 suspected shell companies.
Participants will watch out for the Brexit poll outcome in the late morning trades tomorrow.
The BSE Sensex moved up 103 points to 35,319.35, while the wider NSE Nifty finished at 10,741.70, up 23.90 points.
Markets snapped two-day losing streak and ended flat with a positive bias on Tuesday as gains in auto shares helped offset losses in IT majors.
Profit-booking by participants in view of the domestic markets' recent record-setting run fuelled the downtrend
The broader Nifty of National Stock Exchange scaled the 10,200 mark intra day before closing at 10,184.85, showing a sizeable gain of 38.30 points, or 0.38 per cent.
Construction major L&T was the biggest gainer among the Sensex components, spurting 2.30 per cent, after the company said its board has approved a Rs 9,000-crore share buyback plan.
Investors have kept their eyes on US-China trade talks and are optimistic about a positive outcome.
Investors booked profits in range-bound trade, led by PSU, oil & gas, energy, infrastructure, telecom, realty, healthcare, bankex, FMCG, capital goods and power counters.
Most of the session's gains for both the indices were wiped out as investors rushed to book profits ahead of F&O expiry on Thursday and also due to concerns over stretched valuations.
The broad-based NSE Nifty rose 52.80 points, or 0.50 per cent, to end at 10,530.70
The broader NSE Nifty closed below the 10,600 mark by plunging 98.15 points, or 0.84 per cent, to 11,582.35 after shuttling between 11,567.40 and 11,751.80.
Market breadth depicted gains with 1,476 advances over 1,403 declines on the BSE. 140 stocks remained unchanged.
BSE Bankex and Telecom indices led the fall.
Top losers in the Sensex pack include Bharti Airtel, Infosys, Asian Paints, RIL, Coal India, HDFC Bank, HDFC, TCS, ONGC and M&M, falling up to 3.09 per cent.
Investors indulged in profit booking at attractive and higher valuations
Surprisingly, RIL scrip also fell by 2.73 per cent to 1,029.15, becoming the second biggest loser in the index
Custodian banks are selling dollars for their foreign fund clients.
Among the gainers, Sun Pharma topped by rising 3.03 per cent as the weak rupee tempted buyers to accumulate shares of pharma exporters.
Investors engaged in profit booking in the recent gainers at attractive and higher valuations.
Sun Pharma was the best gainer among Sensex components, surging 6.91 per cent
World Bank lowered its global economic growth outlook for 2016 to 2.9% from 3.3% earlier.
The broader NSE Nifty closed 1.25 points, or 0.01 per cent down at 10,564.05.
The 30-share Sensex stayed in the green for the better part of the session and hit the day's high of 38,297.70 as buying pace gathered momentum towards the fag-end.
The BSE gauge Sensex fell 73.88 points to 35,548.26 and the NSE Nifty slid 17.85 points to 10,799.85, taking cues from tumbling global shares.
Sensex, Nifty end lower on global concerns.
Investors will maintain a cautious stance.
Covering-up of pending short positions on expiry of the July derivatives contracts and a strengthening rupee propped up the markets at high levels
Small- and mid-cap stocks continued facing selling pressure due to stretched valuations.
The Sensex closed higher by 170 points at 26,128 and the Nifty rose 59 points to end at 7,943.
The broader NSE Nifty, after cracking below the key 10,300-mark, touched a low of 10,211.25, before finally ending 134.75 points, or 1.30 per cent, down at 10,226.55.
Oil & gas, banking and pharma sector stocks stole the show
US crude was down 25 cents at $52.08.