The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 17,047.73 points, closed at 16,933.83 points, down 57.29 points or 0.34 percent, from its previous close at 16,876.54 points.
The index was in a see-saw after the RBI announced the hike. It moved up to a high of 17,122.54 points and fell to a low of 16,889.58 points.
The 50-scrip S&P CNX Nifty of the National Stock Exchange too followed a similar trajectory and ended at 5,086.3 points, up 0.21 percent.
Broader markets too ended dull.