The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE) which opened at 18,837.88 points, closed at 18,744.56 points, down 69.92 points or 0.37 percent from its previous close at 18,814.48 points.
The 50-scrip S&P CNX Nifty of the National Stock Exchange also ended at 5,632.1 points, down 0.33 percent.
Broader markets too closed lacklustre, with the BSE midcap index ending 0.09 percent down and the BSE smallcap index up 0.2 percent.
Oil and gas, FMCG, realty and power stocks were among the top losers while auto and IT stocks rose.
According to data available with the Securities and Exchange Board of India, foreign institutional investors bought stocks worth $266.54 million Tuesday.
Among gainers on the 30-scrip Sensex were M&M, up 2.24 percent at Rs.717.05; SBI, up 1.57 percent at Rs.2,471.70; Wipro, up 1.06 percent at Rs.428; and Maruti Suzuki, up 0.9 percent at Rs.1,166.40.
Losers included BHEL, down 4.49 percent at Rs.1,953.80; RIL, down 2.53 percent at Rs.846.15; Hindalco, down 1.63 percent at Rs.186.85; and ITC, down 1.58 percent at Rs.195.85.
Asian markets ended subdued as investors mainly stuck to the sidelines, taking a breather after a recent upsurge.
The Nikkei of the Japanese stock exchange closed flat at 9,972.46 points. The Hang Seng of the Hong Kong stock exchange ended 0.1 percent lower at 22,747.95 points, while the Chinese Shanghai composite index closed 0.13 percent up at 2,816.35 points.
European bourses too were ruling dull.
Britain's FTSE 100 was up 0.35 percent at 6,010.99 points, the French CAC 40 was ruling 0.1 percent lower at 4,003.3 points.
The German DAX was up 0.15 percent at 7,430.49 points.