There were not much activity in the market and most of the top counters moved in a narrow range except for Hindustan Lever, Gujarat Ambuja, Satyam Computers and Bajaj Auto.

Opening on an optimistic note in the morning, the stock prices failed to sustain their higher levels in the later part of the day and at close the Sensex closed 28 points lower at 3757. At the NSE, S&P CNX Nifty endned the day down by 5.85 points at 1180.45.

"In the absence of big players the mood in the market remained depressed and there was not much activity leading to stock prices remaining depressed. But some select buying by FIIs in some of the new economy stocks was seen," said Motilal Oswal, assistant vice president (Retail Sales) Harsh Joshi. On a lacklustre day some speculative buying was also seen in some top counters like Pentamedia Graphics rising by 5.84 per cent at Rs 353.85. But the selling in old economy stocks led the overall market to fall.

FIIs made select purchases in software and computer education firm, Aptech, which shot up by 11.95 per cent at Rs 430.9. Sterlite Optical and HCL Technologies were the other stocks where they made moderate purchases. But they made some selling in some of the top index counters.

The fall was led by Hindustan Lever falling by 3.47 per cent at Rs 168.55, Satyam Computers, down 4.15 per cent at Rs 322, Bajaj Auto, down 5.37 per cent at Rs 265.35.

On a dull day other scrips in the gainers list included Sun Pharma, up eight per cent and newly listed Sterlite Optical up by eight per cent at Rs 972.70. This is for the second day in row that the telecom company's Rs 5 share has hit the upper circuit limit. Dealers said there was both foreign funds buying along with some operators interest lifted the stock. Software company Silverline Technologies scrip increased by 3.3 per cent at Rs 321. The company, after the tradiong hours, announced that would buy the US-based SeraNova for $ 99 million .