The sentiment turned subdued following the fall of South-East Asian markets and higher carry forward charges of 21 to 24 per cent at the turn of the settlement. Foreign funds were net sellers in ITC, Zee Telefilms and SBI.

On Monday, Hong Kong was down 2.98 per cent, Japan 2.45 per cent, Singapore 2.35 per cent and Malaysia 1.91 per cent. Thus, on the BSE also select shares moved in a narrow range, reducing early gains during midsession trading with scattered support.

Bull operators were cautious and purchased shares with good fundamentals which kept the Sensex balanced. Mutual funds and financial institutions made small buying in select scrips.

The total turnover was Rs 1218.77 crore. Tobacco scrip, ITC topped the list of five mostprominent traded scrips with a turnover of Rs 349.08 crore. ITC closed lower by Rs 2 at Rs 651.50, Satyam Computers by Rs 9.25 at Rs 508, Zee Telefilms by Rs 10.25 at Rs 687.75 and Pentafour by Rs 6.75 at Rs 608.25 on selling pressure.

On the National Stock Exchange (NSE), pivotals resumed better than the previous close but declined towards the fag-end on sustained selling pressure by the FIIs and closed with widespread losses.The S&P CNX Nifty closed at 897.70, showing a loss of 3.95 from the last close of 901.65. The total volume of business stood at Rs 1,338.59 crore.The exchange witnessed 507 scrips advance, 450 scrips decline and 101 scrips remain unchanged. 50 securities had hit their price bands.