Benchmark indices Sensex and Nifty ended flat on Tuesday, paring their intra-day gains, as investors resorted to profit-taking after the recent upsurge amid weak trends in global equities.

Traders were also awaiting the US inflation data which is expected to remain at March level prompting the Federal Reserve to prolong monetary tightening.

Even after trading with gains for most part of the day, the 30-share BSE Sensex failed to hold on to the momentum and skidded 2.92 points to settle at 61,761.33 due to fag-end volatility. During the day, it hit a high of 62,027.51 and a low of 61,654.94.

The NSE Nifty ended marginally up by 1.55 points or 0.01 per cent at 18,265.95.

"The domestic market relinquished its gains as weak global sentiments took hold. The upcoming US inflation figures have become the focal point in determining the global market trend. The US inflation rate, which is expected to remain unchanged at its March level of 5.0 per cent, is causing worries that the Fed will remain stricter for long. However, the sustained support from FIIs is guarding the domestic market from a steep correction," said Vinod Nair, Head of Research at Geojit Financial Services.

Among the Sensex firms, ITC, State Bank of India, Bajaj Finance, NTPC, Power Grid, ICICI Bank, Kotak Mahindra Bank and UltraTech Cement were the major laggards.

IndusInd Bank, Tata Consultancy Services, Axis Bank, Mahindra & Mahindra, Tata Motors, HCL Technologies, Asian Paints, Wipro, HDFC and Maruti were among the major gainers.

"Nifty opened positive but some profit-booking at higher levels led to flat closing for the day at 18,266 levels. Global cues were mixed as investors keenly await US inflation data as this will set the tone for FOMC's next meeting," said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd.

In the broader market, the BSE smallcap gauge declined 0.35 per cent and midcap index ended marginally up by 0.03 per cent.

Among indices, utilities fell by 1.04 per cent, realty went lower by 0.81 per cent, power declined by 0.72 per cent, FMCG (0.44 per cent), consumer durables (0.37 per cent) and financial services (0.24 per cent).

Telecommunication jumped 0.94 per cent, teck (0.59 per cent), IT (0.59 per cent), energy (0.34 per cent) and healthcare (0.17 per cent).

"Markets mostly moved in tandem with global equities, which were sluggish to negative. After exhibiting some volatility in the early session, markets ended almost flat as investors resorted to selective profit-taking after the sharp spike in recent sessions," Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd, said.

In Asian markets, Seoul, Shanghai and Hong Kong ended lower, while Tokyo settled in the green.

European markets were trading in the negative territory. The US markets had ended on a mixed note on Monday.

Foreign Institutional Investors (FIIs) were net buyers on Monday as they bought equities worth Rs 2,123.76 crore, according to exchange data.

Meanwhile, global oil benchmark Brent crude dipped 0.88 per cent to USD 76.33 per barrel.

Fitch on Tuesday affirmed India's sovereign rating at 'BBB-' with a stable outlook, on robust growth and resilient external finances, but said weak public finances remain a challenge.

The BSE benchmark had rallied 709.96 points or 1.16 per cent to settle at 61,764.25 on Monday. The Nifty had climbed 195.40 points or 1.08 per cent to end at 18,264.40.

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