Despite opening on a buoyant note on strong global cues, the market changed track, drifted lower past mid morning and fell into the red past noon as investors chose to book profits after recent sharp gains. And then, amid high volatility, it managed a couple of smart rallies before losing its way again during the fag end of the session and eventually ended on a flat note.

Investors took cues from Asian markets, which were up sharply when trade commenced at the Indian ring this morning but gave up most of their gains and settled just modestly higher. European markets too were seen struggling for support after recent strong gains.

The Sensex, which shot up to 14,493.10 after opening with a positive gap of nearly 100 points at 14,351.97, ended the day at 14,250.25 with a small loss of 2.99 points. In intra-day trades, the Sensex dropped down to a low of 14,169.58. The Nifty index of the National Stock Exchange closed at 4231.40, netting a loss of 2.10 points. The Nifty touched a high of 4305 and a low of 4205.50 today.

Automobile, oil and consumer durables stocks had a fairly good outing today. Capital goods stocks, led by heavyweight Larsen & Toubro, failed to sustain gains and settled well off their highs. Power, bank, metal and realty stocks too gave up their gains. Information technology and pharma stocks witnessed stock specific action.

Index heavyweight Reliance Industries moved up by 3.2%. Automobile stocks Maruti Suzuki (3.2%), Hero Honda (3.1%) and Tata Motors (2.65%) posted strong gains.

Reliance Communications ended with a gain of 3.1%. NTPC ended nearly 3% up. Tata Steel gained 1.3%. BHEL, Wipro, Bharti Airtel, Mahindra & Mahindra, HDFC Bank and Infosys Technologies closed with modest gains. Sun Pharmaceuticals edged up marginally.

Sterlite Industries ended lower by over 6% after the company announced its plans to mobilise funds through issue of shares in the form of American Depository Shares.

Reliance Infrastructure lost nearly 4%. Jaiprakash Associates ended lower by 3.65%. Larsen & Toubro fell 3.65% despite coming out with fairly good quarterly numbers. A sharp fall in order inflow in June 2009 triggered heavy selling at the L&T counter today.

HDFC ended lower by around 2%. State Bank of India, DLF, ACC, ONGC, Hindustan Unilever and Tata Power lost 1% - 1.6%. Hindalco, Tata Consultancy Services, Grasim Industries, ICICI Bank and ITC also ended weak.

GAIL India, Jindal Steel, Punjab National Bank, Cipla, Ranbaxy Laboratories, Axis Bank, Nalco, Unitech and Tata Communications closed with sharp to moderate gains today.

Idea Cellular, Cairn India, SAIL, ABB, Ambuja Cements, Suzlon Energy and Reliance Capital ended on a weak note.

Opto Circuit vaulted 12.2%. Zee Entertainment surged 10.35.%. Godrej Industries, Gujarat Minerals, Gujarat NRE Coke, United Spirits, Bajaj Auto (strong results buoyed up the stock), Jai Corp, Bajaj Holdings, Oracle Financial Services, Everest Kanto Cylinder, Century Textiles, Lupin, Sun TV Network and Kotak Bank ended with impressive gains.

Lanco Infratech, IDBI Bank, Power Finance Corporation, Sintex Industries, Welspun Gujarat, GMR Infrastructure, Cadila Healthcare, Renuka Sugars, IVRCL Infrastructure, LIC Housing Finance and Tulip Telecom declined on profit taking.

After opening on a high note, midcap and smallcap stocks lost their way and drifted lower. The market breadth was positive today. Out of 2689 stocks traded on BSE, 1465 stocks closed with gains. 1131 stocks declined and 93 stocks ended flat.