BSE Sensex bounced back from a nearly four-month low hit earlier on Tuesday, erasing losses of more than 1 percent, as some blue chips such as ITC Ltd recovered on value buying after the indexes had fallen in six out of seven previous sessions.
ITC Ltd share price gained 1.5 percent after earlier falling as much as 1.4 percent, while Tata Motors Ltd gained 2 percent.
The benchmark BSE index was trading flat after earlier falling as much as 1.2 percent. The broader NSE index was also flat. Both indexes had earlier hit their lowest since Oct. 9.
The late recovery allowed the two indexes to bounce back above their 200-day moving averages.