The benchmark equity indices declined in early trade on Thursday amid weak trends in the Asian markets, but soon bounced back to quote in positive territory.
The 30-share BSE Sensex fell 168.91 points to 65,507.02 in early deals. The Nifty dipped 48.45 points to 19,627.
But, later, both the benchmark equity indices bounced back to quote in the green amid optimism due to fresh foreign fund inflows.
The Sensex traded 101.16 points up at 65,777.64, while the Nifty quoted with a gain of 23 points at 19,698.45.
Among the Sensex firms, Bajaj Finance, Power Grid, Bajaj Finserv, JSW Steel, Titan and Tata Steel were the major laggards.
NTPC, Tata Consultancy Services, Tata Motors and HCL Technologies were among the gainers.
In the Asian markets, Seoul, Tokyo, Shanghai and Hong Kong were trading lower.
The US markets ended with gains on Wednesday.
Global oil benchmark Brent crude declined 0.75% to $80.57 a barrel.
Foreign Institutional Investors (FIIs) turned buyers on Wednesday as they bought equities worth Rs 550.19 crore after unabated offloading of shares, according to exchange data.
The Sensex jumped 742.06 points or 1.14% to settle at 65,675.93 on Wednesday. The Nifty climbed 231.90 points or 1.19% to 19,675.45.