Investors are walking into the Budget session with lower expectations as it would be an interim one ahead of the Lok Sabha elections later in the year.

Bajaj Finance declined over 5% to hit a five-month low and was the top Sensex loser. The firm posted a smaller-than-expected rise in quarterly profit, while its asset quality deteriorated.

Sensex declined 360 points and closed at 70,700 while Nifty fell 101 points to end at 21,352. Tech Mahindra was down 6% and was the top BSE Sensex loser after it posted a smaller-than-expected quarterly profit due to weak client spending.

Indian markets reversed early losses and closed in the green today. The markets were led by auto, FMCG, IT and energy stocks. Sensex rose 690 points and closed at 71,060 while Nifty 50 gained 215 points and ended at 21,454.

The index heavyweight was alone responsible for about 1/3rd of today's loss as HDFC Bank shares dropped another 3%.Nifty Bank too fell 2%, with IDFC Bank shares falling 6.5% followed by IndusInd Bank, PNB, AU Small Finance Bank, and SBI.

Banks outperformed during the day. Nifty Bank closed 0.78% higher. The state-owned banks outshined their private peers.

Indian markets closed higher today after following positive cues from global peers. It was well needed after a 3-day losing streak and losses in the banking sector. Indian markets were led by a rebound in financials and IT stocks.

Nifty Financial Services dropped 1%, as HDFC Bank lost 3%, extending declines from its worst session in over three years

The biggest reason was HDFC Bank shares... It is the highest-weighted stock on the benchmark indices and closed 8.5% lower. This happened due to disappointing quarterly results posted by the bank. CLSA and Morgan Stanley red-flagged loan growth and lower liquidity coverage ratio (LCR) on the HDFC Bank.

Jio Financial Services closed 6.7% lower after the company reported a 56% sequential fall in consolidated net profit for the quarter ended December to Rs 294 crore.