The 30-share index opened higher at 28,876.23 and stayed in the positive zone briefly on sustained foreign capital inflows. On emergence of profit-booking in bluechips, it slipped into the red to touch day's low of 28,497.70 before settling 133.65 points down or 0.46 percent at 28,666.04.
This is gauge's lowest closing since April 7 and has now lost 378.40 points in straight two sessions.
The 50-issue NSE Nifty also dropped by 43.50 points or 0.50 percent to end at 8,706.70 after shuttling between 8,760 and 8,645.65 intra-day.
Stocks of all the three top IT companies ended as major losers on the day. Infosys lost 1 percent to close at Rs 2,191.10, Wipro was down 0.82 percent at Rs 601.60, while TCS closed lower at Rs 2,585.20 down by 1.50 percent.
India's largest IT company TCS will announce its March quarter earnings after market hours today.
Other losers at the Sensex included Hero MotoCorp at 3.76 percent, Sun Pharma at 2.60 percent, Cipla 2.18, L&T 2 percent, Dr Reddy's 1.92 percent, Sesa Sterlite 1.50 and ITC 1.21 percent.
Shares of state-run oil marketing companies also saw selling pressure following a cut in petrol and diesel prices. Indian Oil fell by 2.32 percent, HPCL by 0.37 percent and BPCL by 0.37 percent.

On 30-share Sensex, 19 stocks closed with losses.
Sectorwise, the rate-sensitive realty index suffered the most by losing 2.30 percent followed by capital goods at 1.56 percent.
Selling was also spread in the broader markets with the BSE smallcap and midcap indices falling up to 0.91 percent.
Meanwhile, Foreign Portfolio Investors (FPIs) bought shares worth Rs 108 crore yesterday, as per provisional data.

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