Sensex started Monday's session with a surge of over 300 points.
The SP BSE Sensex on Monday slipped 215 points to close at 35,011.89 while the National Stock Exchange (NSE) benchmark index Nifty50 settled at 10,628.
The stock market ended lower for the second consecutive session on Monday, dragged by financials amid caution during the RBI's three-day interest rate-setting meeting.
Dr Reddys Labs, Infosys, Mahindra Mahindra, Reliance Industries, Tata Steel were the top gainers in the Sensex pack.
However, the Sensex started Monday's session with a surge of over 300 points to trade above the key 35,000 level, tracking cues from the global markets.
Gains were led by buying witnessed across banking and auto shares.
The NSE Nifty rose 74 points to touch 10,770 in early deals.