Benchmark indices ended the day higher, as European markets saw some recovery in trade, even as most Asian markets ended the day with gains.
Today's close was ahead of the F&O expiry for the August series, later on Thursday. In fact, Thursday may see immense volatility ahead of the expiry.
The Sensex closed the day higher by 70 points, while the Nifty ended the day higher by 18 points. Leading the set of gainers in trade were Maruti Suzuki, Cipla and Infosys.
Stocks that lost ground were Lupin, Tata Motors and Tata Steel.
Shares in Welspun India were locked at the lower end of the circuit filter after reports that Walmart is doing a check of Cotton records, after Target Corporation severed ties with the company for not using Egyptian cotton in its bedsheets.
Shares in Infosys gained for the second day in a row on value buying at lower levels. Banking shares were mostly lower, led by losses in PSU Banks, which saw some profit booking.
Idea Cellular, which had a spectacular run on Tuesday, after reports of likely merger with Vodafone, lost 2 per cent.
Meanwhile, most European stocks were trading higher for the second day in a row. The German DAX, French CAC and the UK's FTSE were trading with gains.