The equity benchmark indices extended their losses for a second consecutive session on Wednesday, with the Sensex falling 143 points, as selling in power, banking and financial stocks, along with elevated crude oil prices, weighed on investor sentiment.
Rising US bond yields and persistent selling by foreign institutional investors (FIIs) also dampened market sentiment.
An analyst said the Nifty needs to reclaim the 23,000 level to sustain its bullish momentum.
The Sensex declined 143.21 points or 0.19 percent to settle at 73,709.69. The index opened in positive territory and surged 829.29 points or 1.12 percent to hit an intraday high of 74,682.19. However, it pared its gains and fell to a low of 73,229.45 during the session.
The Nifty dropped 77.60 points or 0.34 percent to close at 22,811.35. It touched an intraday high of 23,120.90 in early trade before declining to a low of 22,702.85.