The benchmark Sensex closed at 41,872.73, lower by 79.90 points or 0.19 per cent. The broader Nifty settled at 12,343.30, down 19 points from its Tuesday's close.
IndusInd Bank contributed most to the Nifty losses. The stocks of the private lender slipped over 5 per cent on the NSE after it reported its quarterly numbers on Tuesday.
"Headline indices Nifty and Sensex ended with minor losses after five days of a bull run, but it was a good session for midcap and smallcap stocks," said Santosh Meena, Senior Analyst, TradingBells.
"Indusind Bank was the key culprit for the market which led some selling pressure in overall banking space while the realty and auto sector did very well today," he added.
JM Financials on the bank's Q3 results said that bank reported lower than expected profit owing to the IL&FS group exposure.
Vinod Nair of Geojit Financial Services said: "Market is getting a bit sceptical post higher-than-expected NPA numbers in the recent Q3 banks results and very high consumer inflation which may stay for another month or two".
Wipro shares on the NSE lost 3.50 per cent to close at Rs 248.20 apiece after it reported 3.20 per cent year-on-year drop in consolidated profit at Rs 2,462.90 crore for the quarter ended December 30.
( With inputs from IANS )