India's NSE index snapped four straight sessions of gains on Wednesday, retreating from near record highs, as a late-session fall in oil refiners offset gains in drugmakers and state-run lenders. Oil marketing companies slipped in the afternoon trade after local media, citing a government official, reported that the federal government was unlikely to further raise fuel prices due to worries about higher inflation. Bharat Petroleum Corp fell 6.3 percent.

The broader NSE index ended 0.14 percent lower at 10,079.30 after earlier touching 10,131.95, not far from the record 10,137.85 hit on August 2. The benchmark BSE index managed to end in the positive territory for a fifth consecutive session, closing up 0.09 percent at 32,186.41. The NSE index was on track for its fifth consecutive daily increase, and was steadily recovering from an about 1.6 percent fall in August.

The gains would likely be extended in the near term, analysts said, although advances would be tempered by caution over global risk factors and the domestic economy. Data late on Tuesday showed India's consumer price inflation rose more than expected to a five-month high of 3.36 percent, dampening chances of a rate cut by the central bank at its policy review next month.

Copyright Reuters, 2017