The stock markets ended flat on Thursday, just a day before the budget is tabled in the Parliament by Finance Minister Nirmala Sitharaman on Friday.
Bombay Stock Exchange (BSE) Sensex gained 68.81 points to close at 39,908.06, while the 50 share Nifty of the National Stock Exchange ended at 11,946.75 points.
At the opening on Thursday Sensex traded above 39,900 and dropped to 39,850 before reclaiming gains later in the day.
The Banking sector is waiting for a heavy recapitalization package in the upcoming and the first budget of the Modi government in its second term to help clear its balance sheets marred by non-performing assets.
Rupee gained for a ninth consecutive trading session in the currency market whereas in commodity markets Brent crude fell 1.1 percent to trade at6 63.11 dollars per barrel.
Larsen & Turbo Infotech shares suffered a loss when its shares fell by 3.7 percent in the day trade after a report surfaced that Apple had struck down its outsourcing work with the company.
The Economic survey projects a further reduction in the crude oil prices globally which will help reduce the Current Account Deficit (CAD) of the country.