Mumbai, Jan 16 (IANS): Broadly negative global cues, especially owing to the political uncertainty in the UK, subdued the Indian equity market on Wednesday. Both major indices -- Sensex and Nifty50 -- ended flat.

Globally, investors reacted with caution after the incumbent British government lost the Brexit vote triggering a no-confidence motion.

However, positive macro-trade data kept the benchmark Sensex and Nifty in the green for most part of the day's session.

Consequently, the NSE Nifty50 gained a meagre 3.50 points or 0.03 per cent to settle at 10,890.30.

The BSE Sensex closed higher 2.96 points or 0.01 per cent at 36,321.29, from the previous close of 36,318.33 points.

It opened at 36,370.74 points and touched an intra-day high of 36,462.03 and a low of 36,278.61 points.

The trade deficit in December narrowed due to fall in imports -- $41.01 billion or 2.44 per cent down from $42.03 billion in the same month in 2017.

Interest-sensitive banking stocks led the gains on both BSE and NSE as investors expect the central bank to cut policy rates in the Monitory Policy Committee (MPC) meet scheduled for February 7.

Recent data has indicated a cooling inflation providing room for the RBI to go for the rate cut, analysts said.

Nifty PSU Bank index gained 0.60 per cent, the most among the 11 sectors on the NSE. Banking stocks on the BSE also edged higher, gaining 0.68 per cent.

Globally, markets traded on a mixed note amid political tension in the UK as Prime Minister Teresa May lost the Brexit vote in Parliament by a historic 230 margin -- 432 voted against and 202 for, triggering a no-confidence motion against the government.