India's BSE Sensex closed largely flat at 80,711 at the end of a choppy session on Friday, holding near its highest level since August 26, as selling in FMCG and IT names was countered by buying interest in auto and metal stocks. Consumer stocks fell over 1%, snapping a five-session rally in which they gained 2.7%, weighed down by a 2% decline in ITC amid reports the government may introduce a new levy on tobacco products after the current 40% GST-related charge is phased out. Meanwhile, market sentiment continued to be supported by ongoing optimism over strong domestic demand fueled by GST reforms, alongside expectations that the US Federal Reserve may cut interest rates this month. Domestically, attention turns to next week’s August CPI data, following July’s surprise drop below the RBI’s target range. Among stocks, Mahindra & Mahindra, Maruti Suzuki and Reliance Industries led the gains, while ITC, HCL Technologies and TCS were among the major drags.