Mumbai: The main BSE index falls 0.6%, heading to its first decline in five sessions, as investors book profits in banks after an RBI deputy governor says domestic interest rates not too high to impact economic growth.
Sensex at mid-day
NSE banking index falls 0.9%. Banks had surged this week on expectations for rate cuts, with the sub-index up 7.4% over the previous 4 sessions. ICICI Bank falls 1.8%, while State Bank of India loses 0.9%.
Software services exporters also fall on global economy worries. Infosys falls 2%.
Lack off clarity from Federal Reserve chairman Ben Bernanke on potential US monetary stimulus, worries China will post weak data on Saturday, and concerns about Spanish banking woes hit global risk assets.