* NSE index down 0.85 pct, BSE index 0.81 pct lower
* Financials, autos weigh on the indexes
* Expect sideways movement - analyst
By Aby Jose Koilparambil
March 22 Indian shares dropped for a third
straight session on Wednesday as banking and automobile shares
fell, while regional markets were trading lower tracking
overnight losses on Wall Street on doubts over U.S. President
Donald Trump's economic policies.
Asian stocks fell as doubts on Trump's economic growth
agenda prompted investors to dump risky assets in search of safe
havens such as government bonds.
Wall Street fell sharply on Tuesday with the S&P 500 and Dow
Jones Industrial Average losing over 1 percent in their worst
one-day performances since before Trump's election victory in
MSCI's broadest index of Asia-Pacific shares outside Japan
fell 1.3 percent.
The broader NSE index was down 0.85 percent at
9,043.65 by 0520 GMT, its lowest since March 10, while the
benchmark BSE index was 0.81 percent lower at
"The news from the U.S. was the trigger today, but we were
expecting corrective and sideways movement as the market was
already in an overbought zone. Nifty is consolidating. Midcap
stocks have done good run-up and some profit-booking cannot be
ruled out," said Vaishali Parekh, research analyst at Prabhudas
Lilladher Pvt Ltd.
"Stocks in the metal and banking sectors had run up to a
great extent and these sectors are feeling the pressure now,"
On the Nifty 50, financial stocks contributed most to the
losses, led by index heavyweight ICICI Bank which was
down 1.6 percent. The Nifty Finance index declined
for a fourth consecutive session.
Auto stocks also lost traction with Mahindra & Mahindra Ltd
and Tata Motors falling 2 percent and 1.4
percent, respectively, to pull down the NSE index.
Telecom services provider Bharti Airtel was among
the top losers on both the NSE and BSE indices, slipping around
Market rumours that the company is planning to hike capex to
300 billion rupees in FY18 to take on the newly-formed
Idea-Vodafone combine may be the reason behind the movement,
said an analyst covering the stock, who did not wish to be
Only four stocks gained on the Nifty index with Axis Bank
, up 1.58 percent, leading the pack.
(Reporting by Aby Jose Koilparambil in Bengaluru; Editing by