The Indian benchmark indices were seen trading low amid negative global cues. Asian peers fell on Thursday after the US Federal Reserve cut its growth forecast for the world's largest economy and expanded its economic stimulus program known as the Operation Twist, which disappointed investors who were hoping for more aggressive measures.
However, the Fed did not hint at a third round of quantitative easing to boost the global economy. Under the Federal Operation Twist program Fed will be selling short-term securities to buy long-term ones in order to manage long term borrowing cost.
The Sensex was trading at 16,863 points, lower by 32 points and the Nifty was seen trading at 5,111 points, lower by 9 points at 9.50 am IST.
On Wednesday, most of the market participant preferred to stay on the sidelines ahead of the Fed policy decision and Sensex closed higher by 37 points.
The gainers in morning trade were BHEL, Siemens, BPCL, Tata Power.
Stocks that failed to lure investors in early trade were Cairn India, Reliance, Ambuja Cements and TCS.