The Sensex was trading lower by 72 points, while the Nifty lost 22 points in early trade. Among the early gainers in trade were IDFC, Ultra Tech Cement, NTPC and Bajaj Auto.
Among the shares that lost ground in early trade were Jaiprakash Associates, Bhel and Siemens. Punjab National Bank was down more than 1% ahead of its results. Shares of Hindustan Unilever on the other hand were up almost 1% ahead of its results.
Banking stocks were trading mixed with ICICI Bank marginally up, while State Bank of India and HDFC Bank lost ground. PSU banking stocks were also trading lower on fears of asset quality concerns. Bank of Baroda, Allahabad Bank, PNB and Indian Overseas Bank were all trading weak.
Shares of heavyweight Reliance Industries was marginally down by 0.80%, while ITC gained marginally. IRB infrastructure which shed almost 15% in trade on Thursday was trading flat. Metal stocks also came in for some selling pressure with Hindalco, Tata Steel and Sesa Goa weak in early trades.
Markets are expected to trade in a range for the next few sessions and would await the outcome of the RBI meet slated for Tuesday.