($1 = 81.7770 Indian rupees) (Reporting by Bharath Rajeswaran in Bengaluru; Editing by Varun H K)
(Adds opening levels)
BENGALURU, May 3 (Reuters) - Indian shares opened lower
on Wednesday amid weaker global cues, as caution prevailed
across markets ahead of the U.S. Federal Reserve's rate decision
later in the day.
The Nifty 50 was down 0.48% to 18,061.42 as of 9:22
a.m. IST, while the S&P BSE Sensex lost 0.348%.
Wall Street equities lost over 1% overnight, dragged by
banking and energy stocks ahead of the Fed rate decision, while
Asian equities remained subdued. The odds of the Fed hiking rates by 25 basis points is at
86.7%, as of 9:22 a.m. IST, according to the CME FedWatch tool.
The S&P BSE Sensex has risen 3% over the last eight
sessions, and closed at the highest level in over four months on
Tuesday.
The Nifty 50 has risen for six consecutive sessions
amid corporate earnings for March quarter, and is in overbought
territory, with a relative strength index of 73.
While the earnings and commentary on client spending from
information technology companies were lacklustre, high-weightage
financials have reported mostly strong results, two analysts
said.
IndiGo airline operator Interglobe Aviation Ltd jumped over 7% while Wadia group stocks declined after Go First
filed for bankruptcy on Tuesday.
Brokerage Credit Suisse said that the decision can
benefit Interglobe Aviation and lead to higher market share.
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