Indian shares ended a choppy session slightly higher on Friday after the GST Council pruned tax rates on many mass consumption items such as chocolates, shampoo, detergents, nutrition drinks, marble and cosmetics.
Market observers opined that geo-political tensions in the Middle East, along with selling pressure in index heavyweights like Bharti Airtel, Tata Motors, State Bank of India (SBI) and Lupin, among others, aided in the losses suffered by the indices.
About 1,480 shares declined against 1,197 advancing shares on the BSE.
The broader Nifty slumped 47 points, or 0.45 per cent, to close at 10,303.15 after shuttling between 10,384.25 and 10,285.50.
Taiwan too fell 0.20 per cent but Shanghai Composite Index inched up 0.06 per cent.
All the sectoral indices led by metal, auto and oil & gas were trading in the negative terrain, falling by up to 0.92 per cent.
IT and teck sector indices ended in the green.
"We don't expect the current liquidity to drain as rupee is more or less steady and the prevailing earnings season is providing positive vibe to the H2FY18E estimates".
On the currency front, the rupee weakened by 22-23 paise to close at 65.16-17 against the USA dollar from its previous close at 64.94. Domestic institutional investors (DIIs) sold shares worth net Rs 2,046.07 crore.
On the other hand, Tata Motors (4.01%), Reliance Industries (2.00%), Asian Paints (1.57%), Sun Pharmaceutical Industries (1.42%), Kotak Mahindra Bank (1.27%), and Tata Consultancy Services (1.12%) were the major losers in the Sensex.
Nearly half of the stocks traded in green with Axis Bank, Asian Paints, Cipla and Sun Pharma posting gains to the tune of 3.41%, 2.51%, 2.07% and 1.89%, respectively.