Markets open lower, financials weigh

Benchmark share indices opened marginally lower on Wednesday, amid weak global cues, with financials leading the decline.

At 9:25AM, the 30-share Sensex was down 105 points at 19,878 and the 50-share Nifty was down 34 points at 5,894.

Asian markets were trading mixed with Nikkei and Straits Times up 0.4% while Hang Seng and Shanghai Composite were down 0.1-0.6%.

Key US share indices ended sharply lower on Tuesday as the shutdown continued for the second week after lawmakers failed to reach an agreement over the budget and worries over default if the debt ceiling is not raised.

The Dow Jones industrial average ended down 160 points, or 1.1%, to end at 14,777. The Standard & Poor's 500 Index closed 21 points, or 1.2% lower, at 1,655. The Nasdaq Composite Index slumped 76 points or 2%, to end the session at 3,695.

European stocks also ended lower on Tuesday. The FTSE-100 ended 1.1% lower, DAX lost 0.4% while CAC-40 slipped 0.77%.

The Indian rupee weakened agains the US dollar in early trades and was trading at 62.15 compared to previous day's close of Rs 61.79.

All sectoral indices were in the red in early trades with Bankex emerging the top sectoral loser on the BSE down nearly 2% followed by Consumer Durables, Metals and Capital Goods among others.

HDFC Bank, ICICI Bank, SBI and HDFC were down 0.7-2.7% each.

Select IT stocks such as TCS and HCL Tech were marginally up in early trades amid a weakening rupee.

Telecom shares such as Bharti Airtel were marginally up in early trades.

Country's largest realty firm DLF was up 1% after it said that it has completed the sale process of 33MW wind turbines project in Rajasthan to Violet Green Power for Rs 67.44 crore.

Among other shares, Apollo Tyres was down 1% after US-based Cooper Tire & Rubber Company  rejected Apollo Tyres’ demand  to cut the proposed $2.5-billion deal size by as much as 25 per cent.

The broader market was trading flat with both BSE Mid-cap and Small-cap indices marginally up.

Market breadth was neutral with 356 gainers and 379 losers on the BSE.