BSE Sensex falls; political uncertainty weighs

Reuters Market Eye - The BSE Sensex is down 0.37 percent, heading for a sixth day of falls, while the Nifty is 0.14 percent lower, with both indexes close to breaking their 200-day moving average.

Shares losing ground after the Dravida Munnetra Kazhagam (DMK) party pulled out of the ruling UPA coalition on Tuesday, raising doubts about the fate of government's reforms.

Asian shares also hovered near their lowest in nearly three months on Friday as investors grew concerned about a possible debt default by Cyprus and deteriorating economic activity in the euro zone.

ICICI Bank falls 1.2 percent, while State Bank of India down 1 percent on fears RBI may not ease interest rates in May, dealers say.

Dealers add that risk aversion is also weighing on blue chips like Tata Motors Ltd , which is down 2.9 percent after earlier rising as much as 1.7 percent.

(Reporting by Abhishek Vishnoi)