Sensex falls for second day; caution ahead of macro events

MUMBAI (Reuters) - The BSE Sensex fell for a second day on Friday as blue chip shares including ITC declined after the prime minister's economic panel said it would be a challenge for the government to meet its fiscal deficit target in the current year.

ITC fell 1.9 percent, while ICICI Bank ended 1.7 percent lower.

Also, traders lightened positions ahead of the wholesale price inflation data on Monday and the U.S. Federal Reserve's decision on stimulus tapering, as well as RBI policy review later next week.

The benchmark Sensex fell 0.25 percent, while the broader Nifty ended almost flat.

(Reporting by Abhishek Vishnoi; Editing by Gopakumar Warrier)