The Bombay Stock Exchange benchmark Sensex fell by over 48 points in early trade on Friday as funds and retail investors sold stocks amid mixed Asian trend.
The 30-share index, which rallied by nearly 450 points in the past two sessions, lost 48.99 points, or 0.25 percent, to trade at 16,974.00 points after rising to 17,051.04 points at the outset.
Stocks of metals, realty, capital goods and auto sectors came under pressure, pulling the Sensex down.
The National Stock Exchange's Nifty fell 15.95 points, or 0.31 percent, to 5,094.55 points.
Brokers said emergence of profit-booking by foreign funds and retail investors and weak cues from Asian markets dampened trading sentiment.
Reliance Industries fell by 0.48 per cent to Rs 1,026.15, Infosys Technologies by 0.19 per cent to Rs 2,691.80, Tata Consultancy Services by 0.42 per cent to Rs 759.50, DLF Ltd by 0.88 per cent to Rs 275.20, State Bank of India by 0.11 per cent to Rs 2,283.95 and Tata Motors by 1.15 per cent to Rs 7458.50.
Meanwhile, Hong Kong's Hang Seng was down 0.20 percent and Japan's Nikkei shed 0.03 percent in morning trade on Friday.
The US Dow Jones Industrial Average ended flat in Thursday’s volatile session.