Indian shares lower

Indian shares ended 0.8 percent lower in choppy trade on Wednesday as November inflation held stubbornly above 9 percent, disappointing investors, but growing hopes that the central bank could keep rates steady this week and likely adopt a more dovish tone amid slowing growth dabbed some cheer.
The wholesale price index in November rose 9.11 percent from a year earlier, remaining above 9 percent for 12 consecutive months despite 13 rate increases by the Reserve Bank of India (RBI). Inflation, however, eased from October's 9.73 percent rise, driven by a sharp drop in food inflation.
The 30-share BSE index closed down 121.37 points at 15,881.14, with 24 of its components closing in the red. It rose nearly 1 percent on Tuesday after losing nearly 6 percent over the three previous sessions.
The outlook for the benchmark, which is one of the world's worst performers this year having lost 22 percent, remains bearish. The 50-share NSE index ended down 0.78 percent at 4,763.25 points. In the broader market, losers led gainers 983 to 459 on a total volume of about 514.3 million shares.
India's benchmark index may decline to 13,500-12,200 points if it breaks its key support at 16,000, the risk for which has increased, Bank of America-Merrill Lynch said in a note. Foreign funds have been net sellers of more than $208.6 million of Indian shares this year, compared with record buying of more than $29 billion in 2010.
Mortgage lender HDFC fell 2.5 percent, after dealers said the more-than-expected November inflation print will negate chances of a rate cut at Friday's RBI review. Shares of export-driven drugmaker Sun Pharma ended up 1.7 percent after the rupee slumped to another record low versus the dollar for a third consecutive session. Capital goods maker Areva T&D fell 24 percent after its plan to separate transmission and distribution business took effect.