* NSE, BSE indexes down 0.4 pct each
* State election results due out on Saturday
* Kotak Mahindra Bank hits record high
By Darshana Sankararaman
March 8 Indian shares fell for a second straight
session on Wednesday as caution prevailed ahead of state
elections results, including that of the crucial northern state
of Uttar Pradesh, and a U.S. Federal Reserve policy meeting next
The election in Uttar Pradesh is the world's largest this
year and will have a key influence on Prime Minister Narendra
Modi's chances of clinching a second term in 2019.
Exit polls will be released on Thursday and results will be
out on Saturday.
Meanwhile, the Federal Reserve has a policy meeting on March
14-15 and markets are expecting a rate hike after recent hawkish
comments by policymakers.
"The market is in a consolidation phase and is probably
already over-rated. Election results followed by the Fed meeting
are important for the Indian market, after which it will take a
call accordingly next week," said R.K. Gupta, managing director
at Taurus Asset Management Company.
"Whatever may be the outcome of the elections, the market is
going to take a correction."
The broader NSE index was down 0.41 percent at
8,910.75 by 0542 GMT, steadily retreating from a two-year
closing high hit on Monday.
The benchmark BSE index was 0.44 percent lower at
IT stocks were among the biggest percentage losers on the
NSE index, with Infosys Ltd and HCL Technologies Ltd
shedding more than 1 percent each.
Kotak Mahindra Bank Ltd rose as much 2.69 percent
to a record high after a block deal by an unknown buyer and a
media report that Canadian pension fund Caisse de Depot et
Placement du Quebec was looking to buy a stake.
Financial stocks Yes Bank Ltd and IndusInd Bank
Ltd gained up to 1.83 percent and 0.75 percent,
respectively, and were among the top gainers on the Nifty.
(Reporting By Darshana Sankararaman in Bengaluru; Editing by