Mumbai, Dec 15 (IANS): Indian equities markets edged lower as investors cautiously eyed the Reserve Bank of India's decision on interest rates. A benchmark index for Indian equities Thursday pared intra-day losses and closed 44 points lower, amid concerns about the falling rupee.

The RBI will conduct its mid-quarterly review of monetary policy Friday.

The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 15,739.05 points, closed at 15,836.47 points, 44.67 points or 0.28 percent down from its previous close at 15,881.14 points.

The rupee fell to 54.30 to a dollar in early trade Thursday -- a new low as demand for the US currency from importers amid volatile global economic conditions continued to pull down the Indian currency.

The 50-scrip S&P CNX Nifty of the National Stock Exchange also closed lower at 4,746.35 points, down 0.35 percent or 16.9 points from its previous close.

Broader markets fell moderately with the BSE 500 index edging 0.4 percent lower. The BSE midcap index ended 1.11 percent lower while the BSE smallcap index slipped 1.52 percent.

The market breadth was negative, with 885 stocks advancing and 1,829 on the decline. Another 128 were unchanged.

Among gainers on the 30-scrip Sensex were: Tata Power, up 4.09 percent at Rs.90.45; Coal India, up 3.83 percent at Rs.311.40; Hindustan Unilever, up 2.8 percent at Rs.394.40; and NTPC, up 2.02 percent at Rs.166.40.

Prominent losers included: Sterlite Industries, down 3.96 percent at Rs.93.40; Bharti Airtel, down 3.4 percent at Rs.337; Tata Motors, down 2.35 percent at Rs.172.75; and SBI, down 2.25 percent at Rs.1,744.50.

According to data available with the Securities and Exchange Board of India (SEBI), foreign institutional investors sold scrips worth $10.41 million Thursday.

Asian markets closed in the red with negative sentiments gripping the bourses. A survey released Thursday by Japan's central bank showed business sentiment dipping. Also a bond auction by Italy saw the country paying a higher rate of interest signifying continued nervousness about the eurozone's debt woes.

The Japanese Nikkei closed 1.66 percent down at 8,377.37 points. Hong Kong's Hang Seng shed 1.78 percent and ended at 18,026.84 points.

The Chinese Shanghai composite index closed 2.14 percent lower at 2,180.9 points.

European markets were amid a modest rally on some bargain buying.

Britain's FTSE 100 was ruling 0.54 percent up at 5,395.85 points, while the German DAX was trading 0.99 percent higher at 5,731.13 points.

The French CAC 40 was ruling 0.66 percent higher at 2,995.94 points.