Indian shares set to open flat amid weak global cues

BENGALURU, July 28 (Reuters) - Indian shares are set to open little changed on Friday amid weak global cues and ahead of the Bank of Japans policy decision, while investors also waited for a slate of quarterly earnings due through the day.

Indias GIFT Nifty on the NSE International Exchange was up 0.01% at 19,766.50 as of 7:48 a.m. IST.

Asian markets edged lower ahead of Bank of Japans policy decision on speculation that the Japanese central bank may take steps to remove stimulus measures.

Wall Street equities closed lower after stronger-than-expected GDP data in June quarter, hurting hopes of an end to policy tightening with the U.S. Federal Reserves latest hike a day earlier.

The GDP data indicates strength in U.S. economy and could allow the Fed room to raise rates if inflation remained above its 2% target.

In its policy meeting on Wednesday, the Fed had reiterated a data-dependent approach to policy tweaks, while delivering a 25 basis-point hike.

On Thursday, the European Central Bank (ECB) followed the Fed by hiking rates by 25 basis points. In contrast to the Fed, ECB President Christine Lagarde hinted at a likely pause in its next meeting in September.

Both the Nifty 50 (.NSEI) and Sensex (.BSESN) declined on Thursday, dragged by financials and autos. The Nifty 50 and Sensex have lost 0.43% and 0.63% so far this week. If losses hold, the benchmarks will snap four consecutive weeks of gains.

Foreign institutional investors sold 39.79 billion rupees of Indian equities on a net basis on Thursday, while domestic investors purchased 25.28 billion rupees of shares, as per provisional NSE data.

STOCKS TO WATCH:

** Indus Towers (INUS.NS): Cos consolidated net profit nearly triples in June quarter.

** JK Lakshmi Cement: Co reports 29% fall in profit in first quarter on higher costs.

** Bharat Electronics (BAJE.NS): Co posts rise in consolidated net profit in June quarter, aided by revenue growth, fall in input costs.

** Sona BLW Precision Forgings (SONB.NS): Co reports rise in June quarter profit; to expand capacity at Chennai plant with investment of 997 million Rupees.

** Key earnings on Friday: Indian Oil Corporation (IOC.NS), Mahindra & Mahindra Financial Services (MMFS.NS), Marico (MRCO.NS).