Indian shares edged lower on Monday, snapping three days of gains, as caution prevailed a day before the central bank's decision on policy rates and ahead of a number of global risk events this month, including a U.S. Federal Reserve meeting.

 

The broader NSE Nifty fell 0.24 percent to 8,201.05 points after gaining 0.74 percent over the previous three sessions.

 

The benchmark BSE Sensex also lost 0.24 percent.

 

Both indexes had touched their highest levels since late October on Friday.

 

Shares of state-owned banks such as Oriental Bank of Commerce, Punjab National Bank, SBI, Allahabad Bank and Andhra Bank were lapped up too, which rose by up to 2.85 per cent after Finance Minister Arun Jaitley said lenders will be empowered and protected for “commercially prudent” settlement of bad debt.