The BSE index is down 0.23 percent and the 50-share NSE index is down 0.15 percent. Trading is expected to remain volatile as Thursday is last day of derivatives expiry when traders roll over derivatives position to February series.ICICI Bank Ltd shares down 0.75 percent ahead of December quarter earnings. Barclays has upgraded it to ‘overweight’ from ‘equalweight’ on positive credit quality outlook.

Colgate Palmolive India Ltd shares fall 2 percent after reporting lower-than-expected volume growth at 8 percent, the lowest in the past 15 quarters.However, Power Finance Corp Ltd shares gain 2.6 percent after reporting a sharp improvement in margins in the October-December quarter earnings.

Indexes are heading for a third straight month of gains, the longest winning run since September 2010 when indexes gained 4 months in a row. The BSE benchmark Sensex fell nearly 23 points in early trade today ahead of current month expiry in the derivatives segment amid a weak Asian trend.The 30-share index shed 22.72 points, or 0.11 per cent, to 19,982.28 with stocks of oil and gas, capital goods and auto leading the fall. The index had gained 14.10 points in the previous session.

Similarly, the wide-based National Stock Exchange Nifty down 4.30 points, or 0.07 per cent, to 6,051.45.  Brokers said squaring-up of positions by participants as today being the last session of current month expiry in the derivatives segment, mainly dampened the sentiments.

Besides, a weak trend in the Asian region following overnight losses at the US markets after data showed the world’s biggest economy unexpectedly shrank in the last quarter of 2012, too, had its shadow, they said.

Meanwhile, in Asia, Hong Kong’s Hang Seng index declined by 0.10 per cent, while Japan’s Nikkei by 0.61 per cent in opening trade. The US Dow Jones Industrial Average ended 0.32 per cent lower in yesterday’s trade.Nifty futures on the Singapore Exchange was flat. The MSCI-Asia Pacific index, excluding Japan was fell 0.5 percent. Asian shares pulled back on Thursday from recent gains but sentiment was underpinned by optimism about global growth after the Federal Reserve kept its stimulus policy and by signs of stabilisation in the euro zone.

U.S. stocks fell on Wednesday after the Federal Reserve said in its latest statement that economic growth had stalled but indicated the pullback was likely temporary.