Indian shares fell on Tuesday, as investors booked profits on the back of weekly gains, and tracking Asian markets as the global rally driven by optimism over the U.S. interest rate outlook came to a pause.

The blue-chip NSE Nifty 50 index lost 0.27% to 22,036.80, while the BSE Sensex shed 0.36% to 72,581.23, as of 10:52 a.m. IST.

Ten of the 13 major sectors logged losses in the morning trade, with financials, banks pharma , consumer and media dropping between 0.4% and 0.7%.

Index heavyweights Reliance and HDFC Bank lost 0.9% and 0.7%, respectively.

Both Nifty and Sensex rose about 0.3% each last week, while broader markets also logged gains.

Asian markets fell after Wall Street equities lost ground overnight as a global rally fueled by the Federal Reserve sticking to its plan of three rate cuts in 2024 fizzled out.

"Markets celebrated the (Fed) rate outlook, but that's a very short-term reaction because recent hot inflation data shows that it will be still some time before the rate reversal takes place in earnest," said Raghvendra Nath, managing director of LadderUp Wealth Management.

Nath added that while domestic equities will continue to consolidate with the Nifty hovering around the 22,000 levels, "any pre-election rally will be incremental from here on."

"Pockets in broader markets which have gone up on no fundamentals, with no rhyme or reason, will get normalised, depending on March quarter results," Nath said.

Small- and mid-caps were muted on the day.

Maruti Suzuki lost 1.5% and was among the top three losers in the Nifty 50 after the carmaker on Friday announced the recall of more than 16,000 units of two car models. The stock had gained 7.50% last week and hit record highs.

Mankind Pharma dropped 2.5% after a report said private equity firm ChrysCapital's affiliate Beige is likely to sell upto a stake of 2.9% in the company, worth about $295.2 million, via block deals.

(Reporting by Hritam Mukherjee and Bharath Rajeswaran in Bengaluru; Editing by Janane Venkatraman )