MARKET EYE-Indian shares falter; Infosys, HFDC Bank fall

* The BSE index

falls 0.5 percent, while the 50-shareNSE indexis down 0.5 percent on caution ahead ofcorporate earnings.* Blue chips that report earnings on Friday lead the fall inIndia: Infosys

falls 1.4 percent, while HDFC Bank

is down 0.9 percent.* Traders still welcomed a government panel report recommendingIndia scrap a law that taxes asset transfers retrospectively.

* The measure unveiled earlier this year was widely seen astargeting Vodafone

after a controversial 2007 purchaseof the Indian assets of Hutchison Whampoa, but foreigninvestors had worried the loose language could also ensnareportfolio investments.* Telecom shares extend fall over airwave surcharge concerns:Bharti Airtel

shares fell 1 percent while IDEA

falls 1.1 percent.