(Updates at 10:29 a.m. IST)

By Bharath Rajeswaran

Nov 7 (Reuters) - Indian shares fell in morning trading

on Thursday, in contrast to their Asian peers, as Hindalco

Industries led a slide in metal stocks after its U.S. unit

reported a lower quarterly profit.

The NSE Nifty 50 fell 1.18% to 24,196.65 points as

of 10:29 a.m. IST, while the BSE Sensex shed 1.16% to

79,445.7.

Hindalco slid 7% after its U.S. unit, Novelis,

reported a lower profit. It was the biggest decliner on the

Nifty and dragged metals stocks down around 1.5%.

Helping curb the losses was Apollo Hospitals's

6.4% jump, the most on the Nifty, after it beat second-quarter

profit estimates on strong healthcare services demand.

However, the broader, more domestically focused small-cap

index and mid-caps fell about 0.4%

each, outperforming the benchmark indexes, driven by gains in

BSE and Kalyan Jewellers following their

inclusion in a key MSCI index.

The losses in the Indian benchmarks were in contrast to

their Asian peers, which tracked the surge in Wall Street

indexes to record highs overnight as markets celebrated, in

part, the clarity of U.S. election outcome after Donald Trump's

win.

The Nifty and Sensex had jumped 1.1% on Wednesday, their

biggest single-day gain in more than six weeks, after Trump's

victory.

Trump's stated policies such as reducing corporate tax rates

will help Indian information technology companies, while a focus

on the China +1 strategy will benefit several domestic sectors,

according to analysts.

With the U.S. election done, the focus will shift to the

Federal Reserve's rate decision and commentary, due after the

Indian markets close.

The Fed is expected to cut rates by 25 basis points, which,

in general, makes emerging markets such as India more attractive

to foreign investors.

However, foreigners have pulled money from Indian stocks for

the last 27 sessions, redirecting funds to China after recent

stimulus measures -- a scenario that could be threatened by

Trump, who started a trade war with Beijing during his first

term as U.S. president.

($1 = 84.2760 Indian rupees)