Earnings in the January to March quarter have so far been weaker than analyst estimates.
The benchmark S&P BSE Sensex fell 0.7% to 34,616.13 at close in Mumbai.
Yes Bank Ltd, Sun Pharmaceutical Industries Ltd and Dr Reddy’s Laboratories Ltd led losses on the gauge while State Bank of India climbed ahead of its results today. The NSE Nifty 50 Index dropped 0.8%.
The S&P BSE Midcap Index slid 1.6%, set for its worst May performance in 12 years. “Rising oil prices and the sliding rupee are putting pressure on the indices,” Sageraj Bariya, vice president of institutional sales at East India Securities, said by e-mail.
“Action is expected to be more stock specific with the results season currently underway.” Net income at 16 of the 29 Nifty companies that have reported so far have trailed analyst estimates, according to data compiled by Bloomberg. Profits have risen an average 20% in January to March, slower than the 26% pace in the previous quarter.
The Indian rupee yesterday weakened marginally against the US dollar on worries of higher crude oil prices and tracking losses in Asian currencies. The rupee was trading at 68.08 against the US dollar, down 0.10% from its previous close of 68.01. The currency opened at 68.16 a dollar and touched a high and a low of 68.07 and 68.16, respectively.