India equities erase yearly gain amid global rout
October 11 2018 11:25 PM
RELATED STORIES
GULF TIMES
Traders monitor share prices at the Bombay Stock Exchange. The Sensex fell 2.2% to 34,001.15 at close yesterday in Mumbai, erasing its year-to-date advance.

Bloomberg/Mumbai

India’s benchmark index erased its 2018 advance as the biggest stock sell-off since February rolled from the US through Asia yesterday, with benchmarks from Tokyo to Hong Kong seeing declines in excess of 3%.
The benchmark S&P BSE Sensex fell 2.2% to 34,001.15 at close in Mumbai, erasing its year-to-date advance.
All but two of 19 sector sub-indexes compiled by BSE Ltd dropped, the declines led by a gauge of metal-makers and software exporters shares.
Indian software exporters start the quarterly earnings season with Tata Consultancy Services Ltd, the nation’s biggest IT company, reporting results for the July-to-September period after markets close yesterday.
“The global stock rout is putting Indian markets under pressure again,” Rajendra Wadher, director at PRB Securities Ltd said by phone. “Investors will be keenly watching quarterly earnings and outlook commentary for cues on India’s market direction.” The Sensex’s relative strength index dropped back below a threshold indicating potential overselling, with the stock gauge having fallen into a so-called correction last week after sliding 10% from a peak in August.
Shares of Indian non-bank finance companies including mortgage lenders fell amid concerns of tighter liquidity.
The pause in oil’s rally may help the rupee recover in an economy that imports 70% of its fuel requirements.
Technical analysis suggests Brent crude and the dollar-rupee are running into resistance simultaneously.
Energy companies advanced after crude oil headed for the biggest two-day drop since July.
Indian equities, Asia’s top performers until recently, have retreated amid a flurry of bad news, from surging oil prices and a slumping rupee to a rout in non-bank lenders following defaults at an infrastructure financier.
Further erosion may affect flows to mutual funds, which have repeatedly buffered the nation’s $2tn market against the risk-off mood.






There are no comments.

LEAVE A COMMENT Your email address will not be published. Required fields are marked*
MORE NEWS