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HomeIndiaIndian shares open lower as dull earnings, foreign outflows weigh

Indian shares open lower as dull earnings, foreign outflows weigh

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(Reuters) -Indian shares opened lower on Monday , after logging five weeks of losses in six on Friday, as concerns over dull earnings and sustained foreign outflows continued to pressure domestic equities.

The NSE Nifty 50 fell 0.46% to 24,037.35 points as of 9:18 a.m. IST, while the BSE Sensex shed 0.44% to 79,138.05.

Twelve of the 13 major sectors declined. The broader, more domestically-focussed small- and mid-caps lost about 1% each.

Asian Paints fell 8% and was the top Nifty 50 loser after reporting a drop in profit in the September quarter.

Continued foreign selling and earnings downgrades are going to keep investors cautious and keep the pressure on markets, said two traders.

Foreign portfolio investors have sold Indian shares for the last 30 consecutive sessions, withdrawing about $13 billion mainly to invest in China, drawn by Beijing’s stimulus measures.

The September-quarter earnings season, the worst in terms of top Indian companies missing expectations since the COVID-impacted quarters of 2020, also added to the markets’ recent drop, analysts said.

The Nifty 50 is now down about 8.5% from the record high it hit on Sept. 27.

Other Asian markets traded lower, with the MSCI Asia ex-Japan index shedding 1.3%, as China’s new economic support disappointed investors and data pointed at deflationary pressures. [MKTS/GLOB]

(Reporting by Bharath Rajeswaran in Bengaluru; Editing by Sumana Nandy and Janane Venkatraman)

Disclaimer: This report is auto generated from the Reuters news service. ThePrint holds no responsibilty for its content.

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