Indian shares hold near 5-mth lows as US banking crisis weighs
In Mumbai, India, on May 28, 2019, a man passes by a new brand identification for Nifty Indices within the National Stock Exchange (NSE) building. Francis Mascarenhas for Reuters
Reuters, March 14, 2019 – BENGALURU In response to a global investor panic caused by the U.S. financial crisis, Indian markets stayed at five-month lows on Tuesday.
As of 09:20 a.m. IST, the S&P BSE Sensex (.BSESN) down 0.14% to 58,158.09, while the Nifty 50 index (.NSEI) fell 0.2% to 17,127.
Despite government efforts to restore trust, the repercussions from the failure of American lenders Silicon Valley Bank (SIVB.O) and Signature Bank (SBNY.O) expanded overnight and hurt bank shares throughout the world.
Indian banks (.NSEBANK), (.NIFTYPSU), which fell 0.4% and 0.7%, respectively, were among the biggest drags on the market despite the fact that experts said the nation’s lenders were immune to the U.S. financial crisis.
While it decreased from 6.52% in January to 6.44% in February, India’s annual retail inflation rate (INCPIY=ECI) continued to exceed the Central Bank of India’s upper limit for the second consecutive month.
In light of concerns that the U.S. Federal Reserve may now turn less hawkish given the financial crisis, investors will now concentrate on the U.S. inflation data, expected later in the day, for clues on the rate rise trajectory.
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($1 = 82.2350 Indian rupees)
