Indian shares are likely to open on a subdued note on Friday, as the manufacturing-led slump in industrial output clouded the domestic economic outlook. That said, the rupee reversed an early session loss to end marginally higher yesterday, signaling renewed interest by foreign institutional investors despite downward revision of India's growth target and the weak monsoon.
Indian shares eased slightly on Thursday after global brokerages cut India's growth forecast for the year and government data showed the nation's industrial output shrank by 1.8 percent in June, marking the third decline in four months, mainly driven down by a slump in manufacturing and lower growth in the agricultural sector.
Reversing early gains, the benchmark Sensex ended the session down 40 points or 0.23 percent at 17,561, while the broader Nifty index fell by 15 points or 0.28 percent to 5,323.
Provisional data released by BSE shows that foreign institutional investors remained net buyers in Indian equities and bought shares worth Rs.337.14 crore yesterday, while domestic financial institutions offloaded shares to the extent of Rs.754.40 crore.
Crisis-ridden Kingfisher chief Vijay Mallya has asked protesting employees to resign and threatened to shut down the airline if they remain on strike every now and then, reports suggest.
The Company Law Board has stopped Norway's Telenor from auctioning the assets of its Indian arm, Uninor, saying it was a "complete breach" of shareholding agreement by the telecom giant with its minority partner Unitech.
The government has moved the Supreme Court seeking an additional three-month extension of the August 31 deadline for auction of canceled 2G spectrum licenses.
Domestic car sales in July climbed by 6.7 percent to 1.43 lakh units from 1.34 lakh units in the corresponding period last year, according to figures released by the Society of Indian Automobile Manufacturers (SIAM).
On the earnings front, Apollo Hospitals, Bharat Forge, BPCL, SBI are among the companies that will unveil their quarterly results today.
Asian markets are trading mostly lower, as investors adopt a cautious stance after recent gains. Key benchmark indexes in Australia, Hong Kong and Japan are down between 0.3 percent and 0.6 percent.
U.S. And European Markets
U.S. stocks turned in a lackluster performance on Thursday, as traders seemed reluctant to continue buying without any official announcement on further stimulus measures. A report from the Labor Department showing an unexpected drop in weekly jobless claims and news that the U.S. trade deficit narrowed sharply in June to its lowest level since December 2010 helped to keep traders from cashing in on the recent gains. The Dow edged down 0.1 percent, while the tech-heavy Nasdaq rose 0.3 percent and the S&P 500 crept up 0.6 points or less than a tenth of a percent.
Major European markets too ended on a mixed note on Thursday, with the German DAX index closing just below the unchanged line, while the U.K.'s FTSE 100 index edged up 0.1 percent and France's CAC 40 gained half a percent.
by RTT Staff Writer
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