Plus   Neg

Sensex Drops 175 Points; Nifty Ends Tad Above 10,300

Indian shares closed lower on Tuesday as oil prices resumed their climb and the rupee gave up all early gains to hit a fresh record low of 74.27 in the afternoon, raising concerns about inflation and capital outflows.

Caution ahead of corporate earnings results from prominent companies due this week also weighed on markets.

Benchmark Brent crude was up 92 cents or 1.10 percent at $84.83 a barrel in European trade, as more evidence emerged that crude exports from Iran, OPEC's third-largest producer, are declining ahead of the U.S. sanctions against the country, kicking in from November 4.

Prices also remained supported amid news that Hurricane Michael will make landfall along the Gulf Coast Wednesday as a Category 3 storm.

The benchmark 30-share BSE Sensex dropped 174.91 points or 0.51 percent to 34,299.47 while the broader Nifty index ended down 47 points or 0.45 percent at 10,301.05.

Tata Motors plunged as much as 13 percent after its JLR unit reported 12.3 percent decline in global sales for September.

Asian Paints, Eicher Motors, HPCL and Titan were among the other prominent decliners, with losses ranging between 4 percent and 8 percent.

On the positive side, Vedanta, Adani Ports, Bajaj Finance, Zee Entertainment Enterprises and Dr Reddy's Laboratories climbed 3-5 percent.

Asian stock markets ended mostly lower today and European stocks were retreating after China allowed its currency to slip past a psychological bulwark and the International Monetary Fund lowered its forecast for Chinese economic growth in 2019 to 6.2 percent from 6.4 percent, citing the "negative effect of recent tariff actions"

Elsewhere in Europe, Italian Economy Minister Giovanni Tria said he wanted to have constructive talks with EU partners over the 2019 budget.

After unveiling the DEF economic blueprint in parliament, Tria said there was "a lag in economic growth and employment, a lag that is no longer acceptable, 10 years since (the start of) the economic crisis".

For comments and feedback contact: editorial@rttnews.com

Market Analysis

Follow RTT