Indian shares slip on weaker rupee, higher crude

Published: October 15, 2018 14:17:21 | Updated: October 17, 2018 14:26:54

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BSE benchmark index Sensex and the broader NSE Nifty fell on Monday as rising oil prices and a weakening rupee added to woes during the earnings season, amid weak Asian cues.

Asian shares slipped as worries over Sino-US trade disputes, a possible slowdown in the Chinese economy and higher US borrowing costs tempered optimism despite a rebound in global equities late last week.

Brent crude rose 1.26 per cent to 81.44 a barrel by 0424 GMT, on track for its biggest daily gain since Oct. 9.

The Indian rupee fell to 73.93 against the dollar, compared with its previous close of 73.60, reports Reuters.

The broader NSE Nifty was down 0.49 per cent at 10,421.45 as of 0547 GMT, while the benchmark BSE Sensex was trading 0.40 per cent lower at 34,594.28.

Market heavyweights Infosys Ltd and Reliance Industries Ltd are due to report earnings for the September quarter on Tuesday and Wednesday, respectively.

India’s retail inflation rose marginally in September, nudged up by food and fuel prices, but short of the central bank’s 4 per cent medium-term target, according to data released on Friday.

Consumer stocks dragged as Hindustan Unilever Ltd and Avenue Supermarts Ltd fell on analysts raising concerns over the margin dip in these companies, despite posting higher profit in September quarter.

Financial stocks also pulled the index lower, with ICICI Bank and Axis Bank being among the top drags.

The weaker rupee boosted the IT and pharma sectors. Nifty Pharma index was trading 1.8 per cent higher, driven by Dr. Reddy’s Laboratories’ stock which rose 4.1 per cent.

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