Benchmark indices decline; banking shares drag
Key Indian indices, Sensex and Nifty, slipped deeper into the red through Monday’s session amid weakness in banking counters.
The declines marked the end of a four-week rally. Banking stocks bore the brunt of selling pressure as investors waited for more clarity on asset quality.
State Bank of India shares were in focus after the Supreme Court denied an extension of the deadline for submitting electoral bond disclosure details.
The bank has been asked to submit the information by Tuesday. In Asian markets, Japan’s Nikkei plunged over 2% to hit its lowest point since early 2021. South Korea’s Kospi also edged lower on growth worries.
However, revised figures confirmed Japan averted a technical recession last quarter. International oil prices hovered above the $80 per barrel mark on demand concerns from China’s COVID-19 curbs.
Broader indices declined as investors adopted a cautious stance ahead of key macroeconomic announcements. The trading action highlighted volatility risks emanating from rising global interest rates.
