Indian shares flat; eyes on border talks, industry data
September 11, 2020
BENGALURU, Sept 11 (Reuters) – Indian shares were flat on Friday, after an agreement to de-escalate tensions on the contested Indo-China border helped offset some impact from a selloff in U.S. tech stocks overnight, while investors awaited industry data.
The blue-chip NSE Nifty 50 index rose 0.04% to 11,454.00, while the benchmark S&P BSE Sensex was up 0.02% to 38,846.68 by 0455 GMT. The indexes, which are less technology stocks driven than their global peers, closed more than 1.5% higher in the previous session.
The country will be releasing its industrial output data for July later in the day. A Reuters poll forecast a fourth straight month of decline.
India and China said on Thursday they had agreed to disengage troops on their contested Himalayan border and take steps to restore “peace” following a high-level diplomatic meeting in Moscow.
“The disengagement process could be very gradual, which may keep market participants on the toes,” said Ajit Mishra, vice president, research at Religare Broking.
The Nifty Auto Index was up 0.45%, after the country’s auto industry body said total domestic passenger vehicle sales for August were up 14.2% on the year.
The Nifty Metal Index rose 0.15%. The Indian government is planning to restrict copper and aluminium imports to protect domestic producers, Reuters reported on Thursday, citing sources.
Mortgage lender Housing Development Finance Corporation and India’s most valuable bank HDFC Bank Ltd were among the top drags on the Nifty, falling as much as 0.8% each.
IT major Tata Consultancy Services Ltd was among the top boosts, rising as much as 2.2%.
MSCI’s broadest index of Asia-Pacific shares outside Japan dipped 0.2% after overnight selling in U.S. technology stocks and concerns over U.S. stimulus. (Reporting by Anuron Kumar Mitra in Bengaluru; Editing by Rashmi Aich)