Indian auto stocks set for worst week in about 6 months

BOSCH

06/09/2024 10:44

(Updates)
    ** Nifty Auto index  .NIFTYAUTO  down 1.4%, set to log 2.7%
weekly decline
        ** Index heads for biggest weekly fall since mid-March
after 3-week winning streak
  
    ** Index fell 0.4% on Monday as cos, including Eicher Motors
 EICH.NS , Ashok Leyland  ASOK.NS  and Tata Motors  TAMO.NS ,
dropped on lower vehicle sales in August
    ** Auto dealers in India are worried about having to
discount more to boost demand amid record inventory levels
    ** Rise in inventory indicates a slowdown, says Krishna
Appala of Capitalmind Research; adds overall sentiment remains
dampened by high interest rates, consumer hesitation to purchase
cars
    ** Bosch  BOSH.NS , down 4.4% on the day, top pct loser on
Nifty Auto 
    ** Balkrishna Industries  BLKI.NS  and Hero MotoCorp
 HROM.NS  up 0.7% and 0.2%, respectively - only stocks in the
index to gain on the day
    ** NIFTYAUTO up ~37% YTD vs Nifty 50's  .NSEI  14.4% climb

 (Reporting by Varun Vyas and Nandan Mandayam in Bengaluru)
 ((varunvyas.hebbalalu@thomsonreuters.com))