India Stocks: Indian shares struggle as IT stocks drag; Delta Corp plunges

Delta

25/09/2023 05:52

(Adds analyst comment)
    By Sethuraman N R
       BENGALURU, Sept 25 (Reuters) - 
    Indian shares on Monday hit a more-than-two-week low as
information technology stocks continued to fall, while casino
operator Delta Corp  DELT.NS  plunged 15% after it received a
notice from the tax department.
  
    The Nifty 50  .NSEI  was down 0.1% at 19,657 points as of
10:00 a.m. IST, while the S&P BSE Sensex fell 0.1% to 65,958
points.  
    Both the Sensex and Nifty ended last week in their lowest in
months as the Fed's hawkish stance indicated interest rates will
remain higher for longer. 
        IT stocks  .NIFTYIT  fell 0.5% on fears over a delayed
demand recovery in the U.S., its major market due to higher
interest rates. Last week, they fell 1.4%. 
  
        Markets will remain under pressure due to current
uncertainty in global markets amid "renewed concerns" over the
likely interest rate hike by key global economies in the near
term, said Prashanth Tapse, senior vice president research,
Mehta Equities.
  
    Shares of Delta Corp  DELT.NS  slumped after the company
said on Friday it received a notice to pay taxes worth 111.4
billion rupees ($1.34 billion).
        
    Surging crude oil prices have also brought inflation worries
to investors in the world's third-largest importer, analysts
said. 
    Domestic markets have come under pressure in September with
foreign investors offloading over $1 billion worth of shares as
of Sept. 21. Foreign inflows into Indian equities were about $15
billion so far this year as of last week.
        Bajaj Finance  BJFN.NS  rose 4%, after the non-banking
financial giant proposed to raise funds via qualified
institutional placement. 
  
        Shares of Religare Enterprises  RELG.NS  fell 2.3% after
the Burman family 
    made
     an open offer on Monday for an additional 26% stake in the
company at a discounted price. 
  

 (Reporting by Sethuraman NR in Bengaluru; Editing by Sohini
Goswami and Nivedita Bhattacharjee)
 ((Sethuraman.NR@thomsonreuters.com; (+91 9945291420); Reuters
Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))