Indian shares muted as metal, banking gains offset auto losses (updated)

Tata Consumer Products

01/06/2022 06:17

(Adds stocks, analyst comment)
    BENGALURU, June 1 (Reuters) - Indian shares were flat on
Wednesday, as gains in metal and banking stocks were offset by
losses in auto scrips, while data showed that the country's
economic growth slowed to the lowest in a year in the first
three months of 2022.
    After eking out minor gains in the early minutes of the
session, the NSE Nifty 50 index  .NSEI  was down 0.01%% at
16,581.95 by 0441 GMT. The S&P BSE Sensex  .BSESN  was down
0.03% at 55,552.31. 
    On Tuesday, both indexes snapped three straight sessions of
gains as a rally in technology stocks paused and banking stocks
fell.
    "We are moving into a consolidation phase, investors might
not be all that keen to push decisions or put money on the table
ahead of India central bank's monetary policy decision next
week," said Anand James, chief market strategist at Geojit
Financial Services.
    On Wednesday, a four-day rally in auto stocks lost steam
with the Nifty auto  .NIFTYAUTO  sub-index falling 0.8% ahead of
May sales data from automakers in the country.
    Shares of Bajaj Auto  BAJA.NS  fell 3.1% and were the top
percentage losers on the Nifty 50 index.
    IT stocks  .NIFTYIT  extended losses and fell nearly 1%.
    Limiting losses, metal stocks  .NIFTYMET  rose 0.8% while
Asian Paints  ASPN.NS  rose 2.8% to a one-week high and was the
top percentage gainer on the Nifty 50.
    Financial stocks also lent support, the Nifty finance index
 .NIFTYFIN , bank index  .NSEBANK  and PSU bank index
 .NIFTYPSU , which tracks state-run banks, all rose 0.3% each.
    After market hours on Tuesday, government data showed
India's gross domestic product grew 4.1% year-on-year in
January-March, below the 5.4% growth in Oct-December and growth
of 8.4% in July-Sept. urn:newsml:reuters.com:*:nL1N2XN0U7    
    Meanwhile, Asian stocks steadied although investors were
jittery after eurozone inflation rose to a record high and
stoked concerns about rate rises globally. MKTS/GLOB 

 (Reporting by Chandini Monnappa in Bengaluru; Editing by
Shailesh Kuber)
 ((Chandini.M@thomsonreuters.com; +918061822697;))