HSBC downgrades Indian shares to 'neutral'
Reuters Market Eye - HSBC downgrades Indian equities to "neutral" from "overweight", citing a sharp rise in the cost of equity for companies and a slowing growth.
The bank says India will continue to struggle with the trade-off between defending a currency and supporting growth.
HSBC adds the main catalyst for recent volatility in Indian equities was when policymakers decided to tighten liquidity to stem capital outflows.
J.P.Morgan also downgraded Indian shares on Tuesday to "neutral" from "overweight", citing strain in balance of payments.
(Reporting by Abhishek Vishnoi)
- Tweet this
- Share this
- Digg this
- UPDATE 7-Court orders Russia to pay $50 bln for seizing Yukos assets
- UPDATE 3-Judge allows $2 bln sale of NBA's Los Angeles Clippers to proceed
- UPDATE 5-Property website Zillow to buy rival Trulia to cut costs
- Israel warns of long Gaza war as Palestinian fighters cross border
- UPDATE 6-Dollar Tree to buy Family Dollar to stave off competition
Indian conglomerate Larsen & Toubro said on Monday revenue totalled 191.23 billion Indian rupees ($3.2 billion) in the first quarter, beating analyst forecasts, after a rise in orders from international clients. Full Article