Indian shares slump; food bill raises fiscal deficit concerns
MUMBAI Aug 27 (Reuters) - India's NSE index fell as much as 2 percent as blue chip shares including HDFC Bank slumped on concerns that the passage of food security bill will weigh on the country's fiscal and current account deficits, raising fears of a sovereign rating downgrade.
The lower house of parliament approved a plan worth nearly $20 billion on Monday to provide cheap grain to the poor.
HDFC Bank Ltd fell 5.5 percent, while ITC Ltd lost 1.3 percent.
The broader NSE index fell 2 percent, while the benchmark BSE index slumped 1.8 percent. (Reporting by Abhishek Vishnoi; Editing by Subhranshu Sahu)
- Tweet this
- Share this
- Digg this
- UPDATE 7-Court orders Russia to pay $50 bln for seizing Yukos assets
- UPDATE 5-Property website Zillow to buy rival Trulia to cut costs
- UPDATE 3-Judge allows $2 bln sale of NBA's Los Angeles Clippers to proceed
- 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