Indian stocks fluctuated. Raw material producers dropped after China unexpectedly raised its lending and deposit rates, prompting concern the global economic recovery may slow. Tata Power Co. gained.
Sterlite Industries （India） Ltd., the biggest copper and zinc producer, dropped 1.9 percent as raw material prices declined. Hindalco Industries Ltd., the biggest aluminum producer, retreated for the fifth day. Tata Power, the biggest electricity generator outside state control, advanced for the first time in five days.
“A lot of money is chasing commodities and emerging market stocks,” said Alex Mathews, head of research at Geojit BNP Paribas Financial Services Ltd. in Kochi. “Emerging markets have to raise rates to control a possible asset bubble. The earnings outlook for Indian companies remains positive.”
The Bombay Stock Exchange’s Sensitive Index, or Sensex, was little changed at 19,988.87 as of 9:37 a.m. in Mumbai after swinging between gains and losses at least five times. The S&P CNX Nifty Index on the National Stock Exchange was little changed at 6,027.30. The BSE 200 Index rose 0.1 percent to 2,547.38.
Asian equities fell today after China’s central bank raised one-year lending and deposit rates by 25 basis points, boosting borrowing costs for the first time since 2007. Policy makers are trying to curb lending and prevent an asset-price bubble in a country that surpassed Japan this year as the world’s second- largest economy.
Sterlite lost 1.9 percent to 172.95 rupees. Hindalco decreased 1.3 percent to 203.75 rupees.
豫公网安备41010502003434号