Indian shares down

12 May, 2009

Indian shares fell 1.63 percent on Monday as political uncertainty weighed on investor sentiment ahead of results for the country's general election due at the weekend, dealers said. The 30-share Sensex fell 193.44 points to 11,682.99. Polling in the month-long elections ends on Wednesday. Final results are due three days later.
India's largest national parties - Congress and the Bharatiya Janata Party - are both unlikely to get a clear majority. Analysts expect a fragmented coalition to emerge. "Political uncertainty weighed on the markets. With the US index futures weak, the trend remained down," said Alex Mathew, head of research at Geojit BNP Paribas Financial Services. Losers led gainers 1,573 to 920 on turnover of 43.48 billion rupees (882 million dollars).
State Bank of India, fell 64.45 rupees or 4.86 percent to 1,260.7 rupees on profit-taking. On Saturday, the bank reported a better-than-expected 45.6 percent rise in first quarter net profit to 27.42 billion rupees (557 million dollars) as demand for loans improved. The world's sixth-largest steel maker, Tata Steel, fell 10.85 rupees or 3.84 percent to 271.65 on profit-taking, as global metal prices retreated on the London Metal Exchange.

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