Indian shares fell 0.97 percent on Friday, the fifth straight day of losses, due to concerns over tightening monetary policy and weak corporate earnings, dealers said. The benchmark 30-share Sensex index fell 156.44 points to 15,896.28, a near two-month-low. The markets opened positive but lost ground intraday as earnings disappointed.
Top Indian mobile phone firm Bharti reported a lower-than-expected 13-percent rise in quarterly net profit Friday and warned earnings could be hurt as competition intensifies in the fast-growing sector. Bharti shares fell 19.9 rupees or 6.38 percent to 292.15.
On Thursday evening, India's largest private sector firm Reliance Industries showed a 6.5 percent dip in profit at 38.52 billion rupees (810 million dollars), as core refining margins fell amid weak crude oil prices. Reliance shares fell 72.6 rupees or 3.68 percent to 1,931.25 on Friday. Fund managers are also concerned that India's central bank could hike interest rates sooner-than-expected, as food and asset prices start to climb.
Rate-sensitive banking, auto and property stocks fell for a third day on concerns about a hike, dealers said. Losers led gainers 1,630 to 1,056 on turnover of 57.85 billion rupees (1.23 billion dollars). Reliance Communications fell 14 rupees or 7.37 percent to 175.95. DLF fell 5.6 rupees or 1.49 percent to 370 while Mahindra and Mahindra fell 5.8 rupees or 0.63 percent to 921.95.