April 30 (Bloomberg) -- Indian stock-index futures gained after benchmark indexes declined for a third day yesterday.
SGX CNX Nifty Index futures for May delivery rose 0.2 percent to 6,779.5 at 10:18 a.m. in Singapore. The underlying CNX Nifty Index fell 0.7 percent to 6,715.25 yesterday. The S&P BSE Sensex also lost 0.7 percent. The Bank of New York Mellon India ADR Index of U.S.-traded shares added 0.2 percent.
The Sensex rose to a record last week amid speculation an election victory for the main opposition Bharatiya Janata Party will spur investment and boost economic growth. Overseas investors have pumped about $10 billion into local stocks and bonds this year amid cooling inflation, shrinking deficits and a strengthening rupee.
“The market will consolidate in a narrow range, as there are no event triggers till the election results on May 16,” Rajendra Wadher, director at PRB Securities Ltd., said by phone today. “We don’t anticipate a sharp rally, as overseas fund flows have slowed.”
International investors bought a net $24.5 million of Indian shares on April 28, compared with this year’s daily average of $68.3 million, according to data compiled by Bloomberg. That took this year’s purchases to $5.08 billion, the second-highest among eight Asian markets tracked by Bloomberg, after Taiwan.
Shares of Bharti Airtel Ltd., India’s biggest mobile-phone operator, may move. The company reported after the market closed yesterday that fourth-quarter profit jumped 89 percent to 9.62 billion rupees ($159 million), lagging behind the 9.96 billion-rupee median estimate of 26 analysts in a Bloomberg survey.
Seven out of the 10 Sensex companies that have reported earnings for the three months ended March 31 have either exceeded or matched estimates. About 73 percent of results beat forecasts in the previous quarter.
The Sensex has climbed 6.1 percent this year and trades at 14 times projected 12-month profits. The MSCI Emerging Markets Index has dropped 0.4 percent in 2014 and is valued at 10.4 times.
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