India's Sensex Falls, Capping Steepest Weekly Drop in Two MonthsBy
Drugmaker Lupin paced retreat of stocks in health-care index
NSE Nifty 50 Index’s weekly decline most in nearly six months
Indian shares declined, led by drugmakers, as the benchmark Sensex gauge capped its biggest weekly drop in two months.
The S&P BSE Sensex fell 0.1 percent to 31,056.40 at the 3:30 p.m. close in Mumbai, extending its loss this week to 0.7 percent, the steepest since April 16. The NSE Nifty 50 Index rose 0.1 percent for the day, but retreated 0.8 percent this week, the most since December.
Drugmaker Lupin Ltd. paced decline among Sensex companies, dropping 4.3 percent, after a rival received a U.S. Food & Drug Administration approval for a competing oral suspension. Tata Motors Ltd. advanced 1.6 percent, the most since May, after it said Warburg Pincus LLC will buy a stake in a unit for $360 million.
India’s economy may receive support from better-than-normal rainfall since the start of the month that might help rural areas, while a uniform national sales tax is scheduled to begin July 1.
“It has become a very stock-specific market now and it will continue to trade in a tight range until there is a trigger,” said Sushant Kumar, a fund manager at RAAY Global Investments Pvt. in Mumbai. The monsoon and the new national sales tax are the two near-term factors that will drive stocks, he said.
Five of the 13 sector indexes compiled by BSE Ltd. retreated, led by the S&P BSE Healthcare Index’s 1.5 percent drop. The S&P BSE Fast Moving Consumer Goods Index was the best performer, rising 0.6 percent.
- Hindustan Petroleum Corp. climbs 2.2% as its expanded Bathinda refinery will restart by month-end
- IIFL Holdings Ltd. falls 3% as it was removed from NSE Nifty 500, Nifty Midcap 150 indexes
- Ipca Laboratories Ltd. slides 8.1%, most on S&P BSE 200 Index, after FDA bans U.S. sale of drugs made at three company plants