Indian shares extend losses after Tuesday’s selloff; rupee slumps to record low
Indian shares fell on Wednesday, extending losses after their steepest drop in over eight months in the previous session, as global trade and geopolitical woes continued to fuel foreign selling. The Nifty 50 fell 0.3% to 25,157.5 while the BSE Sensex eased 0.33% to 81,909.63, both logging fresh three-month lows. The indexes fell 1.4% and 1.3% on Tuesday. Asian stocks extended losses to a third session amid mounting tensions over President Donald Trump’s threats to acquire Greenland and reignite a trade war with the European Union. Weak domestic earnings, marked by misses from heavyweights such as Reliance Industries and ICICI Bank, and foreign outflows have also dragged Indian shares. Twelve of 16 major sectors logged losses. The small- and mid-caps lost 0.9% and 1.1%, respectively, to close at eight-month and three-month lows. “A wave of global turbulence has washed over domestic equities, dragging markets lower, not because of weakening fundamentals at home, but due to a dramatic shift in global risk appetite,” said Deven Choksey, managing director at DRChoksey FinServ. “As U.S. bond yields rise and geopolitical tensions escalate, fueled by fresh tariff threats, investors worldwide are racing to de-risk their portfolios, unleashing a renewed bout of foreign outflows from India”.