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Sensex Drops Over 100 Points

NSE Nifty was down 0.2% at 11,663.65 as of 0428 GMT, while the benchmark BSE Sensex was 0.18% lower at 39,143.96.

Photo Credit : Subhabrata Das

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Indian shares slipped after three sessions of gains on Thursday, dragged by a near 20% drop in Yes Bank Ltd after it reported a poor quarter and top brokerages slashed price targets.

Broader Asian shares were also under pressure after Wall Street stocks dropped on signs that the U.S.-China trade war could hurt corporate earnings. 

Locally, the NSE Nifty was down 0.2% at 11,663.65 as of 0428 GMT, while the benchmark BSE Sensex was 0.18% lower at 39,143.96.

Only 13 of the NSE's 50 stocks were trading in the green by 0428 GMT.

Private-sector lender Yes Bank fell as much as 19.6% to a March 2014 low in heavy trading volumes.

The bank reported a bigger-than-expected 91% drop in quarterly profit on Wednesday as provisions surged, prompting brokerages including Jefferies and JP Morgan to slash their price targets on the stock.

IT firm Mindtree Ltd plunged 10.6% after it posted a 41% drop in quarterly profit.

Share of CARE Ratings Ltd fell 5.1%, their sharpest intraday drop in over 10 weeks, after the rating agency sent Chief Executive Officer Rajesh Mokashi on leave pending an inquiry.

Meanwhile, Punjab & Sind Bank became the third Indian lender to flag a fraud in the account of indebted Bhushan Power & Steel Ltd, sending its shares 6.4% lower.

Wipro Ltd limited the losses on the NSE Nifty, rising as much as 3.3% after clocking a 13% rise in profit due to robust demand from its financial clients, and said its main information technology business could show modest growth in the current quarter.

However, several analysts - Nomura, Jefferies, Morgan Stanley, Investec and Kotak - called Wipro's numbers weak or disappointing.

(Reuters)


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