scorecardresearchMarket Opening: Shares open lower on weak China data, growth fears

Market Opening: Shares open lower on weak China data, growth fears

Updated: 03 Jan 2023, 09:43 AM IST
TL;DR.
The Nifty 50 index was down 0.20% at 18,162.50 as of 9:20 a.m. IST, while the S&P BSE Sensex fell 0.16% to 61,073.67.
In India, there are two predominant stock exchanges namely BSE and NSE.

In India, there are two predominant stock exchanges namely BSE and NSE.

(Reuters) - Indian shares opened lower on Tuesday as weak economic data from China fuelled fears that a rapid spread of COVID-19 cases in the world's second-largest economy could weigh on both its economy as well as global growth.

The Nifty 50 index was down 0.20% at 18,162.50 as of 9:20 a.m. IST, while the S&P BSE Sensex fell 0.16% to 61,073.67.

Recent data showed that China's factory activity contracted at a sharper pace in December – to a three-year low, according to official data – as COVID-19 infections slammed production lines and demand after Beijing eased stringent curbs.

However, Asian markets recovered from a weak open, with the MSCI Asia ex-Japan index last up 0.45%. [MKTS/GLOB]

Capping the losses in domestic equities are oil prices, which fell on global growth concerns after International Monetary Fund predicted a tougher 2023 for the global economy. [O/R]

Lower oil prices aid oil-importing countries like India, where crude constitutes the bulk of the country's import bill.

Most of the major sectoral indexes logged losses, at the open.

Thirty-six of Nifty 50 constituents declined, with heavyweight Reliance Industries, Hindustan Unilever, Sun Pharma and Britannia falling 0.5%.

Among individual stocks, Zomato lost over 3%, after its co-founder and chief technical officer Gunjan Patidar resigned.

First Published: 03 Jan 2023, 09:43 AM IST