By RTT News, October 17, 2013, 07:49:00 AM EDT
(RTTNews.com) - Indian shares fell on Thursday, with IT stocks pacing the decliners after the standoff over U.S. fiscal issues has been postponed until a later date rather than solved. The legislation signed by U.S. President Barack Obama extends government financing until January 15 and averts default until February 7, leaving the risk of another government shutdown early in 2014.
TCS slumped 5.3 percent and HCL Technologies retreated over 7 percent despite posting better-than-expected quarterly earnings, while Infosys, Wipro and Tech Mahindra fell 3-4 percent.
Capital goods, auto and realty stocks also fell notably, while consumer durable, oil/gas and FMCG stocks saw stock-specific buying. The benchmark Sensex ended a choppy session down 132 points or 0.64 percent at 20,416, while the broader Nifty index fell 43 points or 0.71 percent to 6,046.
Larsen and Toubro tumbled 4.1 percent ahead of its results due on Friday. Tata Motors, India's largest automaker, shed 4 percent while financials HDFC and ICICI Bank lost about a percent each.
Hindalco closed 0.9 percent lower after the CBI named Group chairman Kumar Mangalam Birla in connection with the coal block allotment scam.
Telecom major Bharti Airtel led the gainers in the Sensex pack, rising nearly 3 percent, while Hero MotoCorp, Reliance Industries, ITC, Bajaj Auto and ONGC rose 1-2 percent.
The other Asian markets rose broadly, with gains capped due to the temporary nature of the last-minute deal reached by the members of the U.S. Senate to end the government shutdown and increase the debt ceiling. European stocks fell from a five-year high on profit taking as investors digested mixed earnings reports.
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