India’s Sensex snaps 3-day winning run

Bloomberg

India’s equities benchmark snapped a three-day winning streak, tracking declines in global stocks, as investors assessed the potential fallout of an impeachment inquiry of US President Donald Trump.
The S&P BSE Sensex dropped 1.3 percent to 38,593.52 at the 3:30 pm close in Mumbai, while the NSE Nifty 50 Index also fell by the same magnitude.
Both gauges surged more than 8 percent in the three sessions through Tuesday after India’s government lowered the corporate tax rate. Global stocks fell on Wednesday after US House Speaker Nancy Pelosi said a formal impeachment inquiry will be opened on Trump.
India remains the most expensive market in emerging Asia even as analysts
increased earnings estimates for the benchmark gauges by as much as 10 percent to factor in the lower tax burden, according to Bloomberg data.
“We prefer to remain cautious at higher levels,” Ajit Mishra, vice president of research at Religare Broking, said. “Indian benchmark indices are trading near peak valuations and sustainability at this level is essential.”