Stocks in India fall as investors mull detail of stimulus

Bloomberg

India stocks fell, retreating from Wednesday’s biggest gain in almost two weeks, as investors mulled the detail of a government stimulus package aimed at spurring the economy.
The S&P BSE Sensex dropped 1.3% to 31,593.08 as of 9:34 am in Mumbai, while the NSE Nifty 50 Index lost 1.2%.
Almost half of the $265 billion rescue package — equivalent to 10% of gross domestic product — comprises monetary measures announced since February, with an additional $72 billion offered on Wednesday in credit lines to small firms, shadow banks and electricity distributors.
“There won’t be free money in the hands of companies and taxpayers,” said Deven Choksey, a strategist at KR Choksey Investment Managers Pvt. in Mumbai. “The stimulus largely consists of loans at some point in time.”
As quarterly earnings season continues, of the 15 Nifty 50 companies that have reported results so far, only Shree Cements Ltd. has beaten analyst estimates and few have provided outlooks.
Sixteen of 19 sector sub-indexes compiled by BSE Ltd. fell, led by a gauge of IT companies.
Tech giant Infosys Ltd. contributed most to the index decline and had the largest move with a 2.3% fall; Bajaj Finance Ltd. was the biggest gainer, climbing 2%.