BENGALURU, Nov 30 (Reuters) - Indian shares ended lower in a
highly volatile trading session on Tuesday, as concerns over the
Omicron coronavirus variant wiped out positive sentiment
surrounding expectations of strong gross domestic product data
later in the day.
The blue-chip NSE Nifty 50 index ended 0.41% lower
at 16,983.20 and the benchmark S&P BSE Sensex fell
0.34% to 57,064.87. Both indexes hit their first monthly drop in
seven, falling more than 3%.
Economists have projected GDP data, due at 1200 GMT, will
show an 8.4% year-on-year growth in the July-September period,
according to a Reuters poll last week, the fastest pace among
major economies, vs a 7.5% contraction in the same quarter last
However, domestic markets were weighed down by volatility in
the global markets after the chief executive of U.S. drugmaker
Moderna warned COVID-19 vaccines are unlikely to be as
effective against the variant.
The warning triggered a fall in world share markets and a
scramble to safer currencies and bonds on Tuesday.
"There aren't many India-specific factors of concern, but
the new variant is making markets follow global trends," said
Anita Gandhi, director, Arihant Capital Markets.
Most major sub-indexes were trading lower after opening up,
with only the Nifty IT and pharma indexes
bucking the wider trend, ending the session up 0.5% and 0.1%
Metals and auto stocks led the drag
on the blue-chip index, falling 1.94% and 0.94% respectively.
Among individual stocks, Tata Steel Ltd and Kotak
Mahindra Bank were the bottom performers.
"The optimism (of the market) was quickly substituted with a
sudden sell-off in the domestic market as global equities
slipped into negative territory following Omicron experts'
advice to be cautious," Vinod Nair, head of research at Geojit
Financial Services, said in a note.
India's economic data is expected to show recovery
strengthened in the July-September quarter helped by a pick-up
in consumer spending.
(Reporting by Vishwadha Chander in Bengaluru; Editing by
Subhranshu Sahu and Shailesh Kuber)