Indian Shares Close Lower

The BSE Sensex cut early gains to close 170 points lower at 60,090 on Monday, nearly erasing the slight gains from last week as losses for banks offset gains for tech companies.

HDFC Bank shares fell nearly 1% after its Q3 results showed that growth in loans and deposits moderated further, adding to concerns for the sector flagged in Wall Street in the prior session.

Reopening hopes from China also drove investors to reallocate capital out of India, with Refinitiv data showing that foreign portfolio investors sold INR 150.7 billion rupees since the start of the year.

In the meantime, the country’s business confidence index for the fourth quarter rebounded to its highest in nearly two years.