Indian shares end week lower as higher crude tempers risk appetite

Business Recorder reported that Indian equity benchmarks closed lower for the week, ending a run of two weekly gains as uncertainty in the Middle East and elevated crude prices weighed on investor appetite. The Nifty 50 slipped 0.8 per cent to 24,366, while the BSE Sensex declined 0.6 per cent to 78,009.25. Both indices were little changed on Friday itself.

Brent crude rose 4.6 per cent to $87 a barrel over the week, as peace talks between the United States and Iran to end a months-long conflict made little headway. Washington said it could keep a naval blockade of Iran for an indefinite period and increase economic pressure on Tehran. Pankaj Pandey of ICICI Securities said that macroeconomic worries linked to higher oil prices meant the market was unlikely to move in one direction.

Fifteen of the 16 major sectors declined, with metals leading the losers after a 1.9 per cent drop, while heavyweight financials lost 1 per cent. Reliance Industries fell 1.9 per cent after MSCI announced a lower weight for it in a periodic index review, and Tata Motors Passenger Vehicles dropped 4.3 per cent after its quarterly profit fell about 80 per cent. Other Asian markets, by contrast, were on track for their best week in two months.