Indian stocks fall over 1% on global growth fears

Indian shares fell on Monday in broad based selling, tracking Asian peers, as investors shunned equities on renewed worries over economic growth in the face of a high-interest rate environment.

Indian stocks fall over 1% on global growth fears
A man stands in front of a screen displaying news of markets updates inside the Bombay Stock Exchange (BSE) building in Mumbai, India, January, 3, 2020. REUTERS/Francis Mascarenhas/

BENGALURU, Sept 26 (Reuters) - Indian shares fell on Monday in broad-based selling, tracking Asian peers, as investors shunned equities on renewed worries over economic growth in the face of a high-interest rate environment.

The NSE Nifty 50 index fell 1.3% at 17,109.75 as of 0352 GMT, while the S&P BSE Sensex dropped 1.4% to 57,314.26.

The sterling slumped to a record low on Monday as investors piled into dollars and out of almost everything else, spooked by the prospect of high-interest rates and poor growth ahead.

Last week, the United States and half a dozen other countries raised interest rates.

The Reserve Bank of India is set to raise interest rates again this week with a slim majority of economists in a Reuters poll expecting a half a percentage point hike and some others expecting a smaller 35 basis point rise.

Reporting by Nallur Sethuraman in Bengaluru; Editing by Savio D'Souza and Dhanya Ann Thoppil