Wall Street equities closed sharply lower overnight on soft economic data and disappointing earnings. U.S. Consumer confidence fell to a nine-month low in April, a survey showed, intensifying concerns of a potential recession. Asian markets remained subdued. "The rate hike cycle in the US and European nations is likely to continue, which may further push key economies into a slowdown phase," said Shrikant Chouhan, head of equity research (retail) at Kotak Securities. Analysts expect volatility in domestic equities over the next few sessions ahead of the April series derivatives expiry on Thursday and the U.S. Federal Reserve rate decision on May 3. The odds of a 25-basis point rate hike stand at 79.3%. Among individual stocks, automotive components supplier Mahindra CIE Automotive Ltd jumped over 9% after reporting a 73% year-on-year rise in net profit in the March quarter. Stove Kraft Ltd climbed nearly 4% after Emerging Business Fund bought a 0.91% stake in the kitchen appliances maker on April 25 through bulk deals. On the flip side, cigarettes maker VST Industries Ltd lost 4% on reporting a more than 21% fall in net profit in the fourth quarter.
($1 = 81.8790 Indian rupees)
(Reporting by Bharath Rajeswaran in Bengaluru; Editing by Varun
H K and Janane Venkatraman)
