Sensex, Nifty slip as United States widens trade war to Europe; Yes Bank recovers

Reuters
Bengaluru, India Published: Oct 03, 2019, 10.41 AM(IST)

File photo. Photograph:( Reuters )

Story highlights

The United States said on Wednesday it would slap tariffs on Europe-made planes, liquor, and cheese as punishment for illegal EU aircraft subsidies.

Indian stocks followed their Asian peers lower on Thursday, as the United States said it would slap tariffs on European goods, adding to slowdown worries at a time when the US-China trade war is already hurting global economic growth.

The United States said on Wednesday it would slap tariffs on Europe-made planes, liquor, and cheese as punishment for illegal EU aircraft subsidies.

The move follows tariffs levied by the United States and China on hundreds of billions of dollars of each other's goods in their more than year-old trade war, which has disrupted supply chains and weighed on global markets.

MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.63 per cent by 0427 GMT.

India's broader NSE Nifty was down 0.30 per cent at 11,325.60, while the benchmark BSE Sensex had fallen by 0.32 per cent to 38,183.36.

While metal stocks led Indian stock indexes lower, shares in lender Yes Bank recovered after a bruising fall to a more than one-decade low earlier this week.

The Nifty metals index fell 2.35 per cent, with Hindalco Industries Ltd declining the most down 4.5 per cent

Yes Bank shares rose 22.5 per cent and were on course for their best one-day gain in six months after Chief Executive Officer Ravneet Gill said before the opening bell that the lender was on a firm financial footing.

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