Indian shares snap 3 sessions of gains; metal stocks weigh

BENGALURU: Indian shares settled lower on Wednesday after three straight sessions of gains, as worries of a global recession weighed on investor sentiment.

The broader NSE index closed down 0.53% at 11,046.10, while the benchmark BSE index ended 0.5% lower at 37,451.84.

A unit of Fitch Ratings, India Ratings and Research, lowered its FY20 gross domestic product (GDP) growth forecast for the country to 6.7% from 7.3%, souring domestic sentiment.

GDP data for the April-June quarter is due on Friday, and the economy likely expanded at its slowest pace in more than five years during the period, driven by weak investment growth and sluggish demand, according to a Reuters poll.

On the NSE index, Yes Bank Ltd was the top loser, closing 7.75% lower after Moody's downgraded the lender's long-term foreign-currency issuer rating to 'Ba3' from 'Ba1' and set outlook at negative.

The Nifty metals index ended down 3.36% with all the 14 constituents in the red, while the Nifty auto index fell by 2.34%.

IT stocks were among the few gainers on the NSE index with the Nifty IT index settling 1.31% higher.