Markets have erased early gains in the wake of disappointing industrial output data that fell to negative 0.4 percent in September as against 2.3 percent in August and expectations of 3.2 percent due to degrowth in capital goods, consumer goods and manufacturing sectors. Even the August IIP revised to 2.3 percent as against 2.7 percent (provisional).
Capital goods sector grew minus 12.2 percent in September as against minus 6.5 percent in a year ago period while manufacturing growth was minus 1.5 percent as against 3.1 percent. Consumer goods sector fell to minus 0.3 percent from 5.7 percent YoY.
Steel producer Tata Steel extended losses to 2 percent following lower than expected results in second quarter.