Sensex ends strong year with worries about momentum

The Sensex posted its worst monthly fall two years, raising concerns that a strong rally that saw indexes surge in the financial year was waning due to concerns about stock valuations and a more gradual economic growth. For the month, the Sensex fell 4.8 per cent, its worst monthly performance since February 2013. The Nifty lost 4.6 per cent, its biggest decline since August 2013. The falls provided a weak end to a stellar year for Indian shares as the Sensex gained 24.9 per cent in 2014-15, its best since 2009-10, while the Nifty rose 26.7 per cent. Although hopes remain strong on the ability of the Narendra Modi-led government to revive growth in Asia's third-largest economy, investors are also growing concerned that improvements might take longer than expected.