Sensex falls; ICICI, Tata Motors down

Reuters Market Eye - The BSE Sensex is down 0.4 percent, while the Nifty falls 0.3 percent. ICICI Bank falls 3.4 percent, while HDFC Bank and Axis Bank are down 1.3 percent and 1 percent respectively, as the finance ministry and RBI investigate allegations of money laundering practices at top private sector lenders.

Meanwhile, Goldman Sachs said in a report that the allegations, if proven, could slow growth for private sector lenders in India. (Read story http://in.reuters.com/article/2013/03/15/india-banks-moneylaundering-probe-idINDEE92E02S20130315)

S&P's comments that the economic support for India's sovereign ratings has weakened "somewhat" given the sluggish growth in Asia's third-largest economy, is also having an impact on rate-sensitive stocks. (Read story http://in.reuters.com/article/2013/03/15/india-ratings-sp-idINDEE92E04Q20130315)

 

Among other rate-sensitive stocks, DLF Ltd falls 2.8 percent, while Tata Motors Ltd is down 2.5 percent.

(Reporting by Abhishek Vishnoi)