Bloomberg Markets – Asia’s Best Stock Market Faces Earnings Hiccup on New India Tax

Earnings are not expected to recover until December. India’s S&P BSE Sensex has risen 20% this year as foreign cash flooded the market.

July 12, 2017

‘The rally that’s made India the best-performing stock market in Asia is up against a new tax law.

Businesses were forced to adjust inventories as the government slotted goods and services into nationwide tax slabs that became effective July 1. The juggling, along with lower oil prices, means the almost 130 companies tracked by Citigroup Inc. will post a 12 percent decline in quarterly profits in the three months ended June, according to the brokerage.’

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