India’s benchmark Sensex index actually neared three month highs:
All but seven shares on the 30-member S&P BSE Sensex Index climbed, led by mortgage lender Housing Development Finance Corp. Ltd., which advanced the most since October 2015. Wipro Ltd. dropped 1.6 percent, the most in almost three weeks, becoming the worst performer in the gauge. The company’s third-quarter net income and revenue, which it reported after market closed, beat estimates.
After performing quite well for much of 2016, India’s markets were roiled in the final two months of the year amid a government crackdown on large denomination bills and a rumored limit on gold holdings as well. The country’s economy quickly tanked as a result, but investor optimism has clearly returned here in the new year.
India-focused ETFs are responding positively as well, making them more and more attractive for investors looking for emerging markets exposure. The iShares MSCI India ETF (BATS:INDA) was trading at $28.22 per share on Wednesday morning, up $0.3 (+1.07%). Year-to-date, INDA has gained 5.26%, versus a 2.41% rise in the benchmark S&P 500 index during the same period.
Meanwhile, the WisdomTree India Earnings Fund ETF (NYSE:EPI) was trading at $21.29 per share on Wednesday morning, up $0.18 (+0.85%). Year-to-date, EPI has gained 5.40%, versus a 2.40% rise in the benchmark S&P 500 index during the same period.