India's Bajaj Auto slumps 12% on festive sales caution, drags broader market
India's third-biggest motorcycle maker by sales said festive sales of motorcycles had grown only about 1%-2% so far this month, falling short of market expectations of 5%-6%. This indicated that the season, which runs from October to November and when Indians generally make big-ticket purchases, would see sales growth of just 3%-5%, well below industry expectations of at least 8%. The warning by Bajaj, the first automaker to report its results, weighed on the broader market, which fell 0.7%, as the forecast all but confirmed that high inflation, especially in food prices, forced consumers to limit expensive purchases in the roughly month-long season that started in early October.