Markets hit after S&P cuts India outlook to negative

Indian bond yields rose, while the rupee and stocks fell after ratings agency Standard & Poor's cut its outlook on the country to "negative" sparking fears it would lead to an actual ratings downgrade.

India's 10-year bond yield rose 4 basis points to 8.63%, while the rupee fell to 52.64 against the dollar from 52.48 before the action.

Domestic stocks were also hit, with the main BSE Sensex down 0.9%.

Copyright: Thomson Reuters 2012