Indian shares slide to two-week closing low

NEW DELHI, Dec 12 (Reuters): Indian shares slipped 2.12 per cent to a two-week closing low Monday after a sharper-than-expected fall in the country's October industrial output compounded concerns over slowing economic growth. The 30-share BSE index closed 343.11 points down at 15,870.35, its lowest closing level since November 25. All but three of its components declined. The index fell as much as 2.3 per cent during the day. "The fear is now turning into reality...The data shows that the India growth story is perhaps just a story," said Jagannadham Thunuguntla, research head at SMC Global Securities. Industrial output fell for the first time in more than two years in October as waning consumer demand took a toll. The output plunged by 5.1 per cent, far worse than a median forecast for a 0.5-per cent drop in a poll. Last week, India sharply cut its economic growth forecast for the current fiscal year ending in March to between 7.25 per cent and 7.75 per cent from its original estimate of 9 per cent.