MSCI blames technical issue for sudden plunge in India Index

Global index provider MSCI Inc. Incorrect pricing caused by a technical problem was cited as the reason for the sudden drop in the India gauge on Friday.

“Due to a technical issue, the opening price of the securities in the MSCI India index was incorrect,” Melanie Blanco, president of external communications, the Americas, wrote in an email response to questions from Bloomberg News. “The price has since corrected.”

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The MSCI India index was down 9% at midday local time even as the Nifty 50, the benchmark for India’s national stock exchange, was down about 1%. The MSCI gauge of Asian stocks as well as the MSCI Emerging Markets Index extended losses around the same time.

“MSCI is evaluating any impact related to real-time indicators,” Blanco wrote in her reply.