Indian stocks are down more than 1% as IT and banks take a hit

Early Thursday, Indian stocks fell more than 1%, dragged down by losses in information technology and banks, while a government decision to raise taxes on fuel exports and domestic crude hammered energy stocks.

As of 0351 GMT, the NSE Nifty 50 index NSE

NIFTY was down 1.2% at 17,552, while the S&P BSE Sensex (.BSESN) was down 1.23% at 58.806.99. Nifty IT index NSF:CNXIT fell 1.7%.

Furthermore, the bank index fell 0.9%. 

The Indian government raised taxes on aviation, diesel fuel exports, and domestic crude oil late Wednesday, dragging the NSE:CNXENERGY index down 1%.

SpiceJet NSE:SPICEJET shares fell up to 14.7% after its chief financial officer resigned, as the low-cost carrier reported a larger quarterly loss and faced increased scrutiny over mid air incidents.

Meanwhile, India’s economy expanded at its fastest rate in a year, 13.5% year on year, in the April-June quarter, though economists warn that growth may slow in the coming quarters as higher interest rates cool economic activity.