MUMBAI (Reuters) - Indian shares fell about 1 percent on Friday to their lowest close in two months, as fears of a China-led deceleration in global growth and escalating tension between South Korea and North Korea gripped markets.
The BSE Sensex ended 0.88 percent lower and the Nifty closed down 0.87 percent, marking their lowest close since June 19.
Indian shares recovered from the day's lows on media reports that the government was in favour of giving relief to foreign investors straddled with minimum alternate tax claims prior to April 1.
For the week, the BSE Sensex ended 2.5 percent lower, while the Nifty lost 2.57 percent.
(Reporting by Karen Rebelo; Editing by Subhranshu Sahu)
