Party searches soul after defeat

Loss at the polls may severely hinder the prime minister's political agenda

Indian financial markets took fright on Monday because of the defeat suffered in a pivotal state election by Prime Minister Narendra Modi and his party, whose leaders are expected to meet amid calls for a rethink of policies and priorities.

Modi was due to huddle later with a dozen senior colleagues of his Hindu nationalist party, including its President Amit Shah, Finance Minister Arun Jaitley and Home Minister Rajnath Singh, party and government officials said.