Market drifts higher on opening

Key indices opened higher on positive Asian stocks. At 9:15 IST, the barometer index, the S&P BSE Sensex, was up 113.64 points or 0.28% at 41,052.36. The Nifty 50 index was up 36.80 points or 0.31% at 12,090.75.

The S&P BSE Mid-Cap index was up 0.25%. The S&P BSE Small-Cap index was up 0.14%. Both these indices underperformed the BSE Sensex.

The market breadth, indicating the overall health of the market, was positive. On the BSE, 224 shares rose and 665 shares fell. A total of 25 shares were unchanged.

Among stocks, RIL was up 0.15%. RIL said it has signed a definitive agreement with BP relating to the formation of new Indian fuels and mobility joint venture. This follows the initial heads of agreement signed in August this year. The venture is expected to be formed during the first half of 2020. The new venture will include an India-wide fuels retail service station network and aviation fuel marketing business.

Indiavidual Learning Private Limited, a subsidiary of RIL has acquired equity shares of eDreams Edusoft Private Limited for a cash consideration of Rs 71.64 crore representing 90.5% holding in the equity share capital of Funtoot.

Cipla rose 1.43%. Cipla said it has acquired the brand name and trademark rights for Vysov & Vysov M (Vildagliptin + Metformin) of the anti-diabetic drug, Vildagliptin for the Indian market. The company has been co-marketing Vildagliptin in agreement with Novartis under brand names Vysov & Vysov M and has witnessed a strong uptake for the product in India for the last couple of years.

IRB Infrastructure Developers was down 0.584%. IRB Infrastructure Developers approved the allotment of Secured, Redeemable, Unlisted Non-Convertible Debentures (NCD) amounting to Rs 1,400 crore on a private placement basis. NCDs will bear current interest rate of 11.75% per annum; 50% of this issue has been subscribed by GIC affiliate and balance 50% by IRB's subsidiary-limiting net external borrowings to Rs 700 crore.

Shriram Transport Finance fell 2.13%. Shriram Transport Finance said S&P Global Ratings has revised the outlook to 'Negative' on Weaker Economic Conditions from 'Stable'. According to S&P Global Ratings weaker economic activity is likely to affect commercial vehicle utilization in India. The negative outlook reflects a one-in-three chance that it will lower the rating within the next 12 months or so.

NIIT Technologies jumped 2.99%. NIIT Technologies said the meeting of board of directors of the company will be held on Monday, December 23, 2019, to consider the proposal for Buy-Back of the fully Paid-up Equity Shares of the company.

Overseas, Asian markets were trading with minor gains on Tuesday due to lack of detail about the Sino-US trade deal, which tempered some of the exuberance that sent Wall Street to record highs overnight.

In US, stocks ended Monday's session at new records amid an upbeat tone tied to a preliminary US-China trade deal struck last week, even while questions remain over the details of the long-awaited phase-one accord.

In US economic data, the Markit purchasing managers survey for the manufacturing sector was down a touch to 52.5 in December, from 52.6, but the services sector gauge came in at 52.2, from 51.6. Any number above 50 represents a pickup in economic activity.

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