MARKET WRAP: Benchmarks end flat, mid-caps tumble; Bharti Airtel surges 4%
All that happened in the markets today
 "Markets, Investors, Indices, Stocks")
Weak gross domestic product (GDP) print for September quarter, and dip in auto sales figures after festive season weighed on investor sentiment on Monday, as market players chose to remain on the sidelines in the lacklustre trade. Index heavyweights like Bharti Airtel and Reliance Industries, which ended 4 per cent and 2 per cent higher, respectively, however, provided some support to an otherwise weak market.
The benchmark S&P BSE Sensex closed 8.36 points, or 0.021 per cent, higher at 40,802.17 levels, with Bharti Airtel being the top gainer, and YES Bank being the top drag. The Sensex touched an intra-day high and low of 41,093.99 and 40,707.63, respectively.
On the NSE, the broader Nifty50 index held the psychological mark of 12,000, and closed at 12,048.20, down 7.85 points or 0.065 per cent.
Sectorally, Nifty Auto and IT indices slipped the most, down nearly a per cent. Nifty Metal index, however, managed to close 0.27 per cent higher.
In the broader market, mid-caps declined the most. The S&P BSE mid-cap index settled 116.65 points, or 0.77 per cent, lower at 14,968.21 levels. The S&P BSE small-cap index, on the other hand, closed at 13,508.22 level, down 52.35 points, or 0.39 per cent.
BUZZING STOCKS
Shares of telecom services providers rallied up to 10 per cent on the BSE in the early morning deals on Monday on the back of tariff hike plan. Bharti Airtel surged 10 per cent to Rs 486, also its fresh 52-week high on the BSE. Reliance Industries (RIL), the parent company of Reliance Jio, hit a new high of Rs 1,614, up 4 per cent, while Vodafone Idea (VIL) soared 24 per cent to Rs 8.44 on the BSE. READ MORE
On the other hand, auto stocks slipped in the trade after data showed sales of passenger vehicles in November declined after increasing in the previous month. Maruti Suzuki India (MSI) was trading over a per cent lower while Bajaj Auto and Hero MotoCorp were down around half a per cent.
GLOBAL CUES
Stock markets rebounded on Monday as decent manufacturing data in China and renewed optimism over a trade deal eroded some of the jitters which emerged among investors last week. The recovery in Europe followed gains in Asia, where share prices again approached record highs as investors stuck with bets that a trade deal between the United States and China is imminent.
Japan's Nikkei index settled over 1 per cent higher, and South Korea's Kospi ended 0.19 per cent higher. Moreover, the Euro STOXX 600 rose 0.26 per cent, while the German DAX was 0.23 per cent higher. French and British shares were also climbing.
(With inputs from Reuters)
(With inputs from Reuters)
3:40 PM
Sectoral trends at NSE at close
3:39 PM
Top gainers and losers on S&P BSE Sensex during at close
3:38 PM
Closing Bell
The benchmark S&P BSE Sensex closed 8.36 points, or 0.021 per cent, higher at 40,802.17 levels, with Bharti Airtel being the top gainer, and YES Bank being the top drag. The Sensex touched an intra-day high and low of 41,093.99 and 40,707.63, respectively.
On the NSE, the broader Nifty50 index held the psychological mark of 12,000, and closed at 12,048.20, down 7.85 points or 0.065 per cent.
3:26 PM
Expert Comment :: RBI Policy expectations | Suvodeep Rakshit, Vice President & Sr. Economist, Kotak Institutional Equities
Compared to its October estimates, the MPC will need to revise lower its FY2020 GDP estimate even as it possibly revises up the near term inflation outlook. We note that GDP growth print is around 80 bps lower and 2HFY20 GDP growth could be around 150-200 bps lower than RBI’s current estimates. On the other hand, CPI inflation could be around 100-150 bps higher than RBI’s estimate for 3QFY20. The December policy will, in some sense, test the “flexible” portion of the flexible inflation targeting framework. We believe that given the transient nature of food prices, and the sustained decline in core inflation, the MPC will likely continue to focus on the output gap and growth outlook. We maintain our call for 25 bps reduction in the repo rate to 4.9% in the December policy to continue providing support to growth.
3:18 PM
Expert Comment :: Anusha Raheja, BFSI Research Analyst at LKP Securities on Ujjivan SFB IPO
Ujjivan is a play on the MFI growth story. So far, it has effectively managed to grow assets with decent asset quality profile. However, going forward trajectory of business model will change with buildup of non-MFI loans and ramp of retail liabilities which shall be an uphill task for the new management in the wake of tough competition in the market space. Also, the bank will have to reduce down the promoter stake further to 40% over the next 2 years from levels of 84% post IPO as per RBI guidelines which will be a hangover in the medium term. In this backdrop, in our view, the bank is not likely to trade at higher multiples. Our back of the envelope calculation suggests, the bank is trading at 1.6x FY22e. Given reasonable valuations, we recommend ‘SUBSCRIBE’ to the issue
3:12 PM
Eicher Motors shares dip 5% on disappointing November sales data
Shares of Eicher Motors dipped 5 per cent to Rs 21,853 intra-day on BSE on Monday as investors booked profit after the company reported disappointing motorcycle sales in November 2019. The company that manufactures the iconic Royal Enfield (RE) brand of motorcycles which leads the premium motorcycle segment in India recorded 8 per cent drop in total two-wheeler sales at 60,411 units in November 2019. READ MORE
3:09 PM
Sector Watch | Nifty Metal index trades higher in weak market
3:00 PM
S&P BSE Midcap index under performs Sensex
2:49 PM
Vodafone Idea will continue to face multiple challenges despite price hike
The price hikes announced by telecom operators in their pre-paid plans was higher than what most analysts expected, leading to a sharp rally. Vodafone Idea and Bharti Airtel gained 5-16 per cent in trade while Reliance Industries was up 2.5 per cent. The new plans across segments announced by Bharti Airtel and Vodafone Idea are higher on an average by 30 per cent and come in to effect on December 3.
This should help increase their blended average revenue per user by Rs 30 and their annual operating profit in the range of Rs 7,000-Rs 9,500 crore each. Given the sharp increase and the smaller base, Vodafone Idea will see a bigger boost than the other players. READ REPORT HERE
2:37 PM
NEWS ALERT | RBL Bank may launch QIP of Rs 1,600 today
- Floor price may be set near Rs 350
2:34 PM
IPO UPDATE | Ujjivan SFB offer subscribed 80% so far on Day 1
2:31 PM
» More on 52 Week High
Stocks that hit 52-week high on S&P BSE Sensex
| COMPANY | PRICE(rs) | 52 WK HIGH | CHG(rs) | CHG(%) |
|---|---|---|---|---|
| AAVAS FINANCIERS | 1749.05 | 1880.00 | -19.10 | -1.08 |
| ADANI GREEN | 131.80 | 138.85 | -5.40 | -3.94 |
| ADANI TRANSMISSI | 331.50 | 341.40 | 21.80 | 7.04 |
| ASTRAZENECA PHAR | 2750.80 | 2820.20 | 105.10 | 3.97 |
| BHARTI AIRTEL | 461.90 | 485.75 | 19.60 | 4.43 |
2:18 PM
Piramal Capital borrows Rs 1,100 crore for 4 months from Barclays: Report
While the rate of interest is 7.5 per cent on the four-month loan deal signed last week between Piramal Capital & Housing Finance Ltd. and the British bank, the blended annualized cost, including the fee, is higher than 10 per cent, the people said, asking not to be named as the information is not public. READ MORE
2:06 PM
MARKET CHECK
1:57 PM
YES Bank extends losses
Topics : Markets MARKET WRAP
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First Published: Dec 02 2019 | 7:28 AM IST