You are here: Home » Markets » News » Market Update
Business Standard

Markets end flat, ADAG shares tumble

SI Reporter  |  Mumbai 

The ended a choppy session of trade on a flat note following weak cues from Asia, losses in the ADAG pack post the Sebi action and softness in realty and capital goods. The Sensex was up 21points at 18,882 and the Nifty was up 0.2 points at 5655.

The Sensex opened marginally higher at 18,911 and traded in a 330 points range. Elsewhere in Asia, China's Shanghai Composite was down 3%, at 2,707 led by losses in financials after the government unexpectedly raised reserve requirement for banks by 50 bps on Friday. Hong Kong's Heng Seng fell 0.5%, at 24,156, mainland Chinese banks and property developers weighed. Japan's Nikkei Stock Average ended flat at 10,500 and South Korea's Kospi Composite fell 0.4%, at 2,099.

Back home, the ADAG (Anil Dhirubhai Ambani Group) shares were beaten badly; Reliance Infra slipped 7.5%, Reliance Capital fell 6.2%, Reliance Power dipped 6.1% and Reliance Communication was off 4.8% after the Securities and Exchange Board of India (SEBI) issued an order on Friday asking the AGAG firms (Reliance Power and Reliance Infrastructure) not to partcipate in the capital market as they used money from overseas borrowing to invest in the stock market.


Some OMCs partly pared gains on profit booking; Hindustan Petoleum was down 0.6% and Bharat Petrolem fell 1.1% after government hiked petrol prices by Rs 2.54 per litre during the weekend. Indian Oil Corporation, however, gained 1.2%.

Tata Steel recouped early losses and closed up 0.7% at Rs 626 after it fixed the follow-on public offer price at Rs 594-610. The issue will hit the between January 19 and 21 and the company is expected to raise Rs 3,477 crore at the higher end of the price band.

On the earnings front, engineering giant Larsen & Toubro (L&T) reported a 10.8% jump in net profit to Rs 840.5 crore for the third quarter. But the stock fell 1.7%, at Rs 1681.

HDFC up 3% followed by Infosys and Cipla which gained nearly 2% each were the top gainers on the Sensex. TCS,Bajaj Auto, Bharti Airtel and HDFC Bank up 1% were the other noteable gainers.

Reliance Infrastructure down nearly 8% was the top loser on the Sensex followed by Jaiprakash Associates, Reliance Communications, Sterlite, DLF, Hindalco and L&T lost 1% - 5%.

The market breadth was negative. Of the total 2997 stocks traded on the BSE, 1986 stocks had declined while 862 had advanced.

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Mon, January 17 2011. 15:33 IST
RECOMMENDED FOR YOU
.