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Negative market breadth

Capital Market 

Key indices were trading with small gains in morning trade. Sentiment was affected after India's Q2 GDP growth dipped to over 6-year low of 4.5%. Investors were also cautious ahead of the central bank's monetary policy meeting on Thursday, 5 December 2019. The Nifty traded around 12,050 level.

At 10:18 IST, the barometer index, the S&P BSE Sensex, was up 63.83 points or 0.16% at 40,857.64. The Nifty 50 index was up 7.75 points or 0.06% at 12,063.80.

The broader market underperformed the benchmark index. The S&P BSE Mid-Cap index was down 0.53%. The S&P BSE Small-Cap index was down 0.09%.

The market breadth, indicating the overall health of the market, was negative. On the BSE, 851 shares rose and 931 shares fell. A total of 131 shares were unchanged. In Nifty 50 index, 19 stocks advanced while 31 stocks declined.

Macros:

India's (GDP) grew by 4.5% in Q2 September 2019, the lowest since Q4 March 2013. Gross value added (GVA), which is GDP minus taxes, grew 4.3% in Q2 September 2019, compared to 4.9% in Q1 June 2019 and 6.9% in Q2 September 2018. The farm sector grew 2.1% while the manufacturing sector de-grew by 1% in July-September 2019.

The Eight Core Industries, carrying 40.27% weight in the Index of Industrial Production (IIP), recorded 5.8% decline in the output for October 2019 over October 2018. Its cumulative output rose mere 0.2% in April-October 2019-20.

The Reserve Bank of India's (RBI) monetary policy committee (MPC) will meet between 3rd and 5th December 2019 to review the interest rates.

Buzzing Index:

The S&P BSE Telecom surged 7.13% after major telecom companies announced plans to raise telecom tariffs.

Bharti Airtel surged 7.73%. Bharti Airtel said its revised tariff plans for its mobile customers will be applicable from 3 December 2019. New plans, represent tariff increases in the range of Rs 0.50 per day to Rs 2.85 per day and offer generous data and calling benefits, Bharti Airtel said.

Vodafone Idea jumped 17.57% after the company announced new tariffs/plans for its prepaid products and services. New plans will be available across India starting 3 December 2019.

Reliance Industries (RIL) gained 3.1% after the company announced that Jio will be introducing New All-in-One plans with unlimited voice and data. These plans will have a fair usage policy for calls to other mobile networks. The new plans will be effective from 6 December 2019.

Reliance Communications (up 4.94%), GTL Infrastructure (up 4.08%), MTNL (up 3.45%), Bharti Infratel (up 2.66%) and Sterlite Technologies (up 1.49%) were other top gainers in Telecom segment.

Stocks in Spotlight:

Cochin Shipyard gained 1.52% after the company announced that it has signed an agreement the Andaman and Nicobar Administration to commence its operations at Marine Dockyard, at Port Blair. Under this agreement, the company will assist the Administration to set up a Ship repair ecosystem at Andaman & Nicobar islands and the company will also associate in Augmentation and Modernisation of the facility. Cochin Shipyard will receive Rs 15 crore as management fees per annum.

Escorts rose 0.66% to Rs 641.80. The company reported a 4.5% decline in sales to 7642 units in November 2019 as compared to 8005 units in November 2018. The company reported a 3.4% decline in domestic tractor sales in November 2019 at 7,379 tractors against 7,641 tractors in November 2018. Export for November 2019 tumbled 27.7% to 263 tractors as against 364 tractors sold in November 2018.

Coal India announced the provisional production and off take performance of the company and its subsidiaries for the month of November 2019 and for the period April-November 2019. Total coal production in November 2019 was 50.02 million tonnes as compared to 52.06 million tonnes in November 2018, recording a decline of 3.9%. For the period April- November 2019, the coal production stood lower by 7.8% at 330.08 million tonnes compared to 358.30 million tonnes in the corresponding period of previous year. Total off take was 47.37 million tonnes in November 2019 compared to 51.26 million tonnes in November 2018, recording a decline of 7.6%. For the period April- November 2019, the coal offtake was lower by 7.2 per cent at 363.63 million tonnes compared to 392.02 million tonnes in the corresponding period of previous year.

Shares of Coal India were down 0.85% at Rs 203.30.

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Mon, December 02 2019. 10:20 IST
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