Indian shares ended flat on Monday after a volatile session as gains in index heavyweights like RIL, Bharti Airtel was capped by losses in financials, IT, and auto stocks. The Sensex ended 8 points higher at 40,802, while the Nifty50 index ended 8 points lower at 12,048.
Indian shares ended flat on Monday after a volatile session as gains in index heavyweights like RIL, Bharti Airtel was capped by losses in financials, IT, and auto stocks. Investors also remained cautious after the Q2 GDP growth came in at 4.5 percent, a six-year low.
The Sensex ended 8 points higher at 40,802, while the Nifty50 index ended 8 points lower at 12,048. Broader markets underperformed benchmark indices with Nifty Midcap and Nifty Smallcap indices down 0.7 percent and 0.9 percent, respectively.
Among stocks, Bharti Airtel, JSW Steel, Reliance Industries, Grasim, and Asian Paints were the top gainers on the Nifty50, while Yes Bank, Eicher Motors, Bharti Infratel, Bajaj Finance, and ONGC led the losses.
All sectoral indices, except Nifty Metal, ended the day in red. Major selling was seen in the IT, auto and banking sectors. Nifty IT, Nifty Auto, and Nifty PSU Bank indices fell nearly a percent each, while Nifty Pharma was down 0.8 percent. Nifty Realty fell 0.35 percent, whereas Nifty FMCG and Nifty Bank lost 0.2 percent each. Meanwhile, Nifty Metal rose over 0.3 percent during the day.
Shares of telecom companies rose after the telcos raised tariffs for prepaid subscribers by effectively up to 40 percent. Bharti Airtel rose over 4 percent, while Reliance Industries gained 2 percent. Meanwhile, Vodafone Idea surged 14 percent for the day.
Yes Bank fell 6.5 percent after brokerages flagged concerns over investment by ‘lesser-known’ investors in the bank. Yes Bank, on Friday, had said that it will raise $2 billion in an issue of preferential shares to institutional investors and wealth managers. Hong Kong-based SPGP Holdings and Canadian family office of Erwin Singh Braich have committed $1.2 billion out of the total recapitalisation of $2 billion. London-based Citax Holdings has offered to invest $500 million, Yes Bank said.
Auto stocks were under pressure after the auto sales data for November indicates that there is no durable recovery in the sector just yet. Eicher Motors, TVS Motor Company, Maruti Suzuki, and Hero MotoCorp fell between 1-5 percent for the day.
Globally, 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.