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Barometers turn volatile; media shares in demand

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Capital Market
Last Updated : Nov 21 2019 | 2:05 PM IST

Key equity benchmarks pared gains after hitting fresh intraday high in afternoon trade. At 13:37 IST, the barometer index, the S&P BSE Sensex was up 6.01 points or 0.01% at 40,657.65. The Nifty 50 index fell 2.25 points or 0.02% at 11,996.85.

In the broader market, the S&P BSE Mid-Cap index was down 0.20%. The S&P BSE Small-Cap index fell 0.09%.

The market breadth was tilted in favour of sellers. On the BSE, 1,073 shares rose and 1,277 shares fell. A total of 186 shares were unchanged.

Cabinet Announcements:

The Cabinet Committee on Economic Affairs yesterday, 20 November 2019 accorded 'In-principle' approval for strategic disinvestment in select CPSEs including Bharat Petroleum Corporation (BPCL), Shipping Corporation of India (SCI), Container Corporation of India, Tehri Hydro Development Corporation India and North Eastern Electric Power Corporation.

The Union Cabinet yesterday, 20 November 2019 also approved the proposal for Mitigating financial stress being faced by the Telecom Services Sector. Department of Telecommunication will give an option to the Telecom Service Providers (TSPs) to defer payment of the spectrum auction instalments due for 2020-21 & 2021-22, either for one or both years. The decision for deferring spectrum payment instalments for two years will be implemented within a fortnight.

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Top Trends:

Eicher Motors (up 2.09%), ICICI Bank (up 1.42%), Larsen & Toubro (up 1.40%), Adani Ports & Special Economic Zones (up 1.34%) and Bajaj Auto (up 1.15%) advanced.

GAIL (India) (down 2.25%), Coal India (down 1.95%), Tata Steel (down 1.88%), ONGC (down 1.83%) and Yes Bank (down 1.75%) declined.

Buzzing Index:

Media stocks rallied. Jagran Prakashan (up 12.59%), Zee Entertainment Enterprises (up 10.60%), Balaji Telefilms (up 5.91%), TV18 Broadcast (up 4.61%), Music Broadcast (up 3.96%), Zee Media Corporation (up 2.27%), PVR (up 1.75%), Hathway Cable & Datacom (up 1%) and TV Today Network (up 0.69%), edged higher.

Network 18 Media & Investments was up 15.76%. Japan's Sony Corp is reportedly in talks to acquire a stake in Indian billionaire Mukesh Ambani's TV business, Network18 Media & Investments.

Zee Entertainment Enterprises (ZEEL) soared 13.01%. The Essel Group (Group) is planning to sell about 16.5% stake in ZEEL to financial investors in order to repay loan obligations to certain lenders of the group for whose benefit such shares are currently encumbered. Out of the aforesaid the group seeks to sell about 2.3% stake in ZEEL to OFI Global China Fund, LLC and/or its affiliates. Pursuant to the aforementioned transactions, the post-transaction overall holdings of the Group in ZEEL will be about 5%, out of which encumbered holdings of the Group will reduce to about 1.1% of ZEEL.

Stocks in Spotlight:

Tata Motors was down by 0.06% to Rs 167.15 after Moody's Ratings assigned a B1 rating on JLR's 500 million Euro proposed notes.

Bharat Petroleum Corporation (BPCL) declined 1.85%. The government will sell its 53.29% stake in BPCL after taking out Numaligarh refinery from its portfolio.

Maruti Suzuki India fell 0.71%. The automobile major's premium hatchback 'Baleno' celebrates its 4th year anniversary with over 6.5 lakh customers. The car was launched in October 2015.

Overseas:

European markets opened lower while Asian markets continued to trade lower on Thursday amid concerns 'phase one' US-China trade deal may not be signed in 2019 as China seeks more extensive tariff rollbacks.

In Spain, a court on Wednesday ruled budget carrier Ryan Air's policy of charging a fee for hand luggage was 'abusive' and could no longer be levied in the country.

US stocks ended lower Wednesday after a report that a trade deal might not be completed this year and after China condemned a U.S. Senate resolution supporting human rights in Hong Kong.

Minutes of the October meeting of the Federal Reserve's interest-rate-setting committee suggested the bank will not change interest rates soon.

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First Published: Nov 21 2019 | 1:38 PM IST

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