Sensex up 273 pts; Bharti Airtel up 7%, Voda Idea dips 13% post AGR verdict

All that happened in the markets today

1:50 PM

NEWS ALERT :: PNC Infratech signs concession agreement for a HAM project worth Rs 1,412 cr with NHAI

1:46 PM

HAL extends decline after govt's 15% stake sale; stock tanks 26% in 4 days

Shares of Hindustan Aeronautics (HAL) were under pressure for the fourth straight day, down 6 per cent to Rs 871 on the BSE in the intra-day trade on Tuesday after the government sold nearly 15 per cent stake in the aerospace and defence company through a public offering of shares (OFS). READ MORE 

1:39 PM

AUGUST AUTO SALES | Eicher Motors total Royal Enfield sales down 5% YoY at 50,144 units

1:37 PM

IDFC First, IndusInd Bank: AGR verdict will not dent earnings, say experts

The Supreme Court on Tuesday allowed Vodafone Idea and Bharti Airtel 10 years time to pay their outstanding adjusted gross revenue (AGR) dues, starting April 2021. The apex court asked telcos to pay 10 per cent of their dues as "upfront payment" by March 31, 2021. Remaining instalments will need to be paid on February 7 every year. READ MORE

1:27 PM

SC to decide on extending moratorium on repayment of loans tomorrow

The Centre and the Reserve Bank of India informed the Supreme Court on Tuesday that the moratorium on repayment of loans is extendable to two years in certain conditions, and that the sectors most distressed by the economic slowdown are being identified. "We are in the process of identifying the distressed sectors to vary benefits as per the impact of the hit they have taken,” the Solicitor General Tushar Mehta told the three-judge bench, headed by Justice Ashok Bhushan. READ MORE

1:13 PM

Expert View :: V K Vijaya Kumar, Chief Investment Strategist at Geojit Financial Services on AGR Verdict

The SC verdict giving a ten year time frame for payment of AGR dues with 10 percent upfront payment can be regarded as reasonably fair.  Since the SC has not said anything about the dues of R Com, Aircel and Videocon, this is certainly very positive for Reliance Jio and Bharti Airtel.  However, the 10-year time frame puts a question mark on the survival of Vodafone. Indian telecom industry moving to a virtual duopoly is not a desirable development. 

 

For the stock market the verdict is mixed. Since it is positive for Bharti and RIL these two heavy weight stocks are likely to remain resilient, supporting the markets. Vodafone’s woes, apart from impacting the stock, will also impact the stocks of banks which have lent to Vodafone

1:12 PM

AUGUST AUTO SALES | Ashok Leyland reports total sales of 6,325 units, down 31% YoY

-- Domestic sales at 5,824 units, down 30% YoY

-- M&HCV sales dip 52% YoY to 2,589 units

1:05 PM

STOCK UPDATE:: Bharti Infratel erases day's losses

12:56 PM

MARKET UPDATE:: Sensex at day's high

12:45 PM

AUGUST AUTO SALES | M&M reports auto segment sales of 30,426 units, down 16% YoY

-- M&M's August tractor sales at 24,458 units, up 65% YoY

12:40 PM

Voda Idea slips 25% from day's high; Airtel up 6% post SC AGR verdict

Shares of Vodafone Idea (VIL) slipped 20 per cent to Rs 8.16, down 25 per cent from intra-day’s high of Rs 10.95 on the BSE after the Supreme Court (SC) allowed 10 years for staggered payment of adjusted gross revenue (AGR) dues. The stock trades in the futures & option (F&O) segment, which has no circuit limits.At 12:11 pm, it was trading 18 per cent lower at Rs 8.39, as compared to 0.80 per cent rise in the S&P BSE Sensex. READ MORE

12:30 PM

Voda Idea, Bharti Airtel: Strategies for telecom stocks post AGR verdict

BSE Telecom Index: Until the telecom index does not conquer its first resistance levels of 1,270 levels, the upside is capped. The daily chart shows a “Lower high, lower low” formation, which reflects a sell on rise strategy. The next resistance is 1,310 for the index and looks difficult to cross as things stand. Over the next few sessions, there are chances that the index may drift towards 1,170 levels as the overall sentiment in the telecom sector remains subdued. READ MORE

12:25 PM

SC gives telcos 10 yrs to clear AGR dues, NCLT to decide on spectrum sale

The Supreme Court in its judgment in the matter of adjusted gross revenue allowed telcos to pay their outstanding dues in 10 years. Telcos can pay 10 per cent of their dues by March 31, 2021, and the remaning instalments by 7 February every year. Any default will accrue interest and non-payment will also invite contempt of court proceedings, said the SC in its verdict. The companies have been ordered to keep adjusting bank guarantees alive till the time the payment is made. READ MORE

12:18 PM

Heatmap: S&P BSE Sensex gainers and losers at this hour

12:17 PM

BROKERAGE VIEW:: HDFC Securities on Banks

While non-food credit growth sustained at 6.7% YoY (6.7% in June), its drivers changed significantly. Industrial credit growth slowed to 0.8% YoY, from 2.2% in June, and personal loan growth increased to 11.2% YoY (vs. 10.5% YoY in June). Service credit growth dipped 60bps from June levels to 10.1% YoY. Agri credit growth improved 300bps MoM to 5.4% YoY. The slight increase in personal loan growth and sustenance of the pace of service credit growth are promising, but it remains to be seen whether these trends are sustainable, especially after repayments/ collections increase as the moratorium ends.