Key equity market barometers ended with modest losses on Tuesday as negative global cues and firm crude oil prices spooked investors. Profit selling was witnessed in IT and FMCG counters after the strong outperformance in the past couple of months.

The market opened lower and extended losses as the session progressed. The Nifty started above 11,950, but soon slipped below 11,900. After hitting an intraday low of 11,844.70, the index managed to close above 11,850.

The barometer index, the BSE Sensex, fell 247.55 points or 0.61% to close at 40,239.88. The Nifty 50 index fell 80.70 points or 0.68% to end at 11,856.80.

Broader market was under pressure. The S&P BSE Mid-Cap index fell 1.11% and the S&P BSE Small-Cap index fell 1.02%.

The market breadth was weak. On BSE, 811 shares advanced while 1723 shares declined. A total of 171 shares were unchanged.

Trading sentiment took a hit since past couple of days after the Reserve Bank of India (RBI) unexpectedly left interest rates unchanged on Thursday, 5 December 2019. The move was driven by the rising inflationary pressure and gradual improvement in monetary transmission.

RBI revised GDP growth downwards to 5% for 2019-20 from 6.1% projected in its October policy. The CPI inflation projection has also been revised upwards to 4.7-5.1% for the second half of FY20 and 3.8-4% for the first half of FY21.

Key Numbers:

The yield on India's 10-year benchmark federal paper rose to 6.710% at 16:30 IST, compared with 6.659% at close in the previous trading session.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 70.90, compared with its close of 71.0450 during the previous trading session.

In the commodities market, Brent crude for February 2020 settlement rose 6 cents at $64.31 a barrel. The contract fell 14 cents or 0.22% to settle at $64.25 a barrel during the previous trading session.

Brent crude prices have risen over 5% in six sessions from its closing low of $60.82 on 3 December 2019.

The Organization of the Petroleum Exporting Countries (OPEC), Russia and nine other allies agreed in Vienna last week to new production cuts of 500,000 barrels per day (bpd) in the first three months of 2020. This is in addition to their already existing cuts of 1.2 million bpd.

India is heavily dependent on oil imports for satisfying its domestic demand. A high crude price directly maps into a high trade deficit and in turn a high current account deficit (CAD). At the same time, being an important input for the aggregate economy, a crude price shock also leads to a spike in domestic inflation.

Buzzing Sectors:

The Nifty IT index fell 1.39% to 14,946.50. The index has fallen 2.74% in three sessions.

TCS (down 2.34%), Oracle Financial Services Software (down 1.85%), Mindtree (down 1.62%), HCL Technologies (down 1.21%), Persistent Systems (down 1.08%), Tech Mahindra (down 0.99%), Hexaware Technologies (down 0.95%), Wipro (down 0.94%), Mphasis (down 0.83%) and Infosys (down 0.37%) declined.

The Nifty FMCG index fell 1.04% to 30,059. The index has fallen 2.39% in three sessions.

Procter & Gamble Hygiene and Health care (down 2.59%), Bajaj Consumer Care (down 2.09%), Godrej Consumer Products (down 1.84%), Dabur India (down 1.71%), Tata Global Beverages (down 1.08%), Nestle India (down 0.99%), Colgate- Palmolive (India) (down 0.78%), Marico (down 0.25%) and Britannia Industries (down 0.17%) declined.

Index giant and cigarette major ITC fell 2.47% to Rs 235.40.

The Nifty Auto index fell 0.79% to 7,801.35 after industry body SIAM unveiled auto sales data for November 2019.

Mahindra & Mahindra (down 1.53%), TVS Motor Company (down 1.29%), Escorts (down 1.1%), Ashok Leyland (down 0.65%), Tata Motors (down 0.56%) and Maruti Suzuki India (down 0.29%) declined.

Hero MotoCorp fell 2.22% to Rs 2330.40. The company said it will make an upward revision in the ex-showroom prices of its motorcycles and scooters, effective 1 January 2020. The price increase across its range of two-wheelers will be upto Rs 2000, although the exact quantum of the increase will vary on the basis of the model and the specific market.

As per the Society of Indian Automobile Manufacturers (SIAM) data, domestic passenger vehicle sales fell by 0.84% to 2.63 lakh units in November 2019 from 2.66 lakh units in November 2018. Domestic car sales were down 10.83% to 1.60 lakh units as against 1.79 lakh units in November 2018.

Motorcycle sales last month declined 14.87% to 8.93 lakh units as against 10.49 lakh units a year earlier. Total two-wheeler sales in November declined 14.27% to 14.10 lakh units compared to 16.45 lakh units in the year-ago month.

Sales of commercial vehicles were down 14.98% to 61,907 units in November 2019 over November 2018. Vehicle sales across categories registered a decline of 12.05% to 17.92 lakh units from 20.38 lakh units in November 2018, it added.

Stocks in Spotlight:

State Bank of India (SBI) fell 1.04% to Rs 313.45. SBI said the Reserve Bank of India has found that it has under-reported bad loans by Rs 11,932 crore in the year ended 31 March 2019. For the year ended March 2019, the gross non-performing assets (NPAs) assessed by RBI was at Rs 1,84,682 crore compared with Rs 1,72,750 crore in gross NPA reported by the bank.

The bank had reported Rs 65,895 crore net NPAs during the year while the RBI assessed it at Rs 77,827 crore, leaving a gap of Rs 11,932 crore. The divergence in provisioning also increased by Rs 12,036 crore for the fiscal ended March 2019.

Yes Bank slumped 10.05% to Rs 50.55 ahead of its board meeting later today. The stock is banned from NSE Futures & Options segment for today after the security crossed the 95% market wide position limit.

According to media reports, Billionaire investor Rakesh Jhunjhunwala might shelve a plan to invest $25 million in Yes Bank due to uncertainty over the lender's capital raising plans. Jhunjhunwala is expected to release a formal letter regarding the investment on Tuesday, 10 December, reports stated.

HDFC slipped 0.69% to Rs 2294.70. The corporation said it is proposing to acquire 1,14,70,000 shares representing 9.12% of the equity share capital of its subsidiary HDFC Credila Financial Services from its other promoters for amount not exceeding Rs 395 crore. Post acquisition, HDFC Credila Financial Services will become wholly owned subsidiary of HDFC.

HDFC Asset Management Company (HDFC AMC) declined 3.14% to Rs 2890.90, sliding for fifth consecutive session. The stock has tumbled 16% in five trading sessions from its previous closing high of Rs 3441.45 on 3 December 2019 to its current market price of Rs 2942.95.

HDFC AMC's promoter, Standard Life Investments, concluded its offer for sale (OFS) last week. It sold 3.10% stake via OFS. The floor price for the sale was set at Rs 3,170 per equity share.

PC Jeweller slumped 8.08% to Rs 22.75. The company said CRISIL has downgraded its long term and short terms ratings to the bank loan facilities of the company to CRISIL D. The downgrade in the rating factors in the instances of devolvement of Letter of Credits (LC) and overutilization in working capital limits for more than 30 days.

Foreign Markets:

Shares in Europe and Asia edged lower on Tuesday as investors refrained from making major bets before 15 December, when the next round of US tariffs on Chinese imports is due to take effect.

US stocks ended lower on Monday following economic reports that pointed to weakness in China's economy. Investors also kept a close eye on trade negotiations ahead of Sunday's tariff deadline for 15% import duties on $156 billion of annual consumer imports.

A Chinese Commerce Ministry official reportedly said on Monday that Beijing hoped for a deal with Washington as soon as possible before the deadline, while U.S. Agriculture Secretary Sonny Perdue said that U.S. President Donald Trump wants to see 'movement' from China to avoid implementing the tariffs.

Trade tensions have hurt the world's second-largest economy, as China's exports unexpectedly dropped 1.1% in November from a year earlier, while shipments to the US fell 23%.

Chinese consumer inflation jumped in November, according to data released by the country's National Bureau of Statistics on Tuesday. The Consumer Price Index for November jumped 4.5% year-on-year, as food prices skyrocketed 19.1% amid an outbreak of African swine fever.

On the other hand, producer prices in China declined in the same month, with the Producer Price Index (PPI) for November falling 1.4% year-on-year.

Key equity market barometers ended with small gains after a volatile session on Monday. After initial losses, the market bounced back in early afternoon trade supported by gains in HDFC and Reliance Industries.

The barometer index, the BSE Sensex, rose 42.28 points or 0.10% to 40,487.43. The Nifty 50 index rose 16 points or 0.13% to 11,937.50.

Gains were capped as IHS Markit expects India's real GDP growth in 2019-20 fiscal to be slightly below 5%. Sentiment was also fragile as the Reserve Bank of India (RBI) unexpectedly left interest rates unchanged on Thursday. The move was driven by the rising inflationary pressure and gradual improvement in monetary transmission.

In the broader market, the S&P BSE Mid-Cap index rose 0.11% and the S&P BSE Small-Cap index fell 0.44%.

The market breadth was negative. On BSE, 1044 shares advanced while 1448 shares declined. A total of 178 shares were unchanged.

Economy:

India's real GDP growth in 2019-20 fiscal is expected to be slightly below 5% as the impact of stimulus measures will take time to filter through to the economy, IHS Markit has said. Financial sector fragilities continue to weigh on India's economic growth momentum, with the high level of non-performing loans on the balance sheets of the public sector banks, constraining their new lending, IHS said in a report.

Crude and Currency:

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 71.045, compared with its close of 71.20 during the previous trading session.

In the commodities market, Brent crude for February 2020 settlement fell 58 cents at $63.81 a barrel. The contract fell 23 cents or 0.36% to settle at $64.16 a barrel during the previous trading session.

Buzzing Index:

The Nifty Auto index rose 0.80% to 7,868.80 on bargain hunting. The index fell 2.37% in past two sessions.

Ashok Leyland (up 1.11%), Hero MotoCorp (up 0.66%), Mahindra & Mahindra (up 0.66%), Bajaj Auto (up 0.63%) and Eicher Motors (up 0.47%) advanced. TVS Motor Company (down 0.84%) and Escorts (down 0.89%) declined.

Car major Maruti Suzuki India rose 1.68% to Rs 6997.25. The car major's total production rose 4.3% to 1.41 lakh units in November 2019 from 1.35 lakh units in November 2018. The announcement was made after market hours on Friday, 6 December 2019.

Tata Motors slipped 0.59% to Rs 160.55. Jaguar Land Rover (JLR) retail sales in November 2019 were 46,542 vehicles, down 3.4% compared to November 2018. Sales continued to improve in China and North America while in the UK, Europe and overseas market (comprising largely of Russia and MENA) fall in sales continued to linger.

Stocks in Spotlight:

HDFC (up 2.06%), Reliance Industries (up 1.13%) and ICICI Bank (up 0.35%) advanced.

TCS (down 2.93%), L&T (down 1.04%) and Kotak Mahindra Bank (down 0.92%) declined.

HDFC Asset Management Company (HDFC AMC) slumped 6.21% to Rs 2984.50. The company's promoter, Standard Life Investments, concluded its offer for sale (OFS) last week. It sold 3.10% stake via OFS. The floor price for the sale was set at Rs 3,170 per equity share.

Axis Bank advanced 2.01% to Rs 731.95. Jairam Sridharan has resigned from the post of group executive and chief financial officer, the lender informed bourses on Friday. The private sector bank said Sridharan would like to pursue other career opportunities and as such has resigned from the services of the bank.

Multi Commodity Exchange of India (MCX) fell 3.18% to Rs 1102.05 after the company's Chief Financial Officer, Sanjay Wadhwa, resigned from the post with effect from 6 December 2019.

Goa Carbon advanced 2.42% higher at Rs 207.45 after the company disclosed its operational performance for November 2019. The company's total calcined petroleum coke production was 15,413.90 MT in November 2019, up 596.48% compared with total production of 2,213.10 MT in November 2018.

The total calcined petroleum coke production was up 33.06% in November 2019 over 11,584 MT in October 2019.

Shaily Engineering Plastics tumbled 8.90% to Rs 578.90 after the Goods and Service Tax (GST) authorities carried out search proceedings at the company's Rania unit in Gujarat. The company stated that the authorities have seized some moulds belonging to the company as well its customers as part of the process which is being contested. There has not been any case of evasion of any duty which has been established as of now and the company has not received any show cause notice from the authorities till date.

JSW Steel gained 1.85% to Rs 258.75. The company's crude steel production fell 7% to 12.90 lakh tones in November 2019 from 13.90 lakh tones in November 2018. The company showed a sequential month on month growth of 3% in crude steel production.

The blast furnaces, which were temporarily shut down in October, 2019 due to slowdown in auto demand has recommenced operations in the last week of November, 2019, JSW Steel said in an exchange filing.

Sun Pharma Advanced Research Company (SPARC) surged 5.73% to Rs 162.50. SPARC announced that Abraxis Bioscience LLC. has dismissed the patent infringement complaint filed against SPARC regarding SPARC's new drug application for PICS (Paclitaxel injection concentrate for suspension).

Coffee Day Enterprises slumped 8.84% to Rs 43.85. Media reports suggested that The company's sale of its technology park to Blackstone Group is stalled as one of its creditors hasn't approved the deal. Yes Bank hasn't issued the so-called no objection certificate as it's seeking assurances on repayments of other loans taken by Coffee Day, the reports added.

Dish TV India surged 8.28% to Rs 13.60 after the company reiterated its intention to repay all its debts as and when they become due in the future.

Care Ratings has downgraded the short-term bank facilities rating to 'CARE D' from 'CARE A4+'. The agency in its rationale has taken into consideration the default by Dish TV India in payment of its short-term loan amounting to Rs 250 crore.

Following the development, Dish TV clarified that it has been drawing on its internal cash accruals to fund its capital expenditure for more than six quarters now. In addition, the company has also serviced its debt and interest obligations, on a consolidated level, to the tune of Rs 850 crore in the current fiscal. Debt and interest payment obligations falling due after the particular incident of non-service have also been fulfilled on time.

Foreign Markets:

European stocks declined while Asian stocks ended mixed on Monday as weak Chinese export data highlighted the detrimental impact of its prolonged trade war with the US.

Chinese exports declined in November for the fourth consecutive month, falling 1.1% year-on-year. Imports, on the other hand, rose 0.3% as compared to a year earlier.

Beijing's trade discussions with Washington have yet to yield a much-touted phase one agreement ahead of a key deadline for additional tariffs on Chinese exports to the U.S. on Dec. 15.

Japan's economy grew at an annualized rate of 1.8% in the July to September quarter, according to revised data from the country's Cabinet Office on Monday. That was sharply higher than the initial estimate of a 0.2% expansion.

In Europe, French Finance Minister Bruno Le Maire has said France is ready to take threats from U.S. President Donald Trump to impose tariffs on French goods to the World Trade Organization (WTO), amid a row over French taxes on American internet giants.

In US, markets closed sharply higher on Friday after the employment report from the Labor Department beat expectations, showing an estimated 266,000 new jobs created in November, the most since January. The unemployment rate fell to a 50-year low to 3.5% from 3.6%.

Investors also remained optimistic about the chances of a US-China trade deal, even though the deadline that will see import duties increased looms on 15 December.

Key market barometers tumbled amid wide spread selling pressure on Friday. After starting the session in the green, the market reversed trend as trading progressed and hit day's low in mid-afternoon trade. Banks and auto shares witnessed major selling pressure. Shares of state-run banks collapsed.

The barometer index, the BSE Sensex, fell 334.44 points or 0.82% to 40,445.15. The Nifty 50 index fell 96.90 points or 0.81% to 11,921.50.

In the broader market, the S&P BSE Mid-Cap index slipped 1.26% while the S&P BSE Small-Cap index fell 0.86%.

The market breadth was weak. On the BSE, 872 shares rose and 1652 shares fell. A total of 185 shares were unchanged.

Selling was triggered by the Reserve Bank of India (RBI) unexpectedly leaving interest rates unchanged on Thursday. In a surprise move, the RBI decided to hold the rates after delivering five consecutive rate cuts in 2019. The move was driven by the rising inflationary pressure and gradual improvement in monetary transmission.

RBI revised GDP growth downwards to 5% for 2019-20 from 6.1% projected in its October policy. The CPI inflation projection has also been revised upwards to 4.7-5.1% for the second half of FY20 and 3.8-4% for the first half of FY21.

Meanwhile, RBI's consumer confidence survey (CCS) released on Thursday reported a further drop in consumer confidence in November as households remained pessimistic about jobs and the general economic situation. The current situation index (CSI) dropped to 85.7 last month from 89.4 in September. The future expectations index (FEI) also fell to 114.5, down from 118 in September.

Consumers' sentiments on the general economic situation and the employment scenario weakened, but their one-year ahead expectations remained in the optimistic terrain for all parameters, except prices; expectations on income one-year ahead improved marginally over the previous survey round, said the RBI survey.

Buzzing Index:

Banking stocks came under pressure after Vodafone Idea chairman Kumar Mangalam Birla said the company would have to shut shop if no relief is given to it in the wake of the Supreme Court judgement of 24 October that asked companies like his to pay dues of up to Rs 92,000 crore to department of telecommunications (DoT) in three months.

If Vodafone Idea opts for insolvency route, it may have a significant bearing on the banking sector. Some of the leading Indian banks may take a hit if their exposures turn sour.

The Nifty Bank index fell 1.17% to 31,341.55. The index fell 1.99% two consecutive sessions.

Among public sector banks, Central Bank of India (down 5.73%), Union Bank of India (down 5.42%), Bank of Baroda (down 4.99%), State Bank of India (down 4.89%), UCO Bank (down 4.41%), Bank of India (down 4.37%), Canara Bank (down 4.28%), Corporation Bank (down 4.15%), Punjab National Bank (down 3.53%) and IDBI Bank (down 3.35%) declined.

Among private sector banks, IndusInd Bank (down 3.05%), Federal Bank (down 2.88%), Axis Bank (down 1.64%) and ICICI Bank (down 0.6%) declined. Kotak Mahindra Bank (up 1.48%), City Union Bank (up 0.30%) and HDFC Bank (up 0.06%) advanced.

Yes Bank tanked 9.82% to Rs 56. Yes Bank said Moody's Investors Service downgraded its long term foreign currency issuer rating to B2 from Ba3. Moody's has also downgraded the bank's long-term foreign and local currency bank deposit ratings to B2 from Ba3, foreign currency senior unsecured MTN program rating to (P)B2 from (P)Ba3, and Baseline Credit Assessment (BCA) and Adjusted BCA to b3 from b1. The outlook on the bank's ratings, where applicable, is negative. Moody's expects Yes Bank's common equity tier 1 (CET1) ratio of 8.7% at the end of September 2019 to come under significant pressure, unless the bank can raise new capital in the next few quarters.

RBL Bank fell 7.28% to Rs 338.80. The private sector bank said its qualified institutional placement (QIP) of equity shares ended on Thursday, 5 December 2019. It has approved allocation of 5.77 crore equity shares at an issue price of Rs. 351 per share.

Bajaj Finance slipped 0.61% to Rs 3962.90. The NBFC said it participated in QIP of RBL Bank and have been allotted 42.73 lakh equity shares at a price of Rs. 351 per equity shares aggregating to approximately Rs 150 crore.

Shares of CSB Bank corrected 7.86% at Rs 274.25 on profit booking after strong listing gains. The stock debuted on Wednesday, 4 December 2019, at Rs 275, a premium of 41.02% to the initial public offer (IPO) price of Rs 195.

The IPO of CSB Bank received bids for 100.44 crore shares as against 1.15 crore shares on offer. The issue was subscribed 86.93 times. The issue opened for bidding on 22 November 2019 and closed on 26 November 2019. The price band was fixed at Rs 193 to Rs 195 per share.

The Nifty Auto index fell 1.70% to 7,806.60. The index has fallen 2.38% in two sessions.

Escorts (down 2.49%), Eicher Motors (down 2.4%), TVS Motor Company (down 1.56%), Hero MotoCorp (down 1.43%) and Bajaj Auto (down 1.09%) tumbled.

Maruti Suzuki India fell 1.77%. The company will recall for certain petrol Smart Hybrid (SHVS) variants of Ciaz, Ertiga and XL6 vehicles manufactured between 1 January 2019 to 21 November 2019. The announcement was made during trading hours today, 6 December 2019.

Mahindra & Mahindra (M&M) fell 2.73%. The company said it has completed acquisition of 36.63% stake in Meru Travel Solutions in the first tranche as part of its Rs 201.5-crore deal to acquire 55% shareholding in the radio taxi operator.

M&M said it has invested Rs 44.71 crore (in cash consideration) for the acquisition of 36.63% of the equity share capital of Meru. The company has also earned the right to appoint majority of the directors on the board of Meru. Consequently, Meru has become a subsidiary of the company with effect from 5 December 2019. Also subsidiary companies of Meru - Meru Mobility Tech, V-Link Automotive Services, V-Link Fleet Solutions - have in turn become subsidiaries of M&M, it added.

Tata Motors fell 2.77%. The company's board approved allotment of 20.16 crore ordinary shares at Rs 150 each and 23.13 crore convertible warrants at Rs 150 each on preferential basis to Tata Sons. The announcement was made after market hours yesterday, 5 December 2019.

Stocks in Spotlight:

Index major HDFC fell 2.64% to Rs 2264. Another index giant ITC fell 1.46% to Rs 243.30.

Vodafone Idea fell 5.34% to Rs 6.92 after chairman Kumar Mangalam Birla's comment on insolvency. Birla was responding to a query, posed at an event, about the company's course of action going forward in the absence of government relief. Birla said the Aditya Birla Group will not invest any money in the company in the absence of relief from the government. Birla said the company will have to opt for insolvency route in the absence of relief.

Bharti Airtel declined 0.55% to Rs 444.75. S&P maintained its 'BBI' rating on long term-facilities with negative implications due to Rs 34,00 crore setback from Department of Telecom (DoT) litigation will adversely affect the company's growth prospects.

Omaxe was locked in the lower circuit limit of 20% at Rs 143.95. The stock of real estate company was trading at its lowest level since April 2016.

Eris Lifesciences surged 7.81% to Rs 476.95, in a falling market. Earlier this week, the company announced acquisition of the trademark Zomelis, for Vildagliptin-based formulations, and its associated trademarks from Novartis AG, Switzerland, for a consideration of $13 million.

Vascon Engineers rose 3.69% to Rs 12.63. The company has received work order amounting to Rs 132.69 crore from Airports Authority of India.

Dr Reddy's Laboratories rose 0.76% to Rs 2891.95. The company announced the launch of Deferasirox tablets for oral suspension in the U.S. market. This drug is used to treat ongoing high levels of iron in the body.

Crude and Currency:

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 71.20, compared with its close of 71.29 during the previous trading session.

In the commodities market, Brent crude for February 2020 settlement was down 36 cents at $63.03 a barrel. The contract rose 0.61% or 39 cents to settle at $63.39 a barrel during the previous trading session.

Oil prices rose Thursday after OPEC members agreed in principle to another cut to output during the first quarter of 2020. OPEC members are starting their second day of talks on Friday.

Foreign Markets:

Shares in Europe and Asia edged higher as investors await employment data out of the U.S. and monitor trade developments between Beijing and Washington.

Media reported on Friday that China's finance ministry said the country will waive import tariffs for certain soybean and pork shipments from the U.S., without providing further detail. The decision came ahead of a closely watched date of December 15 when additional tariffs on Chinese exports to the U.S. go into effect.

As per reports, Washington and Beijing are still in disagreement over the size of China's agriculture purchases. Meanwhile, China has given little indication on how negotiations with the U.S. are progressing. Earlier in the week, markets were sent into a frenzy after U.S. President Donald Trump said he may delay a trade deal with China till after the 2020 U.S. presidential election.

In US, stocks moved higher on Thursday as investors remained optimistic about prospects for a US-China trade deal despite a looming deadline for the imposition of fresh import tariffs by President Donald Trump.

In economics news, the US Labor Department released a report on Thursday showing an unexpected decrease in first-time claims for U.S. unemployment benefits in the week ended November 30th. The report said initial jobless claims slipped to 203,000, a decrease of 10,000 from the previous week's unrevised level of 213,000. With the unexpected decrease, jobless claims fell to their lowest level since hitting 193,000 in the week ended April 13th.

US new orders for manufactured goods rose by 0.3% in October after falling by a revised 0.8% in September, according to a report released by the Commerce Department on Thursday.

The market ended lower after a volatile session on Thursday. Shares swayed between gains and losses after RBI's surprise move of keeping the rate unchanged today. Banking stocks came under pressure. Volatility was also triggered by weekly expiry of index options.

The barometer index, the BSE Sensex, fell 70.70 points or 0.17% to 40,779.59. The Nifty 50 index fell 24.80 points or 0.21% to 12,018.40.

In the broader market, the S&P BSE Mid-Cap index slipped 0.32% while the S&P BSE Small-Cap index advanced 0.02%.

The market breadth was negative. On the BSE, 1129 shares rose and 1351 shares fell. A total of 193 shares were unchanged.

RBI Policy Outcome:

Investors were hoping for a 25 basis points rate cut. However, RBI's Monetary Policy Committee (MPC) at its meeting today (5 December 2019) decided to keep the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 5.15%. Consequently, the reverse repo rate under the LAF remains unchanged at 4.90%, and the marginal standing facility (MSF) rate and the bank rate at 5.40%.

The MPC also decided to continue with the accommodative stance as long as it is necessary to revive growth, while ensuring that inflation remains within the target. These decisions are in consonance with the objective of achieving the medium-term target for consumer price index (CPI) inflation of 4% within a band of +/-2%, while supporting growth.

All members of the MPC - Dr. Chetan Ghate, Dr. Pami Dua, Dr. Ravindra H. Dholakia, Dr. Michael Debabrata Patra, Shri Bibhu Prasad Kanungo and Shri Shaktikanta Das - voted in favour of the decision.

The MPC recognised that there is monetary policy space for future action. However, given the evolving growth-inflation dynamics, the MPC felt it appropriate to take a pause at this juncture. Accordingly, the MPC decided to continue with the accommodative stance as long as it is necessary to revive growth, while ensuring that inflation remains within the target.

Real GDP growth for 2019-20 is revised downwards from 6.1% in the October policy to 5% to 4.9-5.5% in H2 and 5.9-6.3% for H1:2020-21.

The CPI inflation projection is revised upwards to 5.1-4.7% for H2:2019-20 and 4-3.8% for H1:2020-21, with risks broadly balanced.

While improved monetary transmission and a quick resolution of global trade tensions are possible upsides to growth projections, a delay in revival of domestic demand, a further slowdown in global economic activity and geo-political tensions are downside risks, the MPC statement stated.

Buzzing Index:

The Nifty Bank index slipped 0.83% to 31,712.95, reversing Wednesday's 1.16% rise.

Among the private sector banks, IndusInd Bank (down 2.21%), RBL Bank (down 1.95%), Yes Bank (down 1.51%), Axis Bank (down 1.39%), Federal Bank (down 1.25%), HDFC Bank (down 0.5%), Kotak Mahindra Bank (down 0.46%) and ICICI Bank (down 0.27%) declined.

Among the public sector banks, Canara Bank (down 2.88%), Union Bank of India (down 2.68%), Corporation Bank (down 2.32%), UCO Bank (down 2.3%), Punjab National Bank (down 2.27%), Bank of Baroda (down 1.45%) and Bank of India (down 1.11%) declined.

State Bank of India fell 1.65% to Rs 336.25. SBI board on Wednesday approved the lender's proposal to sell 8.25% stake in UTI AMC.

Stocks in Spotlight:

Vedanta fell 1.15%. The board of the company in a meeting held on Wednesday approved raising up to Rs 3,000 crore via non-convertible debentures (including the option to retain oversubscription of up to Rs 1,500 crores) in two series.

Housing and Urban Development Corporation (HUDCO) slumped 5.82% to Rs 38.05. HUDCO said two borrowing agencies of the company have defaulted in repayment of their dues with a defaulted amount of Rs 87.46 crore against the principal outstanding of Rs 869.41 crore as on date and have been classified as NPAs with an impact of 1.14% on gross NPA.

Wipro rose 0.62% to Rs 243.70. The IT major announced the launch of its NextGen Cyber Defence Centre (CDC) in Melbourne, Australia. Wipro also plans to launch similar CDCs in other cities in Australia and offer cyber resilience and provide digital protection to large government organizations.

Interglobe Aviation slumped 6.05% to Rs 1320.20 after the low-cost airliner lowered its capacity growth guidance for fiscal year 2020. IndiGo said it expects its capacity to grow by 22-23% for fiscal year 2020 as against earlier stated guidance of 25% announced during September quarter earnings. It expects capacity growth of 15-20% in Q4 March quarter.

Reliance Industries slipped 0.14% to Rs 1550.30. RIL said, its subsidiary Reliance Jio Infocomm (Jio) launched the new all-in-one plans. These plans will provide up to 300% more benefits to the Jio consumers, upholding the Jio promise of providing the best-quality service at the lowest price globally.

Bharti Airtel fell 2.96% at Rs 447.20. The company said its board approved raising up to $3 billion through a mix of equity and debt.

Larsen & Toubro Infotech (LTI) fell 1.96% to Rs 1637.80 after the US Department of Homeland Security visited the company's Edison office in New Jersey on 4 December 2019. The company said it was fully cooperating with the authorities and had no further information to provide. The announcement was made during trading hours today, 5 December 2019.

DCM Shriram rose 3.17% to Rs 354.55 after the company said it commissioned 200 kilo litres per day (KLD) distillery at Ajbapur in Uttar Pradesh on 3 December 2019. The total capacity of the company's distillery after the said commissioning now stands at 350 KLD. The announcement was made during market hours today.

Foreign Markets:

Overseas, most shares in Europe and Asia edged higher on Thursday on signs the United States and China were on track for a preliminary trade deal.

The US stock market finished higher on Wednesday, 04 December 2019, snapping three days of losing streak, as investors chased for bargain hunting on renewed optimism about a potential trade deal after reports indicated the U.S. and China are moving closer to agreeing on the amount of tariffs that would be rolled back in a phase one trade deal. However, market gains capped after disappointing economic data, including a report from payroll processor ADP showing much weaker than expected private sector job growth in the month of November.

Beyond China, President Donald Trump has been pushing ahead on trade disputes all around the world recently. On Tuesday, he proposed tariffs on $2.4 billion in French products in retaliation for a tax on global tech giants including Google, Amazon and Facebook. That follows a threat Monday to raise tariffs on steel and aluminum from Argentina and Brazil.

In economics news, US non-manufacturing index dipped to 53.9 in November after climbing to 54.7 in October, a report released by the Institute for Supply Management on Wednesday showed. A reading above 50 indicates service sector growth. Meanwhile, the new orders index rose to 57.1 in November from 55.6 in October and the employment index climbed to 55.5 from 53.7.

US private sector employment increased by 67,000 jobs in November after climbing by a revised 121,000 jobs in October, according to a report released by payroll processor ADP on Wednesday.

The domestic equity market ended with decent gains on Wednesday. Shares rebounded in the last hour of trade on report that the United States and China were moving closer to agreeing on the amount of tariffs to be rolled back in a phase-one trade deal. Following the news reports, the US Dow futures jumped 148.5 points.

The barometer index, the BSE Sensex, rose 174.84 points or 0.43% to 40,850.29. The Nifty 50 index rose 49 points or 0.41% to 12,043.20.

Both these indices fell as much as 0.49% in afternoon trade after U.S. President Donald Trump on Tuesday said a trade deal with China might have to wait until after the 2020 presidential election.

The Nifty fell 1.29% in three sessions to 11,994.20 on Tuesday, from its close of 12,151.15 on 28 November 2019.

In the broader market, the S&P BSE Mid-Cap index rose 0.52% while the S&P BSE Small-Cap index advanced 0.33%.

The market breadth turned positive in late trade. On the BSE, 1241 shares rose and 1222 shares fell. A total of 210 shares were unchanged.

Economy:

The Reserve Bank of India (RBI)'s monetary policy outcome is due on Thursday. Investors are hoping for a 25 basis points rate cut.

The Union Cabinet on Wednesday approved six bills including the Citizenship Amendment Bill and extended reservation for SCs and STs in the Lok Sabha and the State Assemblies for another 10 years. Information and Broadcasting Minister Prakash Javadekar said the Bill will be introduced in Parliament in a day or two. The Cabinet also approved land monetisation at Pragati Maidan to build a five-star hotel.

The Cabinet also approved the launch of Bharat Bond Exchange Traded Fund (ETF). Bharat Bond ETF would be the first corporate bond ETF in the country. It will provide additional money for CPSUs, CPSEs & other government organizations.

Further, Finance Minister Nirmala Sitharaman said that the government is looking into the issue of unpaid GST compensation to certain states. The finance ministers of Delhi, Punjab, Puducherry and Madhya Pradesh and representatives Kerala, Rajasthan, Chattisgarh and West Bengal attended the meeting over delay in payment of compensation.

Global credit rating agency Standard & Poor's reaffirmed India's sovereign rating at 'BBB-' with stable outlook. S&P said that India's economy continues to achieve impressive long term growth rates despite a recent deceleration. The economic slowdown is cyclical rather than structural. Furthermore, S&P expects the economy to outperform its peers on the back of rising domestic demand and strong demographics.

Meanwhile, the IHS Markit India Services Business Activity Index grew 52.7 in November from 49.2 in October, signalling output growth for the first time in three months. The upturn was associated with a pick-up in demand, improved technology and rising client numbers. That said, the headline figure remained below its long-run average of 54.2.

Foreign Markets:

European stocks bounced back from early losses after media reports suggested that the U.S. and China were edging closer to a trade deal. According to reports, the two countries were moving closer to agreeing on the amount of tariffs that would be rolled back in a phase-one trade deal.

Asian markets ended lower on Wednesday after an overnight fall in US stocks.

Speaking to reporters in London on Tuesday, Trump said he had no deadline for striking a deal with Beijing. It had previously been expected the world's two largest economies could sign a so-called phase one trade deal before the end of 2019.

Trade tensions escalated on other fronts, including Brazil, Argentina and France after Trump said he was bringing back tariffs on Brazilian and Argentinian steel, while the administration also proposed tariffs of up to 100% on $2.4 billion in French imports.

In the U.K., several world leaders have gathered in London to mark the 70th anniversary of NATO.

Buzzing Indices:

The Nifty Metal index rose 1.51% to 2,602.85. The index lost 2.60% in the previous session amid US-China trade deal worries.

NMDC (up 4.62%), SAIL (up 3.42%), Vedanta (up 3.15%), Jindal Steel & Power (up 2.84%), Hindalco Industries (up 2.6%), Tata Steel (up 2.42%), JSW Steel (up 1.11%), NALCO (up 0.69%) and Hindustan Zinc (up 0.4%) advanced.

The Nifty IT index jumped 1.62% to 15,161.85, extending Tuesday's 0.46% rise.

Mindtree (up 4.11%), Hexaware Technologies (up 3.74%), Wipro (up 2.30%), Mphasis (up 2.12%), Tech Mahindra (up 1.71%), Persistent Systems (up 1.65%), Infosys (up 1.41%), TCS (up 1.39%), Oracle Financial Services Software (up 0.73%) and HCL Technologies (up 0.11%) advanced.

Stocks in Spotlight:

Shares of CSB Bank settled at Rs 300.1 on BSE, a premium of 53.90% over the initial public offer (IPO) price of Rs 195. The stock debuted at Rs 275, a premium of 41.02% to IPO price. The stock hit a high of Rs 307 and low of Rs 275.

The CSB Bank IPO received bids for 100.44 crore shares as against 1.15 crore shares on offer. The issue was subscribed 86.93 times. The issue opened for bidding on 22 November 2019 and closed on 26 November 2019. The price band was fixed at Rs 193 to Rs 195 per share.

HDFC Asset Management Company declined 3.26% to Rs 3329.10. The company's promoter, Standard Life Investments, kicked off its offer-for-sale (OFS) issue to offload 2.23% stake in the fund house. The OFS opened for institutional investors today, 4 December. The trading window will open for retail investors on Thursday, 5 December. The floor price for the sale has been set at Rs 3,170 per equity share.

Standard Life is offering 47.50 lakh shares with an option to sell an additional upto 38.50 lakh shares. Retail investors are offered upto 8.60 lakh shares while the non-retail investors are offered upto 77.40 lakh shares.

On the first day of the bidding for OFS today, 4 December 2019, bids were received for 73,41,323 shares from the non-retail investors, representing a subscription of 94.85%.

ICICI Bank gained 4% to Rs 529.35 after global brokerages maintained bullish stance on the stock.

A global research firm has reportedly maintained an 'overweight' stance on the stock with a price target of Rs 775 per share. Another foreign brokerage has reportedly maintained a 'buy' rating on ICICI Bank and has raised the target from Rs 610 to Rs 645 per share.

Yes Bank advanced 5.97% to Rs 63.05 on bargain hunting after a recent sell off. The stock slipped 15.06% in the past three trading sessions to settle at Rs 59.50 yesterday, 3 December 2019, from its close of Rs 70.05 on 28 November 2019.

The recent sell off was triggered by the bank's board approving a decision to raise upto $2 billion through preferential allotment of shares. The bank, in an exchange filing post trading hours on 29 November, said that various investors have expressed willingness to subscribe to equity shares of the bank. The stock declined amid reservations about the quality of the investors.

Tata Motors surged 7.11% to Rs 169.40 after Jaguar Land Rover reported best ever U.S. November sales.

Tata Motors' UK unit, Jaguar Land Rover (JLR)'s total November U.S. sales reached 12,472 units, up 6% from November 2018. For the calendar year, JLR achieved 111,895 units, an increase of 3% compared with 108,377 units in 2018.

For the month of November, Jaguar sales were 2,958 units, 7% lower than a year ago. For the month of November, the Land Rover brand sold 9,514 units, an increase of 11% from 8,547 units in November 2018.

Edelweiss Financial Services rose 1.30% to Rs 113.10. The proposed Bharat Bond ETF will be rolled out by Edelweiss Asset Management Company (AMC). The ETF will carry expense ratio of 0.0005%.

Key equity benchmarks fell on Tuesday in line with other global stock markets as investors panicked after the US decision to impose tariffs on Argentina and Brazil. Concern about India's slowing economic growth and unabated foreign fund outflows also weighed heavily on the market sentiment. Investors were also cautious ahead of the central bank's monetary policy outcome on Thursday, 5 December 2019.

The barometer index, the BSE Sensex, fell 126.72 points or 0.31% to 40,675.45. The Nifty 50 index fell 54 points or 0.45% to 11,994.20.

In the broader market, the S&P BSE Mid-Cap index fell 0.95% while the S&P BSE Small-Cap index fell 0.74%. Both these indices underperformed the Sensex.

The market breadth favored the sellers. On the BSE, 868 shares rose and 1603 shares fell. A total of 203 shares were unchanged.

Foreign Markets:

Most shares in Europe and Asia declined on Tuesday after an escalation of global trade tensions during the previous session.

Meanwhile, investors are monitoring several high-level meetings as NATO leaders gather in the U.K. to celebrate the 70th anniversary of the organization.

In US, stock indexes fell on Monday, after US manufacturing data showed a continued contraction in November and fresh trade jitters put investors on the defensive.

Buzzing Index:

Metal shares tumbled after US president Donald Trump decided to re impose tariffs on imports of steel and aluminium from Brazil and Argentina after accusing the countries of a 'massive devaluation' of their currencies that hurt US farmers. The move, which was announced by Trump on Twitter on Monday, sharply escalates trade tensions with the two struggling Latin American economies as they build closer ties with China.

The Nifty Metal index fell 2.60% at 2,564.20. Tata Steel (down 5.07%), JSW Steel (down 4.27%), SAIL (down 3.55%), Vedanta (down 3.42%), Hindalco Industries (down 2.39%), Hindustan Copper (down 2.11%), Hindustan Zinc (down 1.19%) and NALCO (down 0.12%) tumbled.

Jindal Steel & Power (JSPL) fell 6.18% after the Supreme Court on Tuesday, 3 December 2019, reportedly refused to allow the sale of Jindal Iron Ore stock.

NMDC rose 2.51% to Rs 108.15. The company's total iron ore production in November 2019 was 2.94 million tonnes as compared to 3.29 million tonnes in November 2018, recording a decline of 10.64%. The iron ore sales remained flat in November 2019 at 2.79 million tonnes.

The Nifty Bank index fell 0.81% to 31,613.35. The index fell 1.59% in three sessions.

Among private sector banks, Yes Bank (down 7.1%), IndusInd Bank (down 1.99%), City Union Bank (down 1.78%), Axis Bank (down 1.5%), Federal Bank (down 1.32%), HDFC Bank (down 0.77%) and ICICI Bank (down 0.36%) declined.

RBL Bank fell 1.96%. The bank said it launched the qualified institutional placement issue for subscription on 2 December. The capital raising committee of the bank approved the floor price for the QIP being Rs 352.57 per equity share, at a 5.5% discount to Monday's closing price.

Among PSU banks, Union Bank of India (down 5.21%), Bank of India (down 4.74%), Punjab National Bank (down 4.41%), Canara Bank of India (down 4.17%), IDBI Bank (down 3.23%), Bank of Baroda (down 3.11%), State Bank of India (down 0.69%), UCO Bank (down 0.58%) declined.

Stocks in Spotlight:

Biocon ended almost flat at Rs 285.90. Biocon and Mylan N.V. announced the US launch of Ogivri (trastuzumab-dkst), a biosimilar to Herceptin (trastuzumab). It will offer Ogivri in both the 420mg and 150mg strengths, increasing access to treatment for thousands of HER2-positive breast and gastric cancer patients. Ogivri was the first biosimilar trastuzumab approved by the U.S. Food and Drug Administration (FDA) and unanimously recommended by the FDA Oncologic Drugs Advisory Committee (ODAC).

Maruti Suzuki India rose 0.06%. The car major announced a price hike across various models effective from January 2020.

Tata Motors fell 1.77%. The auto major announced that the company has bagged an order to supply 2300 buses for public transportation to state transport undertakings. The company aims to deliver all orders by February 2020.

United Spirits fell 1.39%. The company's board approved a scheme of amalgamation of the company's listed subsidiary Pioneer Distilleries ('PDL') with the company.

Politics:

Maharashtra Chief Minister Uddhav Thackeray reportedly ordered a review of all projects/proposals cleared by Devendra Fadnavis's government in the last six months. Further, Thackeray's specific instruction to the bureaucrats is to not release any payment for the projects till the time the Maha Vikas Aghadi government clears them. Payments for only those projects that are 100% complete will be released.

Immediately after taking charge as chief minister, Thackeray announced that the metro car shed at Aarey Colony has been put on hold pending review.

Apart from the Bullet Train project, the other major projects under the scanner are the Mumbai-Nagpur Samruddhi Corridor, estimated to cost Rs 46,000 crore, the Coastal Road linking south Mumbai to the Western suburbs, likely to cost Rs 12,000 crore, the Rs 7,000-crore Versova-Bandra Sea Link, and the construction of the third bridge on the Thane Creek, which is expected to cost Rs 800 crore. There's also the on-going tunnelling for a six-km missing link of the Mumbai-Pune Expressway which is being reviewed, media reports added.

Economy:

Rating agency CRISIL on Monday sharply cut its growth forecast for the current financial year to 5.1% from an earlier estimate of 6.3%. Key short-term indicators like industrial production, merchandise exports, bank credit offtake, tax mop-ups, freight movement, and electricity production, all point to a weakening growth momentum, Crisil said in a research report.

India's (GDP) grew by 4.5% in Q2 September 2019, the lowest since Q4 March 2013. 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.

Karvy Fiasco:

The Securities Appellate Tribunal (SAT) on Tuesday asked Karvy Stock Broking (Karvy) to approach National Stock Exchange of India's (NSE) disciplinary committee on revoking the trading suspension. NSE's disciplinary committee after hearing Karvy's representation will pass final order on whether the trading suspension stays or is revoked by 6 December 2019.

NSE had suspended Karvy's trading license across all segments of equity, cash, commodities and currency. The suspension order by NSE was followed by BSE and Multi commodity Exchange (MCX). Domestic exchanges suspended Karvy's trading licence after discovering that the firm violated exchange rules as well as those of the market regulator. Karvy was indulging in merging its own securities with client securities and used client securities for funding purposes, the exchanges found in their disciplinary proceedings.

Key equity barometers ended almost flat after a volatile session on Monday. Weak economic data and subdued auto sales numbers impacted sentiment. Investors were cautious ahead of the central bank's monetary policy meeting on Thursday, 5 December 2019.

The barometer index, the BSE Sensex, rose 8.36 points or 0.02% to 40,802.17. The Nifty 50 index fell 7.85 points or 0.07% to 12,048.20. The Nifty failed to close above 12,050.

Weakness in pharma and IT shares put pressure on bourses. Strength in telecom shares supported the indices.

In the broader market, the S&P BSE Mid-Cap index fell 0.77% while the S&P BSE Small-Cap index fell 0.39%. Both these indices underperformed the Sensex.

The market breadth was tilted in favor of sellers. On the BSE, 1051 shares rose and 1501 shares fell. A total of 190 shares were unchanged.

Economy:

Rating agency Crisil on Monday sharply cut its growth forecast for the current financial year to 5.1% from an earlier estimate of 6.3%. Key short-term indicators like industrial production, merchandise exports, bank credit offtake, tax mop-ups, freight movement, and electricity production, all point to a weakening growth momentum, Crisil said in a research report.

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.

IHS Markit announced Purchasing Managers' Index (PMI) numbers for India. PMI is an economic indicator derived from monthly surveys of private sector companies. The headline seasonally adjusted IHS Markit India Manufacturing PMI rose to 51.2 in November from 50.6 in October, when it had fallen to a two-year low. The latest reading was below the survey average (53.8) and indicated only a slight improvement in the health of the sector. The indices vary between 0 and 100, with a reading above 50 indicating an overall increase compared to the previous month, and below 50 an overall decrease.

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

Regulatory Action:

NSE on Monday suspended Karvy Stock Broking's license due to non compliance of regulatory provisions of the exchange. This included its trading in capital market, futures & options, currency trading, debt and commodity derivatives segments. Investors with accounts with brokerage will be able to migrate to other brokers.

Rupee and Crude

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 71.665, compared with its close of 71.74 during the previous trading session.

In the commodities market, Brent crude for February 2020 settlement rose $1.35 at $61.84 a barrel.

Foreign Markets:

Shares in Europe and Asia edged higher on Monday as official data over the weekend showed Chinese factory activity rising unexpectedly in November. Also investors clung to hopes Beijing and Washington could reach a compromise in trade talks.

The Purchasing Managers' Index (PMI) bounced back to 50.2 in November, its highest since March, China's National Bureau of Statistics (NBS) said on Saturday. The result compared with 49.3 in October.

In US, stocks closed lower on Friday as investors worried about the deterioration in US-China trade relations after a bill supporting Hong Kong protesters was signed by President Trump late on Wednesday.

President Donald Trump is expected to arrive in the U.K. on Monday morning ahead of a NATO summit. His trip to London comes at a hyper-sensitive time in U.K. politics, with just 10 days to go before Britons head to the ballot box.

Buzzing Index:

The Nifty Pharma index fell 0.74% to 8,128.95. The index has fallen 1.75% in two sessions.

Sun Pharmaceutical Industries (down 2.17%), Dr Reddy's Laboratories (down 1.51%), Lupin (down 0.89%), Cipla (down 0.46%), Aurobindo Pharma (down 0.29%), GlaxoSmithKline Pharmaceuticals (down 0.21%) and Divi's Laboratories (down 0.03%) declined.

The Nifty IT index fell 0.97% to 14,852. The index has fallen 1.78% in two sessions.

Tech Mahindra (down 1.77%), TCS (down 1.55%), MphasiS (down 0.84%), Infosys (down 0.44%), Hexaware Technologies (down 0.43%), Persistent System (down 0.37%) and HCL Technologies (down 0.13%) declined. Wipro rose 0.34%.

Shares of three telecom companies surged after announcing plans to raise telecom tariffs.

Vodafone Idea (up 14.06%), Bharti Airtel (up 3.67%) and Reliance Industries (up 2.28%) gained.

Grasim Industries advanced 2.65% to Rs 807.80. Grasim Industries has exposure to the telecom sector via its 11.55% stake in Vodafone Idea.

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 a mere 50 paise/day to Rs. 2.85/day and offer generous data and calling benefits, Bharti Airtel said.

Meanwhile, Bharti Airtel said the meeting of the board of directors of the company is scheduled to be held on 4 December 2019 to consider and evaluate any and all proposals for raising of funds either by issuance of equity shares, and or bonds including foreign currency convertible bonds / debentures / non-convertible debt instruments along with warrants / convertible debentures / securities and / or any other equity based instruments / securities including through qualified institutions placement or rights issue, or through any other permissible mode or any combination thereof of any of the above.

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

Reliance Industries (RIL) said 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.

Stocks in Spotlight:

RBL Bank fell 0.15% to Rs 373.25. The lender's board has approved the lender's plan to raise about Rs 825 crore via preferential issue of shares, according to an exchange notification.

Jagran Prakashan surged 7.25% to Rs 59.15. The company's board will consider a proposal for buy-back of the fully paid-up equity shares of the company on Monday, 9 December 2019.

Maruti Suzuki India fell 1.55% to Rs 7137.45. The company's total sales fell 1.9% to 1.50 lakh units in November 2019 from 1.53 lakh units in November 2018.

Mahindra & Mahindra rose 0.79% to Rs 534.25. M&M said its overall automotive sales (domestic + exports) stood at 41,235 vehicles in November 2019, compared to 45,101 vehicles during November 2018, down by 9% on a year-on-year basis.

M&M's Farm Equipment Sector sold 21,032 units during November 2019, down by 19% from 25,949 units in November 2018.

Bajaj Auto fell 0.50% to Rs 3160.20 after total vehicles sales declined 1% to 4.03 lakh units in November 2019 as against 4.06 lakh units in November 2018.

Hero MotoCorp slipped 1.08% to Rs 2405.80. The company's total sales tumbled 15.32% to 516,775 units in November 2019 as against 610,252 units in corresponding period last year.

Tata Motors fell 0.28% to Rs 161. The auto major's total vehicle sales slumped 25.32% to 41,124 units in November 2019 from 55,074 units in November 2018.

Key equity market barometers corrected on Friday on worries of slower economic growth in the September quarter. Rising uncertainty over a US-China trade deal also kept sentiment in check. After hitting an intraday low of 12,017.40, the Nifty index managed to close above the 12,050 level. Mid and small-cap stocks bucked weak market trend.

The barometer index, the BSE Sensex, fell 336.36 points or 0.82% to 40,793.81. The Nifty 50 index fell 95.10 points or 0.78% to 12,056.05.

In the broader market, the S&P BSE Mid-Cap index rose 0.16% while the S&P BSE Small-Cap index rose 0.47%. Both these indices outperformed the Sensex.

The market breadth was in the favor of the sellers. On the BSE, 1220 shares rose and 1341 shares fell. A total of 190 shares were unchanged.

Economy:

India's GDP data for September quarter is scheduled to be published after market hours today, 29 November 2019. While Care Ratings, ICRA, Edelweiss expects the economy to have expanded at 4.7% in Q2, DBS and Nomura are on the lower band of the forecasts with projections of 4.3% and 4.2% respectively.

Foreign Markets:

Overseas, shares in Europe and Asia edged lower as investors worried that a new US law backing Hong Kong protests could derail Washington's and Beijing's efforts to end their trade war.

Hang Seng tumbled after US President Trump signed a bill supporting Hong Kong protestors. Hong Kong has been rocked by months of civil unrest initially sparked by a since-withdrawn extradition bill. The bill is in favour of pro democracy and might have grave implications on US China Trade Deal. China's foreign ministry responded, claiming the U.S. had sinister intentions.

Japan's industrial output slipped at the fastest pace since early last year in October. Factory output fell 4.2% in October from the previous month, trade ministry data showed on Friday, swinging from a 1.7% rise the previous month.

The Bank of Korea announced on Friday its decision to keep the benchmark interest rate steady at 1.25%, in line with expectations.

U.S. financial markets were closed Thursday for Thanksgiving Day and will have an abbreviated trading schedule on Friday.

Back in Europe, U.K. consumer confidence remained stuck at its lowest level since 2013 in November, amid uncertainty over the Dec. 12 general election. Meanwhile, French GDP data for the third quarter is due later in the global day.

Buzzing Index:

The Nifty Auto index fell 1.15% to 8,086. The index has corrected by 1.42% in two session from its recent closing high of 8202.85 on 27 November 2019.

Ashok Leyland (down 2.89%), TVS Motor Company (down 2.17%), Mahindra & Mahindra (down 2.12%), Tata Motors (down 2.03%), Hero MotoCorp (down 1.45%), Escorts (down 1.01%), Eicher Motors (down 0.89%), Bajaj Auto (down 0.42%) and Maruti Suzuki India (down 0.12%) declined.

Auto companies will declare November auto sales figures on Sunday, 1 December 2019.

Banks stocks witnessed profit booking. The Nifty Bank index snapped its four days winning streak and declined 0.55% to 31,946.10. The index rose 3.25% in last four trading sessions. It hit a record high of 32,157.05 on 28 November 2019.

Among private sector banks, Federal Bank (down 2.15%), RBL Bank (down 1.89%), Axis Bank (down 1.47%), ICICI Bank (down 1.4%), IndusInd Bank (down 0.08%) and Kotak Mahindra Bank (down 0.06%) declined.

HDFC Bank rose 0.70% to Rs 1274.25. The board of directors of the bank has constituted a search committee to identify a successor to Aditya Puri, the current managing director of the bank, whose tenure ends on 26 October 2020. The search committee, over the next few months, shall evaluate internal and external candidates to ensure smooth transition.

Yes Bank fell 2.50% to Rs 68.30 ahead of its board meeting today to consider fund raising.

A brokerage has upgraded the stock rating to 'buy' from 'hold' and hiked the price target to Rs 101 from Rs 70. The brokerage said underlying franchise strength would attract capital. Further, it believes that the underlying asset quality is acute and largely factored in.

Among PSU banks, Corporation Bank (down 4.55%), Union Bank of India (down 2.7%), Canara Bank (down 2.26%), Bank of Maharashtra (down 2.14%), State Bank of India (down 2.03%), Punjab National Bank (down 1.94%), Central Bank of India (down 1.78%) and Bank of India (down 1.68%) declined.

Stocks in Spotlight:

Shares of the Future Group surged after the Competition Commission of India (CCI) approved the acquisition by Amazon.com NV Investment Holdings LLC in Future Coupons.

Future Enterprises (up 20%), Future Consumer (up 8.8%), Future Market Networks (up 5%), Future Retail (up 3.43%), Future Supply Chain Solutions (up 1.29%) and Future Lifestyle Fashions (up 0.73%) advanced.

Adani Gas jumped 7.89% to Rs 161.30 after CCI approved Total Holdings SAS 37.4% acquisition in Adani Gas. Earlier in October this year, France's Total S.A. signed a deal to acquire a 37.4% stake in Adani Gas. The French energy giant will buy 25.2% stake from shareholders via an open offer and the remaining shares from Adani Family.

Lemon Tree Hotels advanced 3.28% to Rs 63.05 after it announced that the company has launched 101 rooms hotel named Red Fox Hotels in Vijayawada. The hotel is set on the banks of Krishna River and is an ideal destination of travelers.

PNB Housing Finance slipped 3.70% to Rs 532.95 after a foreign brokerage reportedly initiated 'sell' rating on the stock with a price target at Rs 458. The brokerage reportedly noted that PNB Housing had structural challenges that could lead to sub-optimal returns, lack of visibility on bottoming of asset quality and erosion of competitive advantage to limit ability to gain market share.

Shares of Indiabulls Group companies reversed intraday gains after Delhi High Court adjourned Citizen Whistle Blower Forum public interest litigation against Indiabulls Housing Finance to 28 February 2020.

Indiabulls Housing Finance fell 13.12% to end at Rs 290.35. The stock rose as much as 12.75% to hit the day's high of Rs 376.80 in morning trade. It later corrected as much as 16.40% to hit the day's low of Rs 279.40 in mid-afternoon trade.

Indiabulls Real Estate was locked in a lower circuit of 5% at Rs 68. Indiabulls Ventures fell 3.88% to Rs 171.05. Indiabulls Integrated Services was locked in an upper circuit of 5% at Rs 71.65.

Earlier in the day, Indiabulls Housing Finance advanced after the Ministry of Corporate Affairs (MCA) on Thursday found no irregularities in loans extended by Indiabulls Housing Finance (IBHFL) to five companies, as alleged by a Public Interest Litigation (PIL). In September, the petitioners had alleged in the PIL that the loans were given to shell companies. The company had refuted the allegations in the Court and had submitted documentary proofs and bank statements with respect to these loans. Subsequently, the court had issued a perjury notice to the petitioners

Telecom major Bharti Airtel rose 1.28% to end at Rs 442.30. The company said its board will meet on Wednesday, 4 December 2019, to consider raising funds. The announcement was made post trading hours today, 29 November 2019.

Key market barometers ended with decent gains on Thursday. Indices witnessed significant volatility on account of monthly F&O expiry. The November 2019 F&O contracts expired today, 28 November 2019.

The broader market ended on a firm note supported by rally in state-run banks and metal stocks. Reliance Industries (RIL) became the first Indian company to settle above the Rs 10 lakh crore market capitalisation.

The barometer index, the BSE Sensex, rose 109.56 points or 0.27% to 41,130.17, its record closing high. The Nifty 50 index rose 53.60 points or 0.44% to 12,154.30, its record closing high.

The Sensex hit an all-time high of 41,163.79 and the Nifty hit a record high of 12,158.80 in late trade today.

In the broader market, the BSE Mid-Cap index rose 0.97% and the BSE Small-Cap index rose 0.45%.

The market breadth favoured the buyers. On the BSE, 1283 shares rose and 1201 shares fell. A total of 196 shares were unchanged.

Economy:

India's GDP data for September quarter is scheduled to be published on Friday, 29 November 2019. Ratings firm ICRA expects further deterioration in the growth of India's GDP to 4.7% in Q2 of FY2020, due to weakening momentum in the industry.

The Organisation for Economic Co-operation and Development (OECD) recently cut India's economic growth forecast for 2019 to 5.8%, but said it would pick up to 6.2% in 2020 and further to 6.4% in 2021. India's economy grew 6.8% in FY19.

Meanwhile, the government on Thursday sought approval of Parliament to authorize gross additional expenditure of Rs 21,246.16 crore in the first batch of Supplementary Demands for Grants (SDFG) for financial year 2019-20, with proposals involving net cash outgo aggregated to Rs 18,995.51 crore. Finance Minister Nirmala Sitharaman moved in the Lok Sabha the Supplementary Demands for Grants that includes 64 Grants and two Appropriations.

Politics:

Shiv Sena president Uddhav Thackeray will take oath as chief minister of Maharashtra on Thursday evening at the Shivaji Park in Mumbai. Uddhav will be the first member from the Thackeray family to become the chief minister and the third Shiv Sena leader to hold the top post after Manohar Joshi and Narayan Rane. He will be leading a government of the Maha Vikas Aghadi, an alliance of Shiv Sena, Nationalist Congress Party (NCP), and the Congress.

In a shocking development, BJP's Devendra Fadnavis and Ajit were sworn-in as chief minister and deputy chief minister on Saturday morning. The duo stepped down from their posts on Monday evening after the Supreme Court ordered a floor test in the 288-member Assembly the next day.

Overseas:

Shares in Europe and Asia corrected as investors monitored friction between the US and China over the Hong Kong protests.

Trump reportedly signed into law two bills backing protesters in Hong Kong. That move came despite past objections by China amid ongoing trade negotiations between Beijing and Washington for an anticipated 'phase one' deal. Hong Kong's government on Thursday voiced strong opposition to the move, saying it will send the wrong signal to protesters.

US markets edged up for a fourth straight day to score another round of records Wednesday, supported by rosier US economic data and ongoing hopes for a US-China trade deal. US financial markets will be closed on Thursday for Thanksgiving Day and will have an abbreviated trading schedule on Friday.

In US economic data, a revised estimate of third-quarter GDP that showed the U.S. economy expanded at a 2.1% annual pace versus a previous estimate of 1.9%. The Federal Reserve's Beige Book reported US businesses have seen continued growth in economic activity, wages and prices during recent weeks, and they maintain a generally positive outlook.

Back in Europe, traders digested polling data out of the U.K. ahead of a crucial 12 December election. A YouGov poll showed Prime Minister Boris Johnson on course to win a solid majority of 68 seats in Parliament.

Buzzing Indices:

The Nifty Metal index rose 1.98% to 2,654.35. The index rose 0.86% in the previous session.

JSW Steel (up 4.29%), NALCO (up 3.77%), Jindal Steel & Power (up 3.61%), NMDC (up 3.09%), Sail (up 2.57%), Tata Steel (up 2.53%), Hindustan Zinc (up 1.15%), Hindalco Industries (up 0.52%), Hindustan Copper (up 0.49%) and Vedanta (up 0.31%) advanced.

The Nifty PSU Bank index jumped 3.44% to 2,715.60. The index has risen 5.27% in two sessions.

Union Bank of India (up 10.39%), Corporation Bank (up 10%), Punjab & Sind Bank (up 5.41%), IDBI Bank (up 5.26%), Punjab National Bank (up 5.1%), Syndicate Bank (up 4.97%) and Indian Bank (up 4.35%) surged.

State Bank of India (SBI) rose 1.56% to Rs 348.95. SBI Cards, the credit card arm of SBI, filed Draft Red Herring Prospectus (DRHP) for its initial public offer (IPO) with Sebi.

SBI Cards will reportedly offer up to 13.05 crore equity shares via offer for sale route. This will include up to 3.72 crore share sale by SBI and up to 9.32 crore shares on offer by Carlyle Group (CA Rover). In addition, the company will also issue fresh equity shares of Rs 500 crore, the reports added.

Stocks in Spotlight:

Index major RIL rose 0.65% at Rs 1579.95. The stock hit a record high of Rs 1584 in late trade to close above 10-lakh crore market-cap.

Among other index pivotals, ICICI Bank rose 2.68% and TCS rose 1.16%.

HDFC twins declined. HDFC fell 1.13% and HDFC Bank fell 1.01%.

RBL Bank rose 3.63%. RBL Bank said that the meeting of the board of directors of the bank is scheduled on 30 November 2019 to consider fund raising via equity shares issue.

Balaji Amines jumped 4.89% after the company said it received environmental clearance for setting up the proposed chemicals manufacturing unit in Maharashtra.

Tata Communications surged 7.28% after the company said it will provide global internet and cyber security services to Singapore's Kacific Broadband Satellites Group.

Zee Entertainment Enterprises (ZEEL) fell 2.72% after three directors of the company resigned. Among the reasons listed are film advances of Rs 2200 crore given in 2018-19, laxity in spending funds for corporate social responsibility (CSR) and large outstanding dues from Essel group companies Dish TV and Siticable.

Shares of the Indiabulls group jumped after Rajya Sabha MP and veteran Bharatiya Janata Party leader Subramanian Swamy in a tweet appreciated the transparency of the Indiabulls Housing Finance.

Indiabulls Housing Finance surged 24.65% while Indiabulls Real Estate, Indiabulls Integrated Services and Indiabulls Ventures, all three were locked in upper circuit of 5%.

Swamy tweeted, In this hour of economic tailspin, wage earners & middle class families who have placed in trust their life savings in financial companies should be generously given back their investments & that in turn Banks should have liberal attitude toward these companies on pending loans.

Many have responded with their willingness but surprised to receive from India Bulls a transparent response sending company documents with bank statements. I have asked my legal team to examine these documents.

The Sensex and the Nifty scaled record closing peaks on Wednesday as investors tracked positive mood around US-China trade talks. However, strong gains were capped amid surprising turn of political events in the Maharashtra. Investors were also concerned about India's economic growth.

The barometer index, the BSE Sensex, rose 199.31 points or 0.49% to 41,020.61, its record closing high. The Nifty 50 index rose 63 points or 0.52% to 12,100.70, its record closing high.

In the broader market, the S&P BSE Mid-Cap index rose 0.82% while the S&P BSE Small-Cap index rose 0.19%.

The market breadth ended in the favour sellers. On the BSE, 1227 shares rose and 1289 shares fell. A total of 213 shares were unchanged.

Politics:

Ahead of his swearing-in ceremony on Thursday, Maharashtra CM-designate Uddhav Thackeray met Governor Bhagat Singh Koshyari at Raj Bhavan on Wednesday. Thackeray, who is the first from his family to be sworn-in as the CM, will have six months to become a member of the Legislative Assembly.

Newly-elected 288 MLAs were administered the oath in the Maharashtra Assembly today. The final break-up of the number of cabinet berths in the Maharashtra Assembly for the Shiv Sena-NCP-Congress alliance has been decided upon. The Shiv Sena has 16, the NCP 15, while the Congres has a total of 13 berths. The development comes a day after Devendra Fadnavis tendered his resignation following the Supreme Court's order for a floor test. NCP's Ajit Pawar also resigned as the Deputy chief minister. He later met NCP chief and his uncle Sharad Pawar at the latter's residence.

Economy:

India's GDP data for September quarter is scheduled to be published on Friday, 29 November 2019. Ratings firm ICRA expects further deterioration in the growth of India's GDP to 4.7% in Q2 of FY2020, due to weakening momentum in the industry.

The Organisation for Economic Co-operation and Development (OECD) recently cut India's economic growth forecast for 2019 to 5.8%, but said it would pick up to 6.2% in 2020 and further to 6.4% in 2021. India's economy grew 6.8% in FY19.

Foreign Markets:

Overseas, markets in Europe and Asia edged higher on Wednesday as investors focused on U.S.-China trade talks and an upbeat assessment of the economy from Federal Reserve Chairman Jerome Powell.

As for data, fresh figures showed that Chinese industrial profits dropped for a third consecutive month in October.

US markets advanced to close at new all-time highs Tuesday after top Chinese and U.S. negotiators reportedly agreed on talks toward a preliminary 'phase one' deal, China's Commerce Ministry said Tuesday.

President Donald Trump on Tuesday said that Washington and Beijing were in the final throes of talks aimed at securing a trade deal.

Meanwhile, Fed Chair Powell, in remarks Monday evening, outlined an optimistic view of the US economy but signaled that low inflation would likely keep interest rates low. The Fed chief said that the central bank's three rate cuts this year have helped to spur home purchases, contributing to the economy's longest expansion on record.

In US economic data, consumer confidence fell in November for the fourth month in a row, with the Conference Board's index falling from 125.5 from 126.1 in October.

New-home sales fell in October to a seasonally adjusted annual rate of 733,000, from 738,000 in September. But the Case-Shiller home-price index for September showed home prices rising nationally at a 3.2% annual pace, up from a 3.1% rise in August.

Back in Europe, market participants kept a close watch on the latest political developments out of the U.K., as the country heads for a fresh set of elections on 12 December.

Buzzing Index:

The Nifty Auto index rose 1.27% to 8,202.85. Media reports suggested that the Cabinet may consider approving scrappage policy.

TVS Motor Company (up 4.78%), Maruti Suzuki India (up 2.38%), Tata Motors (up 1.19%), Bajaj Auto (up 1.18%), Hero MotoCorp (up 1.06%), Eicher Motors (up 1.05%) and Mahindra & Mahindra (up 0.22%) advanced.

Ashok Leyland rose 1.3% after the company bagged an order from TN STU (Tamil Nadu State Transport Undertakings) for 1750 buses. This order comes closely on the back of orders received from various state transport undertakings recently, the company added. The announcement was made during market hours today, 27 November 2019.

Stocks in Spotlight:

L&T Finance Holdings rose 4.62% to Rs 107.65 on plans to raise Rs 60 crore through private placement of cumulative compulsorily redeemable non-convertible preference shares. The company will determine price for the proposed issue on 29 November 2019.

Biocon advanced 4.63% to Rs 276.55. Biocon and Mylan's supplemental Biologics License Application (sBLA) for Pegfilgrastim Drug Substance to be manufactured at Biocon's new Biologics manufacturing facility has been approved by the U.S. Food and Drug Administration (FDA). This additional approval of its new manufacturing facility for Pegfilgrastim in Bengaluru will enable Biocon Biologics, a subsidiary of Biocon Ltd, and Mylan to scale up capacity multi-fold and address the growing market opportunities in the U.S. and other global markets. The U.S. FDA had conducted a Pre-Approval Inspection of this new Drug Substance manufacturing facility from 10 to 19 September 2019.

Seamec jumped 6.97% to Rs 507.25 after the company's vessel, Seamec Princess, has been contracted with Posh Subsea for working at Mumbai High Offshore. The tenure of the contract is for a period of 180 days with an option of extension. The value of charter during firm period is

Yes Bank surged 7.65% to Rs 68.25. The bank's board will meet on 29 November 2019 to consider raising of funds by issuing equity/equity linked securities through permissible modes, subject to necessary shareholders and regulatory approvals.

NSE has banned Yes Bank from the derivatives segment after crossing 95% of market wide position limit.

HCL Technologies rose 1.68% to Rs 1128.90. The company said that 7 December 2019 has been fixed as the record date for determining the eligible shareholders entitled for the proposed 1:1 bonus issue of shares.

HDFC rose 1.41% to Rs 2336.30 after a global brokerage maintain 'overweight' rating on the stocks and increased its price target to Rs 2,900 from Rs 2,600.

Cheviot Co. jumped 9.68% to Rs 784 after the Union Cabinet on Wednesday approved extension of norms for mandatory packaging in jute materials.

The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi has accorded its approval for mandatory packaging of foodgrains and sugar in jute material for the Jute Year 2019-2020. The decision of the Cabinet mandates that 100% of the food grains and 20% of the sugar shall be mandatorily packed in diversified jute bags.

RBL Bank rose 5.81% to Rs 367.65 after the media reported suggested that the bank is looking to raise about Rs 1,500 crore within a week through a mix of a preferential issue and a qualified institutional placement of equity shares.

CreditAccess Grameen (CAGL) advanced 4.33% to Rs 781.40 after the micro-finance company signed definitive agreements for acquisition of a controlling majority in Madura MicroFinance (MMFL) and subsequently, a merger of MMFL into CAGL.