The Sensex today is down by around 11 points (0.1%), while the NSE-Nifty is down by around 8 points (0.1%). Mid and small cap stocks have opened in the green with the BSE Mid Cap and BSE Small Cap indices up by around 0.1% and 0.2% respectively. The rupee is trading at Rs 59.92 to the US dollar.
Telecom stocks have opened the day on a mixed note with AGC Networks and Reliance Communications leading the gains. However, Tata Teleservices and ADC India Communications Ltd are leading the losses. As per a leading financial daily, the telecom department (DoT) may not allow spectrum sharing and trading among operators for the time being .As per a senior DoT official, there is a fear that spectrum sharing at this stage could encourage cartelisation among operators during the upcoming auctions. This would prevent the government from realising the true value of this resource. DoT has set up an internal committee under the wireless advisor to study the issue and assess the need of sharing of spectrum at this juncture. The mobile operators are likely to be disappointed by the move since they were looking forward to sharing airwaves as a cost-efficient way of managing the shortage of spectrum.
Steel stocks have opened the day mainly in the red with Tata Steel Ltd and Tayo Rolls leading the losses. As per a leading financial daily, Tata Steel Ltd's European arm has reported a record loss of 1.2 bn pounds for the year. This is higher as compared to a loss of 846 m pounds in the previous year. As per the company's filing, the revenues for the year witnessed a decline of 14% YoY. This was mainly due to deterioration in the market conditions in the second half. The European arm was called Corus before being bought over by the Indian conglomerate back in 2007. However, it has been facing a tough time due to falling steel prices, a slowdown in demand and competition from cheap imports.