Indian Stock Market News, Equity Market and Sensex Today in India | Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Indian Indices Trade in Red; Telecom Stocks Under Pressure
Wed, 20 Sep 01:30 pm | Prasheel Vartak, TM Team

After opening the day marginally higher, share markets in India witnessed volatile trading activity are currently trading below the dotted line. Sectoral indices are trading on a mixed note with stocks in the auto sector and stocks in the telecom sector leading the losses, while stocks in the capital goods sector and stocks in the pharma sector are trading in green.

The BSE Sensex is trading down by 12 points (down 0.1%), and the NSE Nifty is trading down by 11 points (down 0.1%). Meanwhile, the BSE Mid Cap index is trading flat, while the BSE Small Cap index is trading down by 0.1% The rupee is trading at 64.33to the US$.

In news from stocks in the steel sector. Tata Steel share price is in top focus today after Germany's Thyssenkrupp and Tata Steel struck a preliminary deal on Wednesday to merge their European steel operations.

The merger would be a 50:50 joint venture between the two companies and would make the merged entity Europe's second largest steel operation after ArcelorMittal.

The new company, to be named Thyssenkrupp Tata Steel, would be headquartered in or near Amsterdam, Thyssenkrupp said in a statement on Wednesday after the two companies signed a memorandum of understanding (MoU).

The deal will not involve any cash and both groups would contribute debt and liabilities to achieve an equal shareholding and remain long-term investors.

The companies said they need to consolidate to address overcapacity in the European steel market, which faces cheap imports from China and elsewhere, subdued demand for construction and inefficient legacy plants.

Tata Steel last month reached a landmark deal that will allow it to reduce 15 billion pounds ($20 billion) in pension liabilities, long seen as the main hurdle in talks between the companies, which have lasted more than a year-and-a-half.

The MoU will be followed by negotiations about the details of the transactions as well as due diligence before a joint venture contract can be signed at the beginning of 2018. The deal would also require the approval of Thyssenkrupp's supervisory board and Tata Steel's board of directors as well as that of the European Commission.

Just Released: Multibagger Stocks Guide
(2017 Edition)

In this report, we reveal four proven strategies to picking multibagger stocks.

Well over a million copies of this report have already been claimed over the years.

Go ahead, grab your copy today. It's Free.

NO-SPAM PLEDGE - We will NEVER rent, sell, or give away your e-mail address to anyone for any reason. You can unsubscribe from The 5 Minute WrapUp with a few clicks. Please read our Privacy Policy & Terms Of Use.

At the time of writing, Tata Steel share price was trading up by 0.8%.

Moving on to news from stocks in the telecom sector. Telceom stocks are among the most active in today's trade after the Telecom Regulatory Authority of India (TRAI) cut interconnection usage charges (IUC) levied by telecom firms by 57%. The telecom regulator also said that the IUC will be abolished in early 2020.

Mobile companies currently charge 14 paise a minute for allowing a domestic call from a rival operator to terminate on their network. This charge, called Interconnection Usage Charges or IUC, will be brought down to six paise per minute from 1 October 2017.

IUC is levied by a telecom operator on incoming calls from other networks and the charges are passed on to subscribers.

Debt Levels of Telecom Players on an Uptrend

Incumbents had earlier argued that that any move to lower the IUCs would turn the entire telecom industry sick barring Reliance Jio.

The current cut is considered as a negative for large incumbents like Idea Cellular and Bharti Airtel who stand to lose a large chunk of this revenue stream, which contributes about 14-18% of their operating profits.

Meanwhile, new entrant Reliance Jio could benefit the most from the rate cut.

With the latest cut in charges, it will lead to additional burden for incumbents like Idea Cellular and Bharti Airtel, which are already reeling under significant amounts of debt.

At the time of writing, Bharti Airtel share price was trading up by 0.3% after dropping in early trade, while Idea Cellular share price was trading down by 3.1%.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

Read the latest Market Commentary


What else is happening in the markets today? Dig in...

Equitymaster requests your view! Post a comment on "Indian Indices Trade in Red; Telecom Stocks Under Pressure". Click here!

  

Stock Market Updates

GUJ. STATE PETRONET Share Price Up by 5%; BSE 500 Index Up 1.4% (Today's Market)

Mar 2, 2021 03:31 PM

GUJ. STATE PETRONET share price is trading up by 5% and its current market price is Rs 262. The BSE 500 is up by 1.4%. The top gainers in the BSE 500 Index are GUJ. STATE PETRONET (up 5.2%) and GSK CONSUMER (up 5.1%). The top losers are BAYER CROPSCIENCE and LAURUS LABS.

GUJARAT PIPAVAV PORT Share Price Up by 12%; BSE REALTY Index Up 0.8% (Today's Market)

Mar 2, 2021 03:23 PM

GUJARAT PIPAVAV PORT share price is trading up by 12% and its current market price is Rs 114. The BSE REALTY is up by 0.8%. The top gainers in the BSE REALTY Index is GUJARAT PIPAVAV PORT (up 12.5%). The top losers are PRESTIGE ESTATES and PHOENIX MILL (down 0.2%).

STRIDES PHARMA SCIENCE Share Price Up by 5%; BSE HEALTHCARE Index Up 1.1% (Today's Market)

Mar 2, 2021 03:23 PM

STRIDES PHARMA SCIENCE share price is trading up by 5% and its current market price is Rs 878. The BSE HEALTHCARE is up by 1.1%. The top gainers in the BSE HEALTHCARE Index is STRIDES PHARMA SCIENCE (up 5.1%). The top losers are AJANTA PHARMA (down 0.4%) and CAPLIN POINT (down 0.4%).

JAGRAN PRAKASHAN Share Price Down by 7%; BSE 500 Index Up 1.3% (Today's Market)

Mar 2, 2021 03:23 PM

JAGRAN PRAKASHAN share price is trading down by 7% and its current market price is Rs 63. The BSE 500 is up by 1.3%. The top gainers in the BSE 500 Index are SYMPHONY (up 20.0%) and SHIPPING CORP (up 20.0%). The top losers is JAGRAN PRAKASHAN (down 7.4%)..

JK LAKSHMI CEMENT Share Price Up by 11%; BSE 500 Index Up 1.0% (Today's Market)

Mar 2, 2021 03:15 PM

JK LAKSHMI CEMENT share price is trading up by 11% and its current market price is Rs 438. The BSE 500 is up by 1.0%. The top gainers in the BSE 500 Index are JK LAKSHMI CEMENT (up 11.0%) and TTK PRESTIGE (up 11.1%). The top losers are CROMPTON GREAVES CONSUMER ELEC. and RAYMOND .

Sensex Trades Over 200 Points Higher; Dow Futures Down by 90 Points (Today's Market)

Mar 2, 2021 12:30 pm

BSE Sensex is trading up by 209 points, while the NSE Nifty is trading up by 76 points.

View More Indian Share Market News

Most Popular

It's the Beginning of a New Bull Phase in Smallcaps(Profit Hunter)

Feb 24, 2021

Last time the smallcap index crossed 19k a big correction followed. Here's what makes it different this time.

Make Rs 5,000 Per Day Trading the Market(Fast Profits Daily)

Feb 25, 2021

In this video, I'll show you how to get started on the path to daily trading profits.

I Believe the Investment of the Year Will Be...

Feb 19, 2021

In this episode, ace trader Brijesh Bhatia talks to us about the best investments of 2021, his profitable trading system, and much more.

The Hidden Tesla in My Great Indian Wealth Project(Profit Hunter)

Feb 23, 2021

An Indian company founded three decades ago in a garage caught my attention...

More

India's #1 Trader
Reveals His Secrets

Secret To Increasing Your Trading Profits Today
Get this Special Report,
The Secret to Increasing Your Trading Profits Today, Now!
We will never sell or rent your email id.
Please read our Terms

S&P BSE SENSEX


Mar 2, 2021 (Close)

MARKET STATS