Supreme court AGR plea, blow to telecom shares

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Indian market finishes off with decent gains on Thursday, the Nifty weekly expiry day. On the NSE, the broader Nifty50 index hit a fresh high of 12,389.05-mark. The index, eventually, settled at 12,355.50-mark, up 12.20 points or 0.099 per cent. All the key sectoral indices closed the day with gains, except Nifty Metal index that slipped 1.3% on. Nifty Media index was the top gainer, up 1.42 per cent, on the NSE, followed by Nifty Realty index up by 0.67 per cent.

Global market was fuelled by the trade deal signed between the US and China to take a positive step to settle their long trade dispute. US stocks rallied on Thursday. The Dow Jones Industrial Average DJIA, +0.92% gained 267.42 points, or 0.92%, to 29,297.64.The S&P 500 index SPX, +0.84% advanced 27.52 points, or 0.84%, to 3,316.81 and the Nasdaq Composite index COMP, +1.06% added 98.44 points, or 1.06%, to 9,357.13. Under the terms of the trade agreement signed by President Trump on Wednesday, China is expected to purchase $95 billion more in U.S. commodities than in 2017, and roughly $100 billion more in manufactured goods and services.

Asian shares also rose on Friday morning. The Chinese GDP released came in line with the analyst’s expectation even amid a trade dispute with the U.S. The Chnese economy grew by 6.1% in 2019. Japanese Nikkei index also gained more than 100 points however the HongKong’s Hang Seng was trading on a flatter note.

Domestic market starts on a positive note as the broader Nifty50 index reclaimed the psychological mark of 12,350 and was hovering around 12,380 levels, up 26 points, or 0.2 per cent. The Nifty sectoral indices were trading mixed. Nifty Private Bank index dipped 0.5 per cent while Nifty Auto climbed 0.8 per cent and Nifty Pharma was up 0.5 per cent. In the broader market, the S&P BSE MidCap index climbed 71 points, or 0.46 per cent, while the S&P BSE SmallCap index gained 66 points, or 0.45 per cent.

The Supreme Court rejected pleas by Vodafone Idea, Bharti Airtel and Tata Teleservices to review the October 24verdict that widened the definition of adjusted gross revenue (AGR), leaving the three telcos collectively facing more than Rs 1.02 lakh crore in additional licence fees, spectrum usage charges (SUC), penalties and interest. Shares of Vodafone Idea crashed by 25% to Rs 4.55 and Bharti Infratel slumped 8.2% to Rs 222.95.

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