Equity benchmarks Sensex and Nifty open lower amid weak global cues

Nifty50 slipped by 18.30 points or 0.07% to 24,680.55

MUMBAI: The equity benchmarks, Nifty50 and Sensex, started lower on Wednesday – August 21-, tracking weak global market trends. The BSE Sensex declined by 135.61 points or 0.17 per cent to 80,667.25, while the Nifty50 slipped by 18.30 points or 0.07 per cent to 24,680.55.

Among the top gainers on the NSE were Divi’s Labs, HDFC Life, Tata Motors, and Bharti Airtel. Conversely, Shriram Finance, UltraTech Cement, and Tata Steel were the top laggards.

However, broader markets opened on a positive note. The Nifty SmallCap index rose by 0.47%, while the MidCap index traded 0.14 per cent higher.

In sectoral performance, the Nifty FMCG and Media indices led the gains, while the IT, Banking, and Realty sectors were under pressure.

NSE F&O ban list update

The National Stock Exchange (NSE) has banned trading in the futures and options (F&O) segment for 16 stocks on Wednesday, August 21, as they exceeded 95% of the market-wide position limit (MWPL). These stocks remain available for trading in the cash market. The 16 stocks on the F&O ban list include Aarti Industries, Aditya Birla Fashion and Retail, Balrampur Chini Mills, Bandhan Bank, Birlasoft, GNFC, Granules India, Hindustan Copper, India Cements, LIC Housing Finance, Manappuram Finance, National Aluminium, Piramal Enterprises, RBL Bank, SAIL, and Sun TV.

The NSE stated that derivative contracts in these securities have crossed 95% of the MWPL, placing them in the ban period. During this period, clients and members are only permitted to reduce their positions. Any attempt to increase open positions will attract penalties and disciplinary action. No new positions are allowed in the F&O contracts for these stocks during the ban period.

Latest developments

IT firm Cyient announced the sale of a 14.5 per cent stake in its subsidiary, Cyient DLM, through a block deal. The floor price for the sale is set at Rs748.65 per share, reflecting a 5% discount from the previous close. The transaction is expected to be completed by August 21, 2024, and will help Cyient meet capital requirements and reduce debt.

HG Infra Engineering saw significant promoter activity, with the Harendra Singh Family Trust, Vijendra Singh Family Trust, and Girishpal Singh Family Trust collectively selling shares worth Rs281 crore through open market transactions. The shares were sold at an average price of Rs1,566.5 per share, with Aditya Birla Sun Life Mutual Fund and Societe Generale acquiring stakes.

In the telecom sector, new customer additions by Reliance Jio and Bharti Airtel pushed India’s telecom subscriber base past 120.5 crore in June, according to a Trai report. Reliance Jio added 19.11 lakh new wireless subscribers, while Bharti Airtel added 12.52 lakh. However, Vodafone Idea, BSNL, MTNL, and Reliance Communications experienced subscriber losses.

General Atlantic Singapore Fund FII Pte is expected to sell a 5.1 per cent equity stake in PNB Housing Finance through a block deal, with a floor price likely set at Rs775 per share and an estimated offer size of Rs1,032.7 crore.

Meanwhile, GE Grid Alliance BV and Grid Equipments are reassessing their shareholding structure in GE T&D India and are considering selling a minority stake to simplify ownership.