Nifty regains losses; Bharti makes smart move

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The market regained in the afternoon trade, supported by capital goods, technology, metals and private banks stocks. Even Bharti Airtel played a big supportive role today, rising nearly 7% on hopes that the company may get more spectrum after Supreme Court's verdict on 2G case said all spectrum issues on or post January 2008 would be cancelled. The SC has cancelled 122 2G licenses issued after January 2008.

Idea Cellular gained 3% on hopes of getting more spectrum, though SC cancelled 9 licenses of the company. Reliance Communications lost 4% and Tata Teleservices lost 2%.

The Sensex gained 144 points at 17,444.78 while the Nifty rose 34 points to 5,269.70.

But the fall in index heavyweights SBI and Reliance capped the upside. SBI fell nearly 2%, though it recovered some of its losses after clarification from company on telecom exposure. The bank said it has funded exposure of Rs 1,100 crore and non-fund exposure at Rs 3,400 crore; the bank doesn't see significant risks to non-fund based exposure.

However, shares of BHEL and Sterlite rallied 3.5% each. TCS, ONGC, ICICI Bank, L&T, Infosys, HUL and Wipro gained 1-2%. Realty major DLF shot up 4%.

In the second line shares, Hexaware Tech surged 12% on better than expected numbers in Q3. Jai Corp, Aban Offshore, Shoppers Stop and Prestige Estate were up 8-10.5%.

However, Unitech, Ashok Leyland, Sun Pharma Advanced, Novartis India and SREI Infra slipped 3-7%.

At 11:21 hours IST : Sensex erases gains after SC cancels 122 2G licenses

The market erased more than half of  the gains after Supreme Court cancelled all 122 2G licenses issued on or after January 2008. Banks were battered heavily and even Reliance Industries turned flat after more than a percent gains in early trade. The Sensex was up 85.5 points to 17,386 while the Nifty gained 14 points at 5,249.70.

The SC has cancelled 122 2G licenses issued after January 2008. However, there was a relief for PC Chidambram as Supreme Court dismissed petition to probe his role.

The biggest beneficiary of the verdict is country's largest telecom player Bharti Airtel as it shot up 4% on buzz that the company may get more spectrum. However, Idea Cellular fell 2.6% as SC cancelled 21 licenses of the company. Reliance Communications dropped 4% after its 13 licenses were cancelled.

Even Videocon Industries and Tata Teleservices slipped 2% as SC cancelled 21 and 3 licenses of respective companies. Unitech tanked 9% as 22 licenses got cancelled.

Shares of SBI plunged 3.5% as the bank has Rs 23,000 crore exposure to telecom sector.

ICICI Bank was down 0.2%. HDFC Bank fell 0.8%. PNB lost 1.7%.

Among others, ITC, Tata Motors, HDFC, Tata Steel, Cipla, JSPL and Bajaj Auto were down 0.4-1%.

However, Sterlite Industries and BHEL retained top position in buying list, rising 5% & 3.7%, respectively.

Infosys, L&T and TCS were up 0.6%. HUL, ONGC, M&M, Tata Power and Hero MotoCorp moved up 1-2.5%.