Sensex, Nifty flat; jewellery stocks rally on Dhanteras day

Moneycontrol Bureau11:55 am Consolidation? Tata Steel said it continues to pursue European consolidation strategy and is in talks with Thyssenkrupp AG for potential JV for European steel business, following purported disclosure from ousted chairman Cyrus Mistry that some group firms could face a potential writedown of USD 18 billion.

"In response to the recent media reports, Tata Steel would like to clarify that it continues to pursue its European consolidation strategy and the talks with thyssenkrupp AG (as announced on July 8, 2016) for a potential joint venture of its European steel business are currently ongoing and progressing," Tata Steel said in a BSE filing.

"However, there can be no guarantee that these talks will result in a definitive agreement between the parties," it added.

11:45 am Tata Group: Tata group stocks lost ground for the third day amid concerns about purported disclosure made by ousted group chairman Cyrus Mistry about huge write- down risks at some firms, taking the total market value erosion to over Rs 26,000 crore this week.

Barring TCS, rest of the other major group companies saw continued decline in stock price. TCS ended 0.68 percent higher on BSE.

Tata Motors scrip fell by 1.44 percent, Tata Power slipped 1.36 percent and Tata Steel went down by 0.44 percent.

11:30 am Boardroom: Ramdev-led Patanjali is helping create more demand and is contributing to the growth of the market, says NH Bhansali, Chief Executive Officer, Emami Group. It is giving healthy competition to the industry and is a huge positive for the ayurvedic sector.

Bhansali expects 16-17 percent revenue growth in the current fiscal. He is also confident that Emami will be able to sustain its operating margins at the current levels of 30 percent.

The company is on the look-out for acquisitions. They are primarily looking for acquisitions in personal care and health care sectors.

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The market is marginally in green with the Sensex up 27.90 points or 0.1 percent at 27943.80. The Nifty is up 22.55 points or 0.3 percent at 8637.80. About 1536 shares have advanced, 657 shares declined, and 190 shares are unchanged.

Coal India, Tata Motors, Dr Reddy's, Axis Bank and Tata Steel are top gainers while ICICI Bank, Bharti Airtel, Ciipla, GAIL and ITC are losers in the Sensex.

Gems and jewellery stocks are shinning spurted by festive buying on Dhanteras. Dhanteras is an Indian festival when gold buying is considered auspicious. Stocks like Titan, Gitanjali Gems and PC Jewellers are gainers.