Markets snap losing streak

Nifty50: 17,503 ▲+86.8 (+0.5%)
Sensex: 58,664 ▲+198.4 (+0.3%)

• After a gap-down opening, the markets recovered and ended in the green today
• The market breadth was positive with 40 Nifty50 stocks posting gains
• All Nifty sectoral indices made gains today
• Metal (+3.3%) and PSU Bank (+2.3%) were top gainers

For more updates on F&O, click here.

Here are the top stories of the day.

After Airtel, Voda-Idea hikes rates

The loss-making telecom player has increased tariff rates for its prepaid customers by 20-25%. It has said that the new plans will start the process of improvement in average revenue per user (ARPU) and help address the financial stress. These new tariff plans will be effective from 25 November 2021.

This comes a day after Bharti Airtel announced similar tariff rate hikes to improve its profitability and help roll out 5G. Shares of Vodafone Idea have gained over 6%, so far this week. 

Alembic Pharma rises on USFDA approvals

The Vadodara-based pharma company has received tentative approval from USFDA for its drug, Dabigatran Etexilate Capsules, which can be used to reduce the risk of stroke and systemic embolism in patients. It’s annual estimated market size was $410 million (about ₹3,000 crore)  according to the IQVIA.

Besides this, Alembic Pharma also received final approval from USFDA for its treatment related to chronic obstructive pulmonary disease. The annual estimated market size for this drug is $310 million (about ₹2,300 crore).

Latent View makes stellar debut

Shares of the data and analytics firm listed at a premium of 160% against their issue price of ₹197. It’s important to note here that Latent View Analytics was oversubscribed 326 times. This comes at a time when some of the recent debutants are trading below their issue price. 

Meanwhile, the IPO rush is expected to continue on the D-street with Star Health Insurance and mining equipment component maker Tega Industries public issues are likely to be launched soon. You can apply for IPOs on Upstox.    

Closing bell

After falling for four consecutive sessions, the markets saw broad-based buying interest. The markets have bounced-up from technical support i.e. trendline support. However, at the moment, it can’t be said that it is completely out of the woods. Meanwhile, the US markets ended weak yesterday. At the same time, the US 10-year Government bond yields have started up moving. Bond yields and equities generally have an inverse relation over the long term. 

Good to know

How do rising bond yields affect equities?

Theoretically, the rise in bond yields is bad news for the stock markets. This is because when the yields (return earned on bonds) rise, these debt instruments become relatively attractive compared to equities. Bonds provide fixed income to investors and are relatively less risky and volatile. Hence, in a rising yield scenario, investors usually trim their exposure to equities and flock towards bonds.

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