Equities close higher despite sharp dip in Q1 GDP, Airtel top winner after AGR verdict

Investors brushed aside nearly 24 per cent fall in the economy during Q1 FY21 that was largely expected with equity benchmark indices closing higher on Tuesday after a volatile trading session.

The BSE S&P Sensex closed 273 points or 0.71 per cent up at 38,901 while the Nifty 50 gained by 83 points or 0.73 per cent at 11,470.

Except for Nifty IT and banking stocks, which fell marginally, all sectoral indices at the National Stock Exchange were in the green with Nifty metal gaining by 3.1 per cent, pharma by 2.3 per cent and FMCG by 1.3 per cent.

Among stocks, Bharti Airtel was the top winner with a gain of 7.1 per cent at Rs 549.60 per share after the Supreme Court allowed telecom operators to pay adjusted gross revenue (AGR) dues over 10 years.

Vodafone Idea, however, dipped by 12.7 per cent to Rs 8.89 per share. Metal majors gained substantially with JSW Steel up by 6.4 per cent to Rs 287.10 per share, Hindalco by 5.2 per cent and Tata Steel by 4.1 per cent.

The other prominent gainers were Asian Paints, Bajaj Finance, Bajaj Finserv, NTPC, Cipla and State Bank of India.

However, Bharti Infratel dipped by 5.1 per cent to Rs 188.40 per share. ONGC, IndianOil Corporation, Coal India, Tech Mahindra and Tata Consultancy Services, too, traded with a negative bias.

Meanwhile, Asian stocks edged higher after the Caixin/Markit Manufacturing Purchasing Managers' Index (PMI) showed China's factory activity expanded at the fastest pace in nearly a decade in August due to first increase in new export orders this year.

The Hang Seng Index in Hong Kong traded 0.03 per cent higher while the Shanghai Composite also recovered early losses to stand 0.44 per cent higher. Japan's Nikkei was virtually flat as South Korea's Kospi gained by 1.01 per cent.

( With inputs from ANI )