Sensex, Nifty start on a tepid note; Airtel, RIL top losers

NEW DELHI: Benchmark indices opened on a tepid note on Monday led by weakness seen in index heavyweights Reliance Industries, Bharti Airtel and HDFC. Technical charts were suggesting indecisiveness among investors.

Citing a likely negative free cash flow situation due to heavy debt repayments over the next 18 months, global ratings agency Moody's has lowered the credit outlook on Reliance Industries to 'stable' from 'positive' but retained the Baa2 ratings its long-term debt. The stock was weighing on the benchmark indices.

Besides, a data hack at Apple by a law could release a torrent of carefully hidden information on bank accounts and offshore companies similar to the Panama Papers -a collection of leaked documents from Mossack Fonseca, a legal services firm.

At 9.24 am, the BSE Sensex was trading 4.28 points, or 0.01 per cent, higher at 33,89.84. The index was trading lower in the morning trade. The Nifty50 was trading at 10,445.50 , down 7 points, or 0.07 per cent. India VIX spiked 5.49 per cent to 12.56.

Bharti Airtel fell 1.64 per cent to Rs 532.45. Asian Paints declined 0.72 per cent to Rs 1165. Reliance Industries declined 0.72 per cent to Rs 937.75.

"We have cut our FY18 Nifty EPS estimate is cut by 1.6 per cent to Rs 479 (13 per cent growth) and marginally increased FY19 EPS estimate by 0.8 per cent to Rs 607," Motilal Oswal Securities said in a note.

On the upside, M&M, Adani Ports, Cipla and ITC added up to 1.9 per cent. ITC said it plans to invest Rs 10,000 crore to set up food processing facilities across the country.

Titan company rose 16.29 per cent after HSBC maintained `buy' rating on Titan Company and raised target price to Rs 860 from Rs 700.

Meanwhile, no Nity50 company was scheduled to report quarterly earnings for the day.

Just Dial, Torrent Power, Gujarat Gas, Indian Bank, Thomas Cook, HUDCO, Parag Milk, AstraZeneca Pharma, TRF and Century Textiles are some of the BSE-listed companies which will report September quarter results on Monday.