Markets this week: Sensex, Nifty dip 0.8%; Bharti Infratel, Yes Bank top gainers, UPL top loser

In a major relief to the sector, the Narendra Modi government on Thursday asked the Department of Telecommunications (DoT) not to take any coercive action against telecom companies for non-payment of adjusted gross revenue (AGR) dues until further court orders.

Yes Bank surged 9 percent this week after after SBI chairman Rajnish Kumar said the troubled lender "will not be allowed to fail".

“Yes Bank is a significant player in the market with an almost $40 billion balance-sheet. I have a feeling that it will not be allowed to fail,” Kumar said in Davos on Wednesday.

Grasim shares also recovered from last week's correction after government breather to the telecom sector. Grasim holds 11.55 percent stake in Vodafone Idea.

Bharti Airtel was another major gainer this week, rising as much as 4.8 percent as the Narendra Modi government on Tuesday approved up to 100 percent foreign direct investment (FDI) in Bharti Airtel from 49 percent allowed earlier.

Earlier, Bharti Telecom, a promoter of Bharti Airtel, had sought government nod for the infusion of Rs 4,900 crore investment from Singapore-based Singtel and other foreign entities. The fund infusion will enhance foreign stake-holding in Bharti Telecom to over 50 percent that will make it a foreign-owned entity.

Larsen & Toubro, Titan, UltraTech Cement, BPCL, GAIL and Britannia also rose between 2 and 4.5 percent this week.

Among major Nifty losers, UPL fell 7.8 percent this week after reports that Income tax Department conducted searches at the company's offices and premises on suspected tax evasion and account manipulation by the company. The BSE has also sought clarification from the company.

Coal India at 6.7 percent, ONGC at 5.6 percent, Tata Motors at 5.5 percent and NTPC at 5.3 percent were other major Nifty losers this week.

BlackRock, the world's largest money manager with $7 trillion under management, will cut its equity in Coal India to zero by the middle of the year, according to an ET report.

From the midcap space, shares of AU Small Finance Bank surged 22 percent this week. The stock gained 13 percent on Friday to hit a lifetime high of Rs 1,097.90 after the lender's net profit doubled on year in the December quarter to Rs 190 crore, surpassing street estimates.

Goa Carbon, Supreme Infra, Century Textiles, Westlife Development, Shalimar Paints were other major midcap gainers this week, rising by up to 27.5 percent.

Among midcap losers, PNB Housing fell 9 percent this week on weak December quarter earnings. The stock fell 12 percent intra-day on Friday. The company has posted 22 percent degrowth in its Q3FY20 net profit at Rs 237.02 crore versus Rs 302.97 crore, YoY. The net interest margin was reported at a five-quarter low of 2.98 percent.

Edelweiss Financial, SICAL, Gayatri Projects, Sharda Corp, IndoCount, Nitco were other major midcap losers this week, falling by up to 12.8 percent.