Morning Notes
31st Dec, 2019
 

Trading Range:

Nifty opened flat at 12275 on Monday and made a high and low of 12286 and 12213 respectively before closing positive at 12256.

Review/Outlook:

For the day, support for Nifty exists at 12180 and 12100 levels whereas resistance for Nifty stands at 12300 and 12350 levels.

Review/Outlook:

Bank Nifty opened gap up at 32487, made a high of 32613, low of 32248, and closed negative at 32355. For the day, support for Bank Nifty exists at 32200 and 32000 levels whereas resistance for Bank Nifty stands at 32550 and 32700 levels.

Market Scan
Benchmark Indices
Index Clsg Chg%
Sensex 41,558 -0.04
Nifty 12,256 +0.08
BSE 200 5,109 +0.09
BSE Midcap 14,972 +0.29
BSE Smallcap 13,649 +0.75
Dow Jones 28,462 -0.64
NASDAQ 8,946 -0.67
 

DERIVATIVES INDICATORS FOR DEC 31, 2019:

NIFTY 12255.85 (+10.05) (+0.08%)
NIFTY JAN FUTURE 12329.30 (73.45 Points Premium)
NIFTY PCR - OI 1.40 (-0.06)
NIFTY OPEN INTEREST 1.31 Cr. (-0.39%)
INDIA VIX 11.00 (+4.85%)
NIFTY ROLLOVER 8%

NIFTY OPTIONS ACTIVITY (30-JAN SERIES)

CALL 12300 CE +1.57 lac Shares
CALL 12400 CE +0.81 lac Shares
PUT 12200 PE +1.34 lac Shares
PUT 12100 PE +1.10 lac Shares
Sectoral Indices (BSE)
Index Clsg Chg%
Auto 18,643 +1.36
Bankex 36,867 -0.26
PSU 6,922 -0.14
Healthcare 13,457 +0.30
IT 15,575 -0.29
 
Market Turn Over (`cr)
Index 30/12 27/12
BSE Cash 1,544 1,753
NSE Cash 26,901 27,383
NSE F&O 1,076,945 800,344
BSE Delivery % 48.30 53.85
Advances / Decines BSE Cash
Adv(%) Dec(%)
BSE 100 60.40 39.60
BSE 200 61.69 38.31
BSE 500 61.88 37.33
Total BSE 52.19 40.66
 
Commodities, Forex & Debt
Clsg Chg%
Crude Oil NYMEX $ bl 61.68 -0.06
Gold Rs./ 10 Gms 38971.00 -0.28
Silver Rs./ Kg 46855.00 -0.24
Rs.- US $ 71.34 -0.14
Rs.- Euro 79.92 +0.01
FII (Rs cr )
30/12* 27/12*
FIIs +757.73 +131.48
MFs - -

*Date refers to the day of activity and not the day on which it is reported.

 
Details Buy Sell Open interest at the
end of the day
Net Position
No. of
Contracts
Value
(Rs. Cr)
No. of
Contracts
Value
(Rs. Cr)
No. of
Contracts
Value
(Rs. Cr)
Value
(Rs. Cr)
Index Futures       23,129.00       1,817.14       28,354.00       2,154.56    1,21,201.00     10,549.74  (337.42)
Index Options  30,02,822.00  2,14,407.99  29,92,530.00  2,13,470.58    5,22,765.00     45,052.52   937.41
Stock Futures    1,23,845.00       8,515.92    1,24,095.00       8,613.85  14,22,089.00     96,266.89    (97.93)
Stock Options       34,097.00       2,481.18       33,553.00       2,438.62       31,144.00       2,062.59     42.56
Total  31,83,893.00  2,27,222.23  31,78,532.00  2,26,677.61  20,97,199.00  1,53,931.74   544.62
Corporate News
Reliance Industries Ltd and BP Exploration (Alpha) Limited (BPEAL) has bought its estranged partner Niko Ltd’s 10 per cent stake in the KG-D6 for $36 million. Niko (NECO) Ltd, the indirect subsidiary of Niko Resources Ltd, had entered into a settlement agreement with Reliance and BPEAL under which it agreed to withdraw from D6 production sharing contract (PSC) and settle its arbitration case filed under the rules of the London Court of International Arbitration in December 2017 in exchange for a settlement amount of $36 million, subject to adjustment prior to closing, the company said in a statement. (BL).
Energy Efficiency Services Ltd (EESL) and Hindustan Petroleum Corporation Ltd (HPCL), will be setting up public charging infrastructure as part of the National Electric Mobility Programme. The companies have entered into a two-year Memorandum of Understanding (MoU) to synergise business development for setting up Public Charging Infrastructure to boost electric mobility in India. Collaboration for planning, development and installation of charging installations at suitable locations for two, three, and four-wheeler vehicles is covered under this MoU. (ET).
Pitti Engineering has recently set up manufacturing plant in Aurangabad with an investment of Rs.160 crore and plans to invest another Rs.90 crore in the second phase over the next two years. The company has also invested Rs.40 crore in modernising its manufacturing facility at Hyderabad. (BL).
NTPC will be forking out close to Rs.15,000 crore this fiscal to buy out the Centre’s stake in North Eastern Electric Power Corporation Ltd (NEEPCO) and THDC India Ltd (THDCIL). According to company officials in the know, NTPC is planning to complete the buyout by the end of FY20 in a bid to aid the Centre that is struggling to meet its disinvestment targets. So far this fiscal, the Centre has mobilised Rs.17,364.26 crore through disinvestments. It has a target to garner Rs.1,05,000 crore through disinvestment proceeds before the end of the current fiscal. (BL).
Dr. Reddy’s Laboratories Ltd has announced the launch of Sodium Nitroprusside Injection, 50 mg/2 mL (25 mg/mL) Single-dose Vial, the therapeutic generic equivalent of Nitropress Injection approved by the US Food and Drug Administration (USFDA). The Nitropress brand and generics had US sales of approximately $8 million MAT for the most recent twelve months ending in October 2019 according to IQVIA Health, the company informed. Dr. Reddy’s Sodium Nitroprusside Injection is available in single-dose 50 mg/2 mL (25 mg/mL) vials. Nitropress is a trademark of Hospira, Inc. (BL).
Mukesh Ambani-led telecom operator Reliance Jio’s subscriber base widened by 9.1 million in October 2019, accounting for a market share of 58.3% wireless broadband users, latest data by Telecom Regulatory Authority of India (TRAI) showed. In the mobile broadband category, RJio, Airtel and Vodafone Idea added 9.1 million, 5.0 million and 3.6 million respectively, translating into market shares of 58.3% 20.9% and 18.5%, respectively. In overall mobile users, Bharti Airtel and Vodafone Idea added 0.1 million and 0.2 million respectively. (BS).
Indian Bank on Monday said it would revise lending rates on marginal cost of funds from January 3."The bank has revised the marginal cost of funds-based lending rate with effect from January 3, 2020," the city- based bank said in a Bombay Stock Exchange (BSE) filing. Accordingly, the revised MCLR would be 7.90 per cent as against the existing 7.95 per cent for overnight tenors. For tenors of one month, the lending rates would be revised to 8.05 per cent from the current 8 per cent. Lending rates for tenors of three months would be revised to 8.15 per cent from the current 8.20 per cent. For six months tenor, the lending rates would be fixed at 8.20 per cent from January 3 as against 8.25 per cent. Lending rates for tenors of one year would be revised to 8.30 per cent from the current 8.35 per cent, the bank said. (ET).
Andhra Bank said in the press note that it has received capital infusion of Rs200cr towards the contribution of the government in the preferential allotment of equity share of the bank during the FY2019-20, as government’s investment. (ET).
Economy and Sector News
The Central Board of Indirect Taxes (CBIC) on Monday announced the payment of IGST (integrated Goods & Services Tax) refund of ₹1.12-lakh crore, benefitting over 83,500 exporters. Under the IGST Act, 2017, all exports (whether of goods or services) as well as supplies to SEZs (Special Economic Zones) have been categorised as Zero Rated Supplies. This has led to a provision for refund to ensure that tax is not exported. Pending of refunds affects working capital for the exporters, which is why the government gives priority to refund payment. (BL).
To avoid a repeat of this year’s onion crisis, the Centre has decided to create a buffer stock of 1 lakh tonnes of the key kitchen staple in 2020, a senior government official said on Monday. The government had created a buffer stock of 56,000 tonnes for the current year but it was not sufficient to contain the prices which are still ruling above Rs.100 a kg in most cities. As a result, the government has been compelled to import via State-run MMTC. (ET).
FSTC has become the first Approved Training Organisation (ATO) in the region to induct a Level-D Full Flight ATR72-600 simulator, with DGCA giving certification to its brand new ATR72-600 simulator. The simulator has been installed at FSTC’s newly built Hyderabad facility and is ready for training effective immediately. IndiGo has become the first official customer and have already started using the new device to train their ATR72-600 pilots. (BL).
ICRA has revised the year-end outlook for the Renewable energy (RE) sector, from stable to negative. The sector is facing headwinds because of the long delays in making payments by the state distribution utilities; execution delays for projects bid out over the past two years due to challenges in completion, land acquisition difficulties, securing transmission connectivity and; financing in a timely manner. (ET).
* ET - Economic Times, BS - Business Standard, BL - Business Line, TOI - Times of India, Mint, IE - Indian Express, BT - Business Today, IE - Indian Express
Global Markets
 

DJIA and NASDAQ Composite

US markets went red as trade news remained firmly in focus Monday - the fourth day of the so-called Santa Claus rally period, which had typically given a boost to stocks. The Dow Jones Index closed at 28,462, down 183.12 points by 0.64%. The Standard & Poors 500 index closed at 3,221, down 18.73 points by 0.58%. The Nasdaq Composite Index closed at 8,946, down 60.62 points by 0.67%.

FTSE 100

UK markets finished lower on the last full trading session of 2019 on Monday, weighed down by strength in the pound. The FTSE 100 index closed at 7,587, down 57.85 points by 0.76%.

 
 
Global Indices
30/12/2019 Clsg Chg%
Dow Jones 28,462 -0.64
NASDAQ 8,946 -0.67
FTSE 100 7,587 -0.76
Bovespa 115,645 -0.76
31/12/2019 Latest
(4:42AM IST)
Chg%
Nikkei 23,657 -0.76
Hang Seng 28,319 +0.33

Nikkei

Asian markets started trading early in the morning on Tuesday on a negative note as the investors watch the US markets closely. Nikkei is currently trading at 23,657, down 181.10 points by 0.76%.

Precious Metals

Gold prices clinched a 5-day win streak on Monday, its longest in about 6 months, while settling near a three-month high as investors got ready for the end of 2019 with one day remaining in trade.

Base Metals

The benchmark three-month nickel price on the London Metal Exchange was the standout of the base metals complex, continuing to edge higher at the close on Monday December 30 and ignoring rising stock levels.

Crude Oil

Oil futures ended with small losses Monday, snapping a four-day winning streak in quiet trading in the next-to-last trading session of the year.

 
 
 

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