Morning Notes
2nd Jul, 2019
 

Trading Range:

Nifty opened gap up at 11840 on Monday and made a high and low of 11885 and 11831 respectively before closing positive at 11866.

Review/Outlook:

For the day, support for Nifty exists at 11790 and 11730 levels whereas resistance for Nifty stands at 11920 and 12000 levels.

Review/Outlook:

Bank Nifty opened gap up at 31271, made a high of 31450, low of 31246, and closed positive at 31372. For the day, support for Bank Nifty exists at 31100 and 30900 levels whereas resistance for Bank Nifty stands at 31500 and 31700 levels.

Market Scan
Benchmark Indices
Index Clsg Chg%
Sensex 39,687 +0.74
Nifty 11,866 +0.65
BSE 200 4,956 +0.60
BSE Midcap 14,889 +0.54
BSE Smallcap 14,283 +0.30
Dow Jones 26,717 +0.44
NASDAQ 8,091 +1.06
 

DERIVATIVES INDICATORS FOR JUL 02, 2019:

NIFTY 11865.60 (+76.75) (+0.65%)
NIFTY JUL FUTURE 11903.65  (38.05 Points Premium)
NIFTY PCR - OI 1.37(+0.08)
NIFTY OPEN INTEREST 1.97Cr. (+1.20%)
INDIA VIX 14.60 (-2.34%)
NIFTY ROLLOVER 6%

NIFTY OPTIONS ACTIVITY (25-JUL SERIES)

CALL 12100 CE +0.32 lac Shares
CALL 11900 CE +1.09 lac Shares
PUT 11900 PE +1.28 lac Shares
PUT 11800 PE +1.34 lac Shares
Sectoral Indices (BSE)
Index Clsg Chg%
Auto 18,124 +1.23
Bankex 35,215 +0.69
PSU 7,777 -0.70
Healthcare 13,029 +1.09
IT 15,655 +0.00
 
Market Turn Over (`cr)
Index 01/07 28/06
BSE Cash 1,654 2,072
NSE Cash 26,285 31,225
NSE F&O 591,774 617,277
BSE Delivery % 40.23 45.58
Advances / Decines BSE Cash
Adv(%) Dec(%)
BSE 100 67.33 31.68
BSE 200 60.70 38.81
BSE 500 57.49 42.32
Total BSE 46.12 48.09
 
Commodities, Forex & Debt
Clsg Chg%
Crude Oil NYMEX $ bl 58.63 -0.78
Gold Rs./ 10 Gms 33643.00 -1.65
Silver Rs./ Kg 36635.00 -2.18
Rs.- US $ 68.96 +0.01
Rs.- Euro 77.82 -0.60
FII (Rs cr )
01/07* 28/06*
FIIs -568.84 +45.92
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       26,269.00       2,109.09       20,963.00       1,662.28    1,88,187.00     15,774.05   446.81
Index Options  15,36,124.00  1,08,943.92  15,24,786.00  1,08,126.11    4,12,917.00     34,626.13   817.81
Stock Futures    1,44,222.00       8,903.50    1,46,903.00       9,228.05  12,87,538.00     83,278.12  (324.55)
Stock Options       51,643.00       3,256.22       51,671.00       3,253.82       30,833.00       1,894.56       2.40
Total  17,58,258.00  1,23,212.73  17,44,323.00  1,22,270.26  19,19,475.00  1,35,572.86   942.47
Corporate News
Auto companies announced sales numbers for June 2019. On YoY basis, Maruti recorded 17% sales drop, Hyundai sales were down 3.2%, Bajaj Auto reported flat sales of less than 1%, TVS Motors sales were down 11%, M&M sales fell by 6%, Tata Motors sales dropped by 14%, and Ashok Leyland sales were down 14%. (BL).
Torrent Power has sought shareholders’ approval to raise up to Rs.1,500 crore through issuance of non-convertible debentures on private placement basis. (ET).
GE Power India Ltd has been awarded three contracts by NTPC Ltd to supply and install Wet Flue Gas Desulfurisation (FGD) systems. A GE statement said the award is for a combined value of Rs 2,311 crore, to improve air quality. (BL).
Mangalore Refinery and Petrochemicals Ltd (MRPL) has announced the restarting of operations at the refinery following the resumption in water supply to it. The company informed the stock exchanges on Monday that water supply to the refinery has been resumed in stages from June 6, and the refinery units have been restarted sequentially. In May, MRPL had announced a partial shut-down of the refinery complex. (ET).
Multinational drugmaker Novartis has introduced a gender-neutral parental policy for its employees in India, in step with what is increasingly becoming a trend in corporate circles. (ET).
The Rs.390-crore Madhu Jayanti International, which is primarily into the manufacture and export of value-added teas, is looking to ramp up its domestic business with its recent acquisition. The company acquired Eveready’s packet tea business and its brands — including Tez Red, Premium Gold and Jaago — for Rs.6 crore. (BL).
IndInfravit Trust has entered into an agreement to acquire the entire shareholding of Ahmedabad-based Sadbhav Infrastructure Project Ltd (SIPL) in nine operational road projects, for about Rs 6,610 crore. (ET).
The Anil Ambani-led Reliance Infrastructure is planning to lease out its marquee headquarters - Reliance Center - in suburban Mumbai, and utilise the entire proceeds to reduce debt. The company, which has a debt of about Rs 5,900 crore, aims to be debt-free in 2020. (BL).
Drug firm Strides Pharma Science on Monday said its step-down subsidiary has signed the definitive agreements for sale of its entire Australian business to Arrow Pharmaceuticals upon receipt of all requisite approvals. (BL).
Drug firm Alembic Pharmaceuticals on Monday said it has received approval from the US health regulator for Clonazepam orally disintegrating tablets, used for treatment of seizures. (ET).
Tata Teleservices (TTSL) and its unit on Monday completed the merger of their consumer business with that of Bharti Airtel and unit Bharti Hexacom, nearly two years after the announcement, transferring their assets, spectrum and some related debt to the Sunil Mittal-promoted carrier and concluding what was the last big-ticket M&A in the stressed sector. (BL).
Billionaire Sajjan Jindal's JSW Energy Monday announced termination of Rs 6,500 crore deal with Jindal Steel and Power Ltd (JSPL) to acquire its 1,000 MW power plant in Raigarh district of Chhattisgarh. (ET).
Economy and Sector News
Liberty Steel on Monday said it has acquired seven steel making units and five service centres from L N Mittal’s ArcelorMittal in Europe for 740 million euros (around Rs. 5,782 crore), according to a company statement. In more news, Indian oil companies’ share in production from the overseas oilfields rose two-and-a half times in five years to 24.7 million metric tonnes of oil equivalent (mmtoe) in 2018-19. In the same period, local production fell 6% to 67.1 mmtoe. (BL).
After three successive months of Rs.1-lakh-crore plus mobilisation, collection from the Goods & Services Tax (GST) dipped in June to little below Rs.1 lakh crore. Meanwhile, Minister of State for Finance and Corporate Affairs Anurag Singh Thakur on Monday warned dishonest traders against using fake invoices to claim fraudulent Input Tax Credit (ITC). In more news, the price of subsidised LPG was reduced by Rs 3.02 per 14.2-kg cylinder to Rs 494.35 in Delhi. In Mumbai, the subsidised 14.2-kg bottle will cost Rs 492.04, compared to Rs 495.09 till Sunday. (ET).
India’s factory production lost momentum in June as the Manufacturing Purchasing Managers’ Index (PMI) slowed down to 52.1 in June, as against 52.7 of May. In more news, aided by a strong show by steel, the eight core industries’ output grew 5.1 per cent in May. This was higher than the 4.1 per cent growth recorded in May 2018, but lower than the 6.3 per cent seen in April 2019. For April-May 2019, the output of the eight core industries — steel, coal, crude oil, natural gas, refinery products, fertilisers, cement and electricity — grew 5.7 per cent, against 4.4 per cent in the same period last year. (BL).
National Commodity and Derivatives Exchange (NCDEX) has increased the maximum compensation limit paid from the Investor Protection Fund to Rs.2.5 lakh from Rs.1 lakh from May 20. The higher compensation limit will be applicable only to claims made after May 20, said the exchange in a statement on Monday. (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 finished in the green on the first day of July on Monday, after a session that saw participants digesting news coming from China, Japan and North Korea over the weekend. The Dow Jones Index closed at 26,717, up 117.47 points by 0.44%. The Standard & Poors 500 index closed at 2,964, up 22.57 points by 0.77%. The Nasdaq Composite Index closed at 8,091, up 84.92 points by 1.06%.

FTSE 100

UK markets extended its recent gains on Monday as the pound was hit by weak manufacturing data and sentiment was boosted by the Sino-US trade truce reached over the weekend. The FTSE 100 index closed at 7,497, up 71.87 points by 0.97%.

 
 
Global Indices
01/07/2019 Clsg Chg%
Dow Jones 26,717 +0.44
NASDAQ 8,091 +1.06
FTSE 100 7,497 +0.97
Bovespa 101,340 +0.37
02/07/2019 Latest
(6:31AM IST)
Chg%
Nikkei 21,717 -0.06
Hang Seng 28,543 -0.28

Nikkei

Asian shares were choppy on Tuesday as weak global manufacturing activity reinforced worries about slowing world growth, while the initial enthusiasm over a Sino-U.S. trade truce gave way to uncertainty over whether the two nations can strike a durable deal. Nikkei is currently trading at 21,717, down 12.39 points by 0.06%.

Precious Metals

Spot gold gained 0.46% to trade at $1,390.49 per ounce on Tuesday.

Base Metals

Nickel’s three-month price on the London Metal Exchange was lower at the close of trading on Monday July 1, failing to sustain recent gains while poor data from China’s manufacturing sector damped buying sentiment.

Crude Oil

Oil prices slipped on Tuesday as worries that a weakening global economy would dent demand for the commodity outweighed OPEC’s decision to extend supply cuts until next March.

 
 
 

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