Morning Notes
12th Dec, 2019
 

Trading Range:

Nifty opened gap up at 11867 on Wednesday and made a high and low of 11923 and 11832 respectively before closing positive at 11910.

Review/Outlook:

For the day, support for Nifty exists at 11840 and 11790 levels whereas resistance for Nifty stands at 11960 and 12020 levels.

Review/Outlook:

Bank Nifty opened flat at 31152, made a high of 31338, low of 30996, and closed positive at 31257. For the day, support for Bank Nifty exists at 31000 and 30800 levels whereas resistance for Bank Nifty stands at 31400 and 31600 levels.

Market Scan
Benchmark Indices
Index Clsg Chg%
Sensex 40,413 +0.43
Nifty 11,910 +0.45
BSE 200 4,962 +0.47
BSE Midcap 14,595 +0.52
BSE Smallcap 13,147 +0.01
Dow Jones 27,911 +0.11
NASDAQ 8,654 +0.44
 

DERIVATIVES INDICATORS FOR DEC 12, 2019:

NIFTY 11910.15 (+53.35) (+0.45%)
NIFTY DEC FUTURE 11938.15 (28.00 Points Premium)
NIFTY PCR - OI 1.21(+0.04)
NIFTY OPEN INTEREST 1.42 Cr. (+1.72%)
INDIA VIX 13.37 (-6.39%)
NIFTY ROLLOVER 5%

NIFTY OPTIONS ACTIVITY (26-DEC SERIES)

CALL 12000 CE -0.83 lac Shares
CALL 11900 CE +2.16 lac Shares
PUT 12000 PE -2.86 lac Shares
PUT 11900 PE +1.92 lac Shares
Sectoral Indices (BSE)
Index Clsg Chg%
Auto 17,567 +0.46
Bankex 35,689 +0.44
PSU 6,653 +0.66
Healthcare 13,279 +0.44
IT 14,987 +0.97
 
Market Turn Over (`cr)
Index 11/12 10/12
BSE Cash 2,098 1,930
NSE Cash 31,906 30,094
NSE F&O 1,331,138 983,279
BSE Delivery % 34.85 40.50
Advances / Decines BSE Cash
Adv(%) Dec(%)
BSE 100 62.38 36.63
BSE 200 66.17 32.84
BSE 500 48.30 49.90
Total BSE 36.30 56.51
 
Commodities, Forex & Debt
Clsg Chg%
Crude Oil NYMEX $ bl 58.76 -0.81
Gold Rs./ 10 Gms 37699.00 +0.34
Silver Rs./ Kg 43825.00 +0.73
Rs.- US $ 70.75 -0.14
Rs.- Euro 78.77 +0.24
FII (Rs cr )
11/12* 10/12*
FIIs -181.93 +733.37
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       21,796.00       1,692.59       22,249.00       1,712.14    1,65,187.00     13,863.97    (19.55)
Index Options  31,94,606.00  2,19,600.75  31,97,045.00  2,19,758.18    6,03,766.00     50,916.43  (157.43)
Stock Futures    1,55,114.00       7,792.59    1,72,742.00       8,074.96  16,02,883.00     93,876.12  (282.37)
Stock Options       75,736.00       3,685.10       73,622.00       3,658.14       67,191.00       3,618.04     26.96
Total  34,47,252.00  2,32,771.03  34,65,658.00  2,33,203.42  24,39,027.00  1,62,274.56  (432.39)
Corporate News
Profiteering watchdog under the Goods & Services (GST) regime, National Anti-profiteering Authority (NAA) on Wednesday held that Nestle’s methodology of passing reduction in the tax was arbitrary. Accordingly, NAA upheld allegation of profiteering of Rs 90 crore. The Company said that it is studying the order and will consider appropriate order as advised. (BL).
Anand Mahindra, Chairman of Mahindra Group, expects good times to return to the auto sector by April next year. The most optimistic people in his group today are those in the auto and farm equipment segments, he said at an event. (ET).
ReNew Power has entered into a joint venture with South Korea based GS E&C for the execution of its 300 MW solar power plant in Rajasthan. The project is part of the capacity auctioned by Solar Energy Corporation of India (SECI) under its tranche-IV auctions concluded earlier this year, the company said in a statement. (BL).
Qatar Investment Authority (QIA) has agreed to invest Rs 3200 crore for 25.1 per cent stake in  Adani Electricity Mumbai Limited (AEML). The deal also includes  subordinated debt investment by QIA in AEML. (ET).
Diversified conglomerate ITC is looking to garner up to 20 per cent of the Rs 7,400-crore frozen food market in India in next three years with the firm expanding its offering in the category, a senior company official said on Wednesday. (BL).
KNR Construction informed the exchanges that it has received a work order for Rs240cr from Chief Engineer (M) GHMC, Hyderabad, for comprehensive Road Maintenance Plan for maintenance of main road in Secunderabad Zone of GHMC under Comprehensive Road Maintenance Contract (CRMC) for 5 years. (BL).
The Union Cabinet approved the Partial Credit Guarantee Scheme to help non-banking finance companies (NBFCs) and housing finance companies (HFCs) with liquidity. (MQ).
BPCL will be in focus as Moody’s have changed the outlook from Baa2(Stable) to Baa2(Negative) in respect of senior unsecured debts-Foreign Currency. (BQ).
The Union Cabinet approved changes to the insolvency law, including provision to ring- fence successful resolution applicants from criminal proceedings with regard to offences committed by previous promoters of a company. (MQ).
Economy and Sector News
Amazon, in partnership with Onida, announced the launch of its Fire TV Edition smart TVs in India on Wednesday, which allows customers to stream and watch their favourite shows and movies from Prime Video, Hotstar, Netflix, YouTube, Sony Liv, Zee5 and Sun Nxt, among others. The Onida Fire TV Edition comes with built-in WiFi, 3 HDMI ports, 1 USB port and 1 earphone port to enable consumers to seamlessly connect their DTH or cable set-top boxes, gaming consoles, sound bars, and home theatre systems. In more news, Asian Development Bank (ADB) on Wednesday lowered India’s economic growth forecast for FY2019 to 5.1 per cent on slowing job prospects, rural distress exacerbated by poor harvest and credit crunch. The multilateral bank, however, expects the growth to pick up to 6.5 per cent next year on supportive government policies. (BL).
Steel demand in the first two months of this quarter had declined 1.8 per cent to 15.4 million tonnes against 15.7 mt logged in same period last year, with no hope of a meaningful recovery expected in December. Notwithstanding the weak demand, domestic steel producers have announced moderate price hikes in November and December, taking a cue from rising international steel prices, said ICRA on Tuesday. In more news, even as a large part of the cotton growing region in Gujarat faces pink bollworm infestation, casting a shadow on the crop outlook, the improved prospects in Maharashtra and Telangana, will help India retain its overall cotton output for the 2019-20 season at 354.5 lakh bales (each of 170 kg). (ET).
The beneficiaries of the Pradhan Mantri Ujjwala Yojana scheme are not opting for enough refills of cooking gas cylinders according to the Comptroller and Auditor General (CAG) of India. This puts a serious question mark on the viability of the scheme, and in fact, there has been a decline in the annual average LPG cylinder refills by PMUY beneficiaries. In more news, automobile dealers’ body FADA on Wednesday said retail sales of passenger vehicles in November increased 1 per cent to 2,57,271 units against the same period last year, driven by festive demand during the month. According to Federation of Automobile Dealers Associations (FADA), passenger vehicles (PV) sales stood at 2,55,535 units in November 2018. Two-wheeler sales increased 3 per cent to 17,05,495 units last month as compared with 16,60,082 units in the year-ago period. Commercial vehicle sales, however, declined 8 per cent to 77,394 units as compared to 84,040 units in November last year. Three-wheeler sales saw a 20 per cent increase to 65,348 units last month. Total sales across categories rose 2 per cent to 21,05,508 units in November as against 20,54,296 units in the same month last year. (BL).
India's fuel demand grew by 10.5% in November from a year earlier, its fastest pace since January 2018, driven by higher consumption of transport fuels gasoil and gasoline, and cooking gas. Consumption of refined fuels, a proxy for oil demand in Asia's third largest economy, totalled 18.77 million tonnes in the month, preliminary data from the Petroleum Planning and Analysis Cell (PPAC) of the oil ministry showed on Wednesday. In more news, faced with sustained challenges in raising capital at competitive prices and a slowing economy, non-banking financial (NBFC) sector is set to record their lowest loan growth in over a decade in the ongoing fiscal year of 2020, rating agency Crisil said on Wednesday. As per Crisil’s forecast, Asset Under Management (AUM) for non-banks for the FY20 is set to be between 6 and 8 percent; nearly half of the 15 percent growth the sector recorded in the previous fiscal year. In comparison, NBFCs, between the financial year of 2010 and 2018, grew their loan books at an average growth rate of nearly 18 percent. (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 recorded some small gains on Wednesday as market participants digested the latest policy announcement from America's central bank. The Dow Jones Index closed at 27,911, up 29.58 points by 0.11%. The Standard & Poors 500 index closed at 3,142, up 9.11 points by 0.29%. The Nasdaq Composite Index closed at 8,654, up 37.87 points by 0.44%.

FTSE 100

UK markets finished on a mixed note on Wednesday as the latest election poll raised the prospect of a hung parliament, which in turn served to drag the second-tier index lower. The FTSE 100 index closed at 7,216, up 2.49 points by 0.03%.

 
 
Global Indices
11/12/2019 Clsg Chg%
Dow Jones 27,911 +0.11
NASDAQ 8,654 +0.44
FTSE 100 7,216 +0.03
Bovespa 110,964 +0.26
12/12/2019 Latest
(4:54AM IST)
Chg%
Nikkei 23,392 -0.08
Hang Seng 26,645 +0.79

Nikkei

Asian stocks started trading early in the morning on Thursday on a negative note as the investors will be closely watching the US markets. Nikkei is currently trading at 23,392, down 18.33 points by 0.08%.

Precious Metals

Gold prices settled higher Wednesday, supported by uncertainty about international trade policy, then seesawed in electronic trading after the Federal Reserve left its benchmark interest rate unchanged, as expected.

Base Metals

Nickel gained more than 3% on the London Metal Exchange on Wednesday December 11, closing at a two-week high.

Crude Oil

Oil futures finished lower on Wednesday after U.S. government data showed an unexpected climb in domestic supplies of crude oil, as well as sizable gains in gasoline and distillate stockpiles.

 
 
 

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