Morning Notes
16th Jan, 2020
 

Trading Range:

Nifty opened gap down at 12349 on Wednesday and made a high and low of 12355 and 12279 respectively before closing negative at 12343.

Review/Outlook:

For the day, support for Nifty exists at 12280 and 12230 levels whereas resistance for Nifty stands at 12410 and 12500 levels.

Review/Outlook:

Bank Nifty opened gap down at 31995, made a high of 32001, low of 31670, and closed negative at 31825. For the day, support for Bank Nifty exists at 31650 and 31500 levels whereas resistance for Bank Nifty stands at 32000 and 32300 levels.

Market Scan
Benchmark Indices
Index Clsg Chg%
Sensex 41,873 -0.19
Nifty 12,343  -0.15
BSE 200 5,174 +0.04
BSE Midcap 15,506 +0.66
BSE Smallcap 14,534 +1.04
Dow Jones 29,030 +0.31
NASDAQ 9,259 +0.08
 

DERIVATIVES INDICATORS FOR JAN 16, 2020:

NIFTY 12343.30 (-19.00) (-0.15%)
NIFTY JAN FUTURE 12378.05 (34.75 Points Premium)
NIFTY PCR - OI 1.56 (-0.12)
NIFTY OPEN INTEREST 1.45 Cr. (-2.99%)
INDIA VIX 14.12 (+1.49%)
NIFTY ROLLOVER 10%

NIFTY OPTIONS ACTIVITY (30-JAN SERIES)

CALL 12300 CE +0.77 lac Shares
CALL 12500 CE +0.91 lac Shares
PUT 12200 PE -1.36 lac Shares
PUT 12100 PE -1.39 lac Shares
Sectoral Indices (BSE)
Index Clsg Chg%
Auto 18,787 +1.05
Bankex 36,284 -0.70
PSU 7,003 +0.03
Healthcare 13,788 +0.61
IT 16,143 -0.15
 
Market Turn Over (`cr)
Index 15/01 14/01
BSE Cash 3,741 2,912
NSE Cash 36,094 35,268
NSE F&O 1,381,029 1,044,469
BSE Delivery % 52.85 55.84
Advances / Decines BSE Cash
Adv(%) Dec(%)
BSE 100 60.40 39.60
BSE 200 67.16 32.84
BSE 500 64.87 34.53
Total BSE 53.95 39.45
 
Commodities, Forex & Debt
Clsg Chg%
Crude Oil NYMEX $ bl 58.10 +0.50
Gold Rs./ 10 Gms 39611.00 +0.42
Silver Rs./ Kg 46389.00 +1.06
Rs.- US $ 70.83 -0.11
Rs.- Euro 79.01 +0.13
FII (Rs cr )
15/01* 14/01*
FIIs -331.14 +120.79
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       26,622.00       1,954.24       35,388.00       2,864.54    1,59,145.00     13,840.79     (910.30)
Index Options  34,91,082.00  2,49,288.67  34,91,759.00  2,49,186.16    7,61,197.00     63,923.90      102.51
Stock Futures    1,75,257.00     11,941.05    1,87,751.00     12,821.69  15,28,627.00  1,04,091.70     (880.64)
Stock Options       63,154.00       4,595.49       63,750.00       4,640.21       82,222.00       5,685.58       (44.72)
Total  37,56,115.00  2,67,779.45  37,78,648.00  2,69,512.60  25,31,191.00  1,87,541.97  (1,733.15)
Corporate News
National Engineering Industries Ltd (NEI), part of the $2.4 billion diversified CK Birla Group, has acquired Kinex bearings through its wholly-owned European subsidiary. (BL).
Drug firm Alembic Pharmaceuticals on Wednesday said it has received final nod from the US health regulator for Tizanidine hydrochloride capsules, used to treat spasticity. (ET).
Kishore Biyani-led Future Retail on Wednesday said it has raised $500 million through dollar-denominated bonds. (BL).
Sun Pharmaceutical Industries on Wednesday said it has entered into a licensing agreement with US-based Rockwell Medical to commercialise Triferic -- an iron replacement and haemoglobin maintenance drug -- in India. (BL).
L&T Construction, an arm of L&T has bagged orders in the water and effluent treatment, transportation infrastructure and buildings and factories business. The company has classified these orders to be in the range of Rs.2,500 crore to Rs.5,000 crore. (ET).
Telecom operators Bharti Airtel, Reliance Jio and Vodafone Idea have submitted their applications for 5G trials, industry sources said. Airtel has joined hands with Huawei, ZTE, Ericsson and Nokia for 5G trials in the country, while Jio has partnered Samsung, sources said. Vodafone Idea has also filed its application for 5G trials and the company has partnered Huawei, ZTE, Ericsson and Nokia for the same. (BL).
Quarterly Earnings
Sterlite Technologies on Wednesday reported a net profit of Rs 91 crore (excluding exception items) during December 2019 quarter. The company had registered a net profit of Rs 146 crore in October-December quarter a year ago, Sterlite Technologies Limited (STL) said in a regulatory filing. Its consolidated revenue stood at Rs 1,203 crore during December quarter as against Rs 1,335 crore in the corresponding quarter of 2018-19. The company's exceptional items stood at Rs 51 crore in the third quarter of 2019-20. (BL).
IT company L&T Infotech (LTI) on Wednesday reported marginal increase in consolidated net profit to Rs 376.7 crore for the quarter ended December 2019. This is against a net profit of Rs 375.5 crore in the same period a year ago, LTI said in a statement. Its revenue grew 13.7 per cent to Rs 2,811.1 crore in the reported quarter from Rs 2,472.9 crore in the year-ago period, it added. Sequentially, the net profit was up 4.6 per cent, while the topline rose 9.4 per cent. (ET).
Economy and Sector News
Investcorp, a leading global alternative asset manager, has raised $ 130 million in anchor commitments for its Indian real estate direct lending initiative. In more news, India's goods exports declined for the fifth straight month in December 2019 by 1.8 per cent (year-on-year) to $ 27.36 bn as key items such as petroleum, engineering goods and gems and jewellery continued to suffer due to low global demand. Imports were down 8.83 per cent in December at $38.61 billion as all major items, including gold, witnessed a decline, as per figures released by the Commerce & Industry Ministry on Wednesday. (BL).
National Highways Authority of India (NHAI) recorded highest Rs 86.2 crore daily toll collection on Sunday, its Chairman Sukhbir Singh Sandhu said. The highest daily toll collection via electronic system of FASTags has also been recorded at Rs 50 crore (single day collection) in January 2020 as compared to Rs 23 crore in November 2019. In more news, Bad news on the retail inflation front is likely to continue at least for one more month as SBI's research has estimated that the rate of retail inflation is likely to breach 8 per cent in January. It has also questioned the data methodology of the Central Statistical Organization (CSO), the Government organisation responsible for preparing and disseminating retail inflation data. This rate is represented by the Consumer Price Index (CPI) and released every month. (ET).
India on Wednesday announced the opening of the fifth oil and gas block bid round, offering 11 areas for bidding on revamped fiscal terms. So far, the government has awarded 94 blocks under the Hydrocarbon Exploration & Licensing Policy (HELP) regime in a short time span of two and a half years. These 94 blocks cover an exploratory area of about 1,36,800 square kilometres over 16 Indian Sedimentary Basins, the Directorate General of Hydrocarbons (DGH) said in a statement. In more news, McDonald’s India on Wednesday inked a new partership with Zomato for the North and East region. The company said that this partnership will help expand the availability and accessibility of its products through McDelivery in the two regions. (BL).
The improvement in average sugar prices by close to Rs2/kg to Rs32.5-33.0/kg in 9M FY2020 yoy, along with the non-increase in the cane price for sugar season, SY2020 is expected to support the profitability of the sugar mills in the near term. Further, the decline in the sugar production along with the government support measures for SY2020 such as the creation of 4 million MT of buffer stock and export subsidy for 6 million MT of sugar, are likely to support the sugar prices. In more news, In a scramble to meet its financial inclusion agenda, the federal government handed lenders a list of location wise branches to be opened by both state-run and private banks, three people aware of the development said. Lenders including State Bank of India, Bank of Baroda, HDFC Bank and ICICI Bank will open 14,000-15,000 branches in the coming year to reach the unbanked as per a government directive. (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 made a record closing on Wednesday as Dow ended above 29,000 for the first time and the S&P 500 also closed at a record high after the US and China signed a Phase 1 trade agreement and pledged to resolve a tariff dispute. The Dow Jones Index closed at 29,030, up 90.55 points by 0.31%. The Standard & Poors 500 index closed at 3,289, up 6.14 points by 0.19%. The Nasdaq Composite Index closed at 9,259, up 7.37 points by 0.08%.

FTSE 100

UK markets finished on a mixed note on Wednesday as investors mulled the latest UK inflation figures and looked ahead to the signing of the 'phase one' trade deal between the US and China later in the day. The FTSE 100 index closed at 7,643, up 20.45 points by 0.27%.

 
 
Global Indices
15/01/2019 Clsg Chg%
Dow Jones 29,030 +0.31
NASDAQ 9,259 +0.08
FTSE 100 7,643 +0.27
Bovespa 116,414 -1.04
16/01/2020 Latest
(6:49AM IST)
Chg%
Nikkei 23,927 +0.04
Hang Seng 28,774 -0.39

Nikkei

Asian markets started trading early in the morning on Thursday on a mixed note as the investors watch the US markets closely. Nikkei is currently trading at 23,927, up 10.66 points by 0.04%.

Precious Metals

Gold futures marked their first gain in three sessions Wednesday, as U.S. benchmark stock indexes eased back from the day’s high following the official signing of the U.S.-China Phase 1 trade pact, and the U.S. House of Representatives’ vote to send articles of impeachment of President Donald Trump to the Senate.

Base Metals

The three-month price of lead on the London Metal Exchange was higher at the close of trading on Wednesday January 15, climbing by more than 2.5% to close at its highest level since November 2019 amid high turnover, while a similar upswing in nickel futures saw the price breach nearby resistance.

Crude Oil

Oil futures declined Wednesday with U.S. prices at their lowest in six weeks after weekly government data revealed hefty increases in domestic supplies of gasoline and distillates.

 
 
 

Retail Research Desk:

Akhil Rathi D: 91 22 2858 3210
Hrishikesh Yedve D: 91 22 2858 3207
Neeraj Sharma D: 91 22 2858 3208
Rohan Gawale D: 91 22 2858 3213

Karan Desai D: 91 22 2858 3221
Email: retailresearch@acm.co.in

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