Morning Notes
17th Dec, 2019
 

Trading Range:

Nifty opened gap up at 12131 on Monday and made a high and low of 12135 and 12046 respectively before closing negative at 12054.

Review/Outlook:

For the day, support for Nifty exists at 12000 and 11930 levels whereas resistance for Nifty stands at 12130 and 12200 levels.

Review/Outlook:

Bank Nifty opened gap up at 32159, made a high of 32187, low of 31898, and closed negative at 31974. For the day, support for Bank Nifty exists at 31800 and 31500 levels whereas resistance for Bank Nifty stands at 32200 and 32500 levels.

Market Scan
Benchmark Indices
Index Clsg Chg%
Sensex 40,939 -0.17
Nifty 12,054 -0.27
BSE 200 5,023 -0.32
BSE Midcap 14,762 -0.46
BSE Smallcap 13,306 -0.20
Dow Jones 28,236 +0.36
NASDAQ 8,814 +0.91
 

DERIVATIVES INDICATORS FOR DEC 17, 2019:

NIFTY 12053.95 (-32.75) (-0.27%)
NIFTY DEC FUTURE 12082.55 (28.60 Points Premium)
NIFTY PCR - OI 1.43(-0.20)
NIFTY OPEN INTEREST 1.48 Cr. (-2.68%)
INDIA VIX 13.41 (+0.86%)
NIFTY ROLLOVER 9%

NIFTY OPTIONS ACTIVITY (26-DEC SERIES)

CALL 12100 CE +4.40 lac Shares
CALL 12300 CE +2.77 lac Shares
PUT 11900 PE -3.04 lac Shares
PUT 12100 PE +0.84 lac Shares
Sectoral Indices (BSE)
Index Clsg Chg%
Auto 17,898 -1.05
Bankex 36,486 -0.03
PSU 6,840 -0.56
Healthcare 13,380 +0.03
IT 15,184 +1.18
 
Market Turn Over (`cr)
Index 16/12 13/12
BSE Cash 1,944 2,041
NSE Cash 29,080 36,712
NSE F&O 862,838 879,128
BSE Delivery % 48.74 41.05
Advances / Decines BSE Cash
Adv(%) Dec(%)
BSE 100 81.19 18.81
BSE 200 79.10 20.90
BSE 500 73.65 25.35
Total BSE 57.42 36.44
 
Commodities, Forex & Debt
Clsg Chg%
Crude Oil NYMEX $ bl 60.20 -0.05
Gold Rs./ 10 Gms 37871.00 +0.26
Silver Rs./ Kg 44493.00 +0.83
Rs.- US $ 71.02 +0.44
Rs.- Euro 79.09 +0.55
FII (Rs cr )
16/12* 13/12*
FIIs +117.49 -614.96
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       23,930.00       1,874.18       31,368.00       2,470.85    1,55,126.00     13,323.31  (596.67)
Index Options  20,50,602.00  1,47,360.40  20,47,346.00  1,47,103.77    5,96,602.00     51,338.11   256.63
Stock Futures    1,73,337.00     10,313.96    1,77,400.00     10,566.89  15,84,241.00     94,794.92  (252.93)
Stock Options       56,207.00       3,706.98       58,406.00       3,843.40       67,712.00       3,816.08  (136.42)
Total  23,04,076.00  1,63,255.52  23,14,520.00  1,63,984.91  24,03,681.00  1,63,272.42  (729.39)
Corporate News
State Bank of India (SBI) Chairman Rajnish Kumar on Monday said the resolution of Essar Steel will boost profitability in the third quarter of the current financial year. State Bank of India (SBI) Chairman Rajnish Kumar on Monday said the resolution of Essar Steel will boost profitability in the third quarter of the current financial year. The resolution of Essar Steel is a huge positive for the economy, he said. (BL).
BP and Reliance Industries Ltd (RIL) has signed a definitive agreement relating to the formation of their new Indian fuels and mobility joint venture branded as Jio-BP. The partners intend to set up a new joint venture company, held 51 per cent by RIL and 49 per cent by BP, that will assume ownership of RIL’s existing Indian fuel retail network and access its aviation fuel business. Reliance will receive Rs.7,000 crore from BP for acquiring a 49 per cent stake in the petro-retail JV. In more news, Reliance Industrial Investments and Holdings Ltd (RIIHL), a wholly-owned subsidiary of Reliance Industries Ltd, has signed binding agreements with Canadian asset manager Brookfield Infrastructure Partners for an investment of Rs 25,215 crore. (ET).
Maruti Suzuki India has sold more than 6 lakh automatic transmission passenger vehicles, of which 5 lakh vehicles were equipped with Auto Gear Shift (AGS) technology. Sales of automatic vehicles increased in the last 5 years after the introduction of the AGS transmission technology in Celerio in 2014. In FY 2018-19 alone, the company sold over 2 lakh units of automatic vehicles, the company said in a statement. (BL).
UK High Court has dismissed an application filed by Industrial and Commercial Bank of China Limited for a 'summary judgement in its claims of USD 680 million against RCom Chairman Anil Ambani. The hearing in the matter took place on November 7 and the conditional dismissal order for the "summary judgement application of Chinese banks against Anil Ambani" was issued on Monday. (ET).
Cipla Ltd. (Cipla) informed the exchanges that the company has acquired the brand name and trademark rights for Vysov (Vildagliptin + Metformin) of the anti-diabetic drug, Vildagliptin for the Indian market. The company has been co-marketing Vildagliptin in agreement with Novartis under brand names Vysov® & Vysov M® and has witnessed a strong uptake for the product in India for the last couple of years. It is currently available across the country. (BL).
Shriram Transport will be in focus as S&P Finance revised company’s outlook to ‘Negative’ from ‘Stable’. The rating agency has affirmed 'BB+' long-term and 'B' short-term issuer credit ratings on the company. The revision in the outlook is due to the increased risk of a deterioration in the company’s asset quality, which could also affect availability of credit to the company over the next 12 months or so. (BQ).
Equitas Holdings will be in focus as Equitas Small Finance Bank Ltd on Monday filed a draft red herring prospectus with the markets regulator, becoming the third small finance bank to file for an initial public offering (IPO). Through the offer for sale route, the lender’s publicly-listed promoter entity Equitas Holdings Ltd (EHL) plans to sell another 80 million shares. (BQ).
Economy and Sector News
Hospitality group Tamara Leisure Experiences Pvt Ltd plans to invest Rs.350 crore to open four hotels in the luxury and mid-segment categories in Kerala and Tamil Nadu, in the next three years. The Group, which has 800 keys (rooms) across its hotels in India and Germany, aims to have 1,000 keys by 2025. In more news, Japanese multinational bank Sumitomo Mitsui Banking Corporation has picked up a 5.4 per cent equity stake in Northern Arc Capital, a debt capital platform that caters to un-banked and under-banked individuals and businesses, for an undisclosed amount. (BL).
The Telangana Government has procured 23 lakh tonnes of paddy so far from the kharif season, with Nizamabad district topping the list with about 4 lakh tonnes. The State government spent Rs.4,200 crore on procuring the commodity from about 4.16 lakh farmers. In more news, Ahead of 38th GST Council Meeting, the Centre on Monday released one more tranche of compensation cess to States amounting to Rs.35,298 crore to States and Union Territories. (ET).
Wholesale inflation fell to 0.58 per cent in November 2019, down from 4.47 per cent in November 2018. Sequentially, wholesale inflation reported an increase, rising from 0.16 per cent in October 2019, according to a statement by the Ministry of Commerce and Industry. An official statement said that the Wholesale Price Index (WPI) for all commodities for November 2019 rose by 0.10 per cent to 122.3 from 122.2 for October 2019. In the overall index, the highest increase was reported in onion prices. The index representing onion inflation rose to 172.30 per cent in November 2019, compared to November 2018. During November 2018, the index had reported a decline of 47.60 per cent compared to onion prices in November 2017. Since onions represent just 0.16 per cent of the WPI, the spurt could not reflect much in the overall wholesale inflation. In more news, the Ministry of Coal has decided to simplify the process of getting clearances for coal mining projects. An official statement said that this will expedite operationalisation of already allotted coal blocks and also encourage prospective investors or bidders in future auctions. (BL).
Fresh meat and seafood brand Licious has raised $30 million in Series E funding round. The round was led by Singapore-basedVertex Growth Fund along with existing investors 3one4 Capital, Bertelsmann India Investments, Vertex Ventures Southeast Asia and India, and Sistema Asia Fund. Including this round, Licious has raised a total of $95 million to date. Bengaluru-based Licious was founded by Abhay Hanjura and Vivek Gupta in 2015, with a vision to disrupt the highly underserved meat and seafood market, which is estimated at $40 billion. In more news, India Yamaha Motor (IYM) on Monday said it is recalling 7,757 units of its FZ FI and FZ-S FI with immediate effect to rectify faulty rear side reflector. This voluntary recall is being undertaken to address an issue related to 'non-fitment of rear side reflector' in 7,757 units of motorcycles manufactured from October 2019 onwards, the company said in a statement. (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 notched record closing highs on Monday as cooling trade tensions between Washington and Beijing and upbeat economic data from China boosted investor sentiment. The Dow Jones Index closed at 28,236, up 100.51 points by 0.36%. The Standard & Poors 500 index closed at 3,191, up 22.65 points by 0.71%. The Nasdaq Composite Index closed at 8,814, up 79.35 points by 0.91%.

FTSE 100

UK markets finished well in the green on Monday, after a session which saw investors shrugging off the release of disappointing UK PMI data, and focusing instead on news of a ‘phase one’ trade deal between the US and China. The FTSE 100 index closed at 7,519, up 165.61 points by 2.25%.

 
 
Global Indices
16/12/2019 Clsg Chg%
Dow Jones 28,236 +0.36
NASDAQ 8,814 +0.91
FTSE 100 7,519 +2.25
Bovespa 111,896 -0.59
17/12/2019 Latest
(5:31AM IST)
Chg%
Nikkei 23,952 -0.29
Hang Seng 27,508 -0.65

Nikkei

Asian stocks started trading early in the morning on Tuesday on a negative note as the investors will be closely watching the US markets. Nikkei is currently trading at 23,952, down 70.75 points by 0.29%.

Precious Metals

Gold prices settled modestly lower on Monday, weighed down by strength in U.S. bond yields but with losses capped by weakness in the dollar, as investors assessed a phase one trade deal between the U.S. and China.

Base Metals

The three-month prices of base metals traded on the London Metal Exchange broadly closed up at the afternoon kerb on Monday December 16, emboldened by positive China data, while a weaker US dollar provided a consumption tailwind.

Crude Oil

Oil futures climbed Monday to settle at a three-month high for a second consecutive session, lifted by a so-called phase-one U.S.-China trade deal that has de-escalated tensions between the world’s two-largest economies.

 
 
 

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

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Email: retailresearch@acm.co.in

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