Morning Notes
22nd Aug, 2019
 

Trading Range:

Nifty opened flat at 11018 on Wednesday and made a high and low of 11034 and 10907 respectively before closing negative at 10919.

Review/Outlook:

For the day, support for Nifty exists at 10860 and 10800 levels whereas resistance for Nifty stands at 10970 and 11040 levels.

Review/Outlook:

Bank Nifty opened gap up at 28021, made a high of 28099, low of 27666, and closed negative at 27719. For the day, support for Bank Nifty exists at 27500 and 27300 levels whereas resistance for Bank Nifty stands at 27900 and 28100 levels.

Market Scan
Benchmark Indices
Index Clsg Chg%
Sensex 37,060 -0.72
Nifty 10,919 -0.89
BSE 200 4,549 -0.95
BSE Midcap 13,259 -1.32
BSE Smallcap 12,390 -1.43
Dow Jones 26,203 +0.93
NASDAQ 8,020 +0.90
 

DERIVATIVES INDICATORS FOR AUG 22, 2019:

NIFTY 10918.70 (-98.30) (-0.89%)
NIFTY AUG FUTURE 10932.65 (13.95 Points Premium)
NIFTY PCR - OI 0.95(-0.17)
NIFTY OPEN INTEREST 2.23Cr. (+2.78%)
INDIA VIX 17.01 (+2.26%)
NIFTY ROLLOVER 15%

NIFTY OPTIONS ACTIVITY (29-AUG SERIES)

CALL 11000 CE +7.18 lac Shares
CALL 11100 CE +6.04 lac Shares
PUT 11000 PE -2.85 lac Shares
PUT 10800 PE -1.19 lac Shares
Sectoral Indices (BSE)
Index Clsg Chg%
Auto 15,742 -0.62
Bankex 31,326 -1.03
PSU 6,255 -2.23
Healthcare 12,408 -0.97
IT 15,773 +0.16
 
Market Turn Over (`cr)
Index 21/08 20/08
BSE Cash 1,969 2,307
NSE Cash 28,128 29,067
NSE F&O 1,316,965 1,069,260
BSE Delivery % 48.57 40.03
Advances / Decines BSE Cash
Adv(%) Dec(%)
BSE 100 18.81 81.19
BSE 200 17.91 82.09
BSE 500 17.60 82.20
Total BSE 23.88 70.41
 
Commodities, Forex & Debt
Clsg Chg%
Crude Oil NYMEX $ bl 55.97 +0.52
Gold Rs./ 10 Gms 37993.00 -0.03
Silver Rs./ Kg 43816.00 -0.28
Rs.- US $ 71.43 -0.14
Rs.- Euro 79.23 -0.18
FII (Rs cr )
21/08* 20/08*
FIIs -408.25 -265.04
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       48,454.00       3,372.62       48,793.00       3,509.78    3,05,190.00     23,643.82     (137.16)
Index Options  42,52,607.00  2,69,868.62  42,66,682.00  2,70,800.50    8,05,823.00     60,767.31     (931.88)
Stock Futures    2,33,954.00     12,357.96    2,36,670.00     12,685.58  15,90,478.00     90,596.55     (327.62)
Stock Options       99,449.00       5,279.00    1,01,692.00       5,386.25    1,02,140.00       5,499.34     (107.25)
Total  46,34,464.00  2,90,878.20  46,53,837.00  2,92,382.11  28,03,631.00  1,80,507.02  (1,503.91)
Corporate News
In a move that has dashed the hopes for an immediate revival of State-owned telecom carriers, the Prime Minister’s Office (PMO) has rejected a proposal to merge the loss-making Mahanagar Telephone Nigam Ltd (MTNL) with the ailing Bharat Sanchar Nigam Ltd. (BL).
NTPC has surrendered the Kudanali-Luburi coal block in Odisha allotted to it jointly with Jammu and Kashmir State Power Development Corporation Limited (JKSPDC) in July 2013. (ET).
Kalyan Jewellers expects the domestic jewellery market to grow in tandem with the organised players. (BL).
India's largest real-estate developer DLF has been put in the dock yet again for suppressing material information from shareholders. (ET).
At a time when concerns about overall demand slowdown has intensified, biscuits major Parle Products feels that if immediate steps are not taken to boost consumption, it may lead to retrenchment of its 8,000-10,000 direct and indirect employees. (ET).
Pharma major Dr Reddy had informed the bourses that it received a Form 483 with eight observations from the US Food and Drug Administration (USFDA) after the audit of its formulations manufacturing plant (Vizag SEZ Plant 1) at Duvvada, Visakhapatnam, Andhra Pradesh. (BL).
The Ministry of Mines, Government of India, has kept in abeyance the cancellation of the mining lease of Donimalai mine by the Karnataka Government extended to NMDC. (BS).
Dhunseri Tea and Industries has completed the sale of its branded business to Tata Global Beverages (TGBL). TGBL had, in April this year, entered into an agreement to acquire the branded tea business of Dhunseri Tea for about Rs.101 crore. (ET).
Drug firm Zydus Cadila on Wednesday said it has received final approval from the US health regulator to market generic Ranolazine Extended-Release tablets used for treatment of chronic angina. (BL).
Mangalore Refinery and Petrochemicals Limited (MRPL) has shutdown its Phase-3 units as a safety precaution in view of the minor landslide in the area as an aftermath of the monsoon fury in the district. (BL).
Essar Ports on Wednesday reported a 17.4 per cent growth in cargo volume across its four terminals at 13.5 million tonne for the quarter ended June 30, 2019
Procter & Gamble Hygiene and Health Care (P&G), on Wednesday, reported a 36.45 per cent rise in net profit at Rs 60.79 crore for the June-quarter. The company had posted a net profit of Rs 44.55 crore in the year-ago quarter. The company’s total income in the quarter under review stood at Rs 646.98 crore, up 21.73 per cent from Rs 531.48 crore in the same quarter last year, P&G said in a regulatory filing. (BL).
ITC Limited, the diversified business conglomerate, is seeking to woo students with its wide range of innovative Classmate notebooks, including Pulse 3D range and Selfie cover books. (BL).
The CBI has booked NDTV promoters Prannoy Roy and his wife Radhika Roy, and others in connection with alleged violation of foreign direct investment (FDI) rules, officials said on Wednesday. (BS).
Maruti Suzuki India Ltd (MSIL) on Wednesday launched its all-new premium multi purpose vehicle (MPV), the XL6, priced at Rs.9.8-11.5 lakh (ex-showroom, India). (ET).
Adding Belgaum in Karnataka as its 58th destination, low-cost carrier IndiGo announced on Wednesday that it will start daily flights on Bengaluru-Belgaum route from September 8. (BL).
Gati said that rating agency CARE revised its outlook on the company's long term loans to negative from stable. Rating agency CARE retained its rating on the company's long term bank facilities of Rs173cr at BBB, but the revised outlook from stable to negativeThe agency also downgraded the rating on short term bank facilities (Rs5cr) to A3 from A3+ earlier. (BS).
Economy and Sector News
Companies do have the flexibility to choose the ‘appointed date’ of a merger/amalgamation based on occurrence of an event, the Corporate Affairs Ministry (MCA) has said. In more news, with onion retail prices registering a sharp increase in the last fortnight, the Centre on Wednesday decided to rope in Safal, the fresh fruit and vegetable retailing arm of Mother Dairy, to sell it at reasonable prices in the capital, an official statement said. (BL).
India’s economic growth is set to slow further in the April-June quarter of this year to 5.7 per cent amid contraction in consumption, weak investments and an under-performing service sector, says a Nomura report. According to the global financial services major, even though growth is set to slow further in April-June quarter the economy is expected to see some recovery in the July-September quarter. (ET).
Hospitality firm OYO on Wednesday said it will add over 3,000 employees across multiple functions in six months to fuel its next phase of growth in India. The development is aligned with the company’s commitment towards investing ₹1,400 crore by the end of 2019 in India and South Asia business, OYO said in a statement. (BL).
With the closure of open offer, Nippon Life Insurance stake in Reliance Nippon Life Asset Management (RNAM) has risen to 54 per cent. The open offer was part of the stake sale process. Nippon Life floated open offer to acquire nearly 22.49 per cent stake in RNAM for ₹3,179 crore under a deal with Reliance Capital which is exiting the mutual funds business. (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 closed higher on Wednesday as investors digested some solid figures from major retailers and minutes from the last meeting of the Federal Open Market Committee to be published. The Dow Jones Index closed at 26,203, up 87.50 points by 0.42%. The Standard & Poors 500 index closed at 2,924, up 23.92 points by 0.82%. The Nasdaq Composite Index closed at 8,020, up 71.65 points by 0.90%.

FTSE 100

UK markets finished higher on Wednesday, helped by a weaker pound as investors eyed minutes from the US Federal Reserve's latest policy meeting which were due out later in the day. The FTSE 100 index closed at 7,204, up 78.97 points by 1.11%.

 
 
Global Indices
21/08/2019 Clsg Chg%
Dow Jones 26,203 +0.93
NASDAQ 8,020 8,020
FTSE 100 7,204 +1.11
Bovespa 101,202 +2.00
22/08/2019 Latest
(5:50AM IST)
Chg%
Nikkei 20,706 +0.42
Hang Seng 26,270 +0.15

Nikkei

Asian shares edged ahead on Thursday after Wall Street got a boost from strong retail results, while bonds retreated as U.S. policy makers sounded conflicted on whether to cut interest rates as sharply as markets were wagering. Nikkei is currently trading at 20,706, up 87.50 points by 0.42%.

Precious Metals

Spot gold was steady at $1,502.53 on Thursday.

Base Metals

The three-month zinc price on the London Metal Exchange was higher at the close of trading on Wednesday August 21, gaining by 2.3% on low turnover, while a steady decline in tin futures continued to prompt market concerns.

Crude Oil

Oil prices firmed on Thursday after U.S. government data showed a drawdown in domestic crude stocks. Brent crude futures rose 25 cents to $60.55, while U.S. crude gained 34 cents to $56.02 a barrel.

 
 
 

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Akhil Rathi D: 91 22 2858 3210
Hrishikesh Yedve D: 91 22 2858 3207
Vrinda Aditya D: 91 22 2858 3209
Neeraj Sharma D: 91 22 2858 3208
Rohan Gawale D: 91 22 2858 3213
Email: retailresearch@acm.co.in

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Disclosures
ACMIIL/its associates and its Research analysts have no financial interest in the companies covered on the report. ACMIIL/ its associates and Research analysts did not have actual/beneficial ownership of one per cent or more in the companies being covered at the end of month immediately preceding the date of publication of the research report. ACMIIL/its associates or Research analysts have no material conflict of interest, have not received any compensation/benefits for any reason (including investment banking/merchant banking or brokera3ge services) from either the companies concerned/third parties with respect to the companies covered in the past 12 months. ACMIIL/its associates and research analysts have neither managed or co-managed any public offering of securities of the companies covered nor engaged in market making activity for the companies being covered. Further, the companies covered neither are/nor were a client during the 12 months preceding the date of the research report. Further, the Research analyst/s covering the companies covered herein have not served as an officer/director or employee of the companies being covered.

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