Asian Markets Update @ 7:30 am
The SGX Nifty was trading lower by 129 points at 7:30 am, indicating a negative start for the Nifty50 today. Major Asian markets are also trading lower. The Nikkei 100 in Japan tanked 1.2%, while Hong Kong’s Hang Seng index declined 2.6%.
Global Markets Update
U.S. stocks snapped their two-day winning streak and closed lower on Wednesday amid a sharp rise in Treasury yields. The earnings season in the U.S. is off to a solid start, but the 10-year Treasury yield remained elevated, suggesting that the recession fears are still intact.
The Dow Jones shed around 0.3% to close at 30,423, while S&P 500 also sank 0.6% to 3,695. The technology-heavy Nasdaq composite lost 0.8% and ended the day at 10,680. The European markets closed yesterday’s session lower.
Index Action
Nifty50 @ 17,512 📈▲ 25 (+0.1%)
The Nifty50 index continued its upward march and extended its winning streak to the fourth day in a row, led by gains in heavyweights Reliance Industries and HDFC twins. However, the index trimmed its gains towards the fag-end but managed a close above the 17,500 mark.
Among major sectoral indices, Oil & Gas (+0.5%) and Realty (+0.4%) were the top gainers, while IT(-0.9%) and Metal (-0.6%) declined the most.
Nifty50’s options contracts expiring on 27 October have sizable positions at 18,000 and 17,500 call options and 17,500 and 17,000 put options.
Nifty50’s options contracts expiring on 20 October have sizable positions at 17,600 and 17,500 call options and 17,400 and 17,500 put options.
As per options data and OI analysis, the broad range for the Nifty50 is between 16,500 and 18,000 levels. On the other hand, 17,300 and 17,700 are the critical levels to watch for the current week.
Bank Nifty @ 40,373 📈▲ 54 (+0.1%)
The Bank Nifty faced selling pressure at higher levels and closed the choppy session below the 40,500 mark. Among banking stocks, Axis Bank (+1.6%) and Punjab National Bank (+1.2%) advanced the most, while Bank of Baroda (-2.0%) and SBI (-1.6%) were the laggards.
Bank Nifty’s options contracts expiring on 27 October have sizable positions at 40,500 and 41,000 call options and 38,000 and 39,000 put options.
Bank Nifty’s options contracts expiring on 20 October have sizable positions at 40,500 and 41,000 call options and 39,000 and 40,000 put options.
As per options data and OI analysis, the broad range for the Bank Nifty is between 39,000 and 41,300 levels. On the other hand 39,900 and 40,700 are the critical levels to watch for the current week.
FII and DII Data**💰
In the cash market, FIIs sold shares worth ₹453 crore, while DIIs bought shares worth ₹908 crore. In the derivatives market, FIIs sold index futures worth ₹141 crore and bought index options worth ₹4,344 crore. Further, they bought stock futures worth ₹154 crore and bought stock options worth ₹85 crore.
India VIX
The India VIX, which measures the implied volatility of Nifty50 options advanced 0.2% to 17.48.
Stock Action📊
Long build-up was seen in Ultratech Cement, TVS Motor, Container Corporation of India, ITC and Syngene International.
Short build-up was seen in L&T Technology Services, Polycab, Dabur, Hindustan Copper and JSW Steel.
Key results today: Asian Paints, Axis Bank, Bajaj Finance, Canara Bank, Coforge, Colgate-Palmolive, Dixon Technologies, Granules, IEX, ITC, Shriram Transport Finance and Tata Consumer Products.
Under F&O Ban: BHEL, Delta Corp, India Cements, Indiabulls Housing Finance and Zee Entertainment.
*In Futures and Options or F&O, long build-up means an increase in Open Interest (OI) along with an increase in price, and short build-up means an increase in Open Interest (OI) along with a decrease in price.
**Source: nseindia.com. Cash market figures are provisional.