Asian Markets Update @ 7:30 am
The SGX Nifty was trading lower by 17 points at 7:30 am, suggesting a flat to negative start for the Nifty50 today. Major Asian markets were trading mixed. Nikkei 225 in Japan fell 0.4%, while Hong Kong’s Hang Seng index advanced 0.4%.
Global Markets Update
U.S. stocks extended previous day's losses and closed Tuesday's session lower, dragged by shares of Meta Platforms and banks.
The Dow Jones dropped 1.0% to settle at 33,596, while the S&P 500 shed 1.4% and closed at 3,941. The tech-focused Nasdaq sank 2% and ended at 11,014.
Index Action
Nifty50 @ 18,642 📉▼ 58 (-0.3%)
Ahead of the RBI’s rate hike decision, the Nifty50 index extended losses to the third session and closed the range-bound day lower.
Nifty50’s options contracts expiring on 29 December have sizable positions at 19,000 and 20,000 call options and 18,000 and 18,500 put options.
Nifty50’s options contracts expiring on 8 December have sizable positions at 18,800 and 19,000 call options and 18,600 and 18,500 put options.
As per options data and OI analysis, the broad range for the Nifty50 is between 18,000 and 19,000 levels. On the other hand, 18,500 and 18,800 are the critical levels to watch for the current week.
Bank Nifty @ 43,138 📉▼ 194 (-0.4%)
After a gap-down start, the Bank Nifty index remained under pressure and closed Tuesday's session lower. A day before the RBI's Monetary Policy announcement, the index once again traded in the range of 42,800 and 43,500 and faced selling pressure from higher levels.
Among banking stocks, both Bandhan Bank and Bank of Baroda advanced 1.4% and were the top gainers. On the red side, Federal Bank, SBI and ICICI Bank declined more than 1% and were the top losers.
Bank Nifty’s options contracts expiring on 29 December have sizable positions at 43,000 and 44,000 call options and 43,000 and 42,000 put options.
Bank Nifty’s options contracts expiring on 8 December have sizable positions at 43,200 and 43,500 call options and 43,000 and 43,200 put options.
As per options data and OI analysis, the broad range for the Bank Nifty is between 42,000 and 44,000 levels. On the other hand 42,800 and 43,500 are the critical levels to watch for the current week.
FII and DII Data**💰
In the cash market, both FIIs and DIIs sold shares worth ₹635 crore and ₹558 crore. In the derivatives market, FIIs sold index futures worth ₹1,533 crore and bought index options worth ₹1,936 crore. Further, they sold stock futures worth ₹1,816 crore and sold stock options worth ₹126 crore.
India VIX
The India VIX, which measures the implied volatility of Nifty50 options climbed 2.2% to 14.04.
Stock Action📊
Long build-up was seen in Punjab National Bank, LIC Housing Finance, Tata Power and Bank of Baroda.
Short build-up was seen in IRCTC, Biocon, Samvardhana Motherson, ICICI Bank and Hindustan Petroleum.
Under F&O Ban: GNFC, Indiabulls Housing Finance and Punjab National Bank
*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.