Asian Markets Update @ 7 am
The SGX Nifty is trading 69 (-0.4%) points lower than its last close, indicating a negative start for the Nifty50 today. Major Asian markets are also trading mixed. Japan's Nikkei 225 dropped 1.7%, while Hong Kong's Hang Seng Index rose 0.4%.
Global Market Update
US stocks posted their worst week of the year after hotter-than-expected jobs data and the first major bank failure since 2008. The Dow Jones, falling for the fourth straight day, slipped 1.0% to end at 31,909. The S&P 500 slid 1.4% to 3,861, while the Nasdaq Composite shed 1.7% and finished at 11,138.
Index Action
Nifty50
March Futures @ 17,449 📉▼195 (-1.1%)
OI Contracts: 2,31,004 (+6.0%)
Following a sharp decline in global markets, the Nifty50 fell to 17,300. The index recovered from the day's low point but settled 1% lower. Dragged by a sharp slide in financial stocks, the index closed below its 200-DMA. On the daily chart, Nifty50 is falling within a downward-sloping channel.
Going forward, all eyes will now be on India and US retail inflation data, which will be released this week.
Sectorally, FMCG (+0.1%) and Consumer Durables (+0.2%) were among the few sectors that ended in the green. PSU Bank (-2.1%), Private Bank (-1.8%) and Financial Services (-1.8%) were the biggest laggards.
The Nifty50 options expiring on 16 March have significant positions at 18,000 and 17,500 calls and 17,400 and 17,300 puts.
According to options data and OI analysis, the Nifty50's long range for the 29 March expiry is between 17,000 and 17,800. On the other hand, 17,200 and 17,600 is the short-term range for the current week.
Bank Nifty
March Futures @ 40,606 📉▼802 (-1.9%)
OI Contracts: 92,745 (+0.9%)
Amid weakness in PSU and private bank stocks, the Bank Nifty plummeted to 40,350 on Friday. It recovered mildly from the day's low point but settled below 40,500.
Except AU Small Finance Bank (+0.1%), the other 11 banking stocks ended lower, with HDFC Bank (-2.5%) and Bank of Baroda (-2.1%) losing the most.
The Bank Nifty's options expiring on 16 March have significant positions at the 41,500 and 40,500 calls and 40,500 and 40,000 puts.
According to options data and OI analysis, Bank Nifty's range for the 29th March expiry is between 39,300 and 41,500. On the other hand, 39,800 and 41,100 is the short-term range for the current week.
FII and DII Data💰
The Foreign Institutional Investors (FIIs) sold shares worth ₹2,061 crore, while Domestic Institutional Investors (DIIs) bought shares worth ₹1,350 crore in the cash market. In the derivatives market, FIIs sold index futures worth ₹1,603 crore and bought index options worth ₹3,459 crore. Further, they sold stock futures worth ₹2,400 crore and bought stock options worth ₹189 crore.
India VIX
The fear gauge India VIX rose 5.3% to 13.41.
Stock Action📊
Long build-up was seen in Dixon Technologies, Godrej Consumer Products, Shree Cement, Zydus Lifesciences and Deepak Nitrite.
Short build-up was seen in Polycab, Persistent Systems, RBL Bank, Ipca Labs and Mphasis.
Under F&O Ban: Balrampur Chini Mills and GNFC.
*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.