Asian Markets Update 7 am
Indian equities may start the day positive, as the SGX Nifty indicates. The futures contract on the Singapore Exchange is trading 177 (+0.9%) points lower. Its Asian peers are trading in the green. The Nikkei 225 advanced 1.5%, while Hong Kong's Hang Seng index rose 0.2%.
US market update
US markets settled near the day's high point with the debt ceiling talks reaching an "in-principle" approval. Dow Jones ended its five-day losing streak and settled 1% higher, whereas NASDAQ advanced 2.1%.
Index Action
Nifty50
June Futures @ 18,570 📈▲149 (+0.8%)
OI Contracts: 1,91,506 (+9.5%)
Buoyed by ongoing FII inflows, the Nifty50 hit the 18,500 level on Friday and settled near the day's high point. Gains across all sectors, led by IT and FMCG, pushed the index to close nearly 1% higher.
With Nifty50 just 2% away from its all-time high level, the markets will look to the GDP numbers to be announced on Wednesday to add more fuel to the current rally.
The Nifty50 options expiring on 1 June have significant positions at 19,000 and 18,700 calls and 18,300 and 18,400 puts.
According to options data and OI analysis, the Nifty50 range for the 1st June expiry is between 18,000 and 19,000. On the other hand, 18,300 and 18,700 are the immediate support and resistance levels for this week.
Bank Nifty
June Futures @ 44,070 📈▲336 (+0.7%)
OI Contracts: 83,903 (+1.6%)
The Bank Nifty recovered from the 20 DMA near 43,500 and surged three-quarters of a per cent. 11 out of the 12 stocks of the banking index ended in the green, pushing it above the 44,000 mark. After a round of consolidation, the resurgence of the banking index on Friday has put it within striking distance (just 0.3% away) of its all-time high level.
IDFC First Bank (+2.7%) and Federal Bank (+1.6%) were the top gainers among banking stocks. Bandhan Bank (-1.2%) was the only banking index stock to end in red.
The Bank Nifty's options expiring on 1 June have significant positions at the 44,000 and 44,500 calls and 44,000 and 43,500 puts.
According to options data and OI analysis, Bank Nifty's range for the 1st June expiry is between 43,700 and 45,300. On the other hand, 43,500 and 44,500 are this week's immediate support and resistance levels.
FII and DII Data💰
In the cash market, Foreign Institutional Investors (FIIs) bought shares worth ₹350 crore, while Domestic Institutional Investors (DIIs) bought shares worth ₹1,840 crore. In the derivatives market, FIIs bought index futures worth ₹1,184 crore and bought index options worth ₹8,528 crore. Further, they bought stock futures worth ₹1,251 crore and bought stock options worth ₹138 crore.
India VIX
The volatility index dropped 4.9% to 11.90.
Stock Action📊
Long build-up was seen in Metropolis, Indiabulls Housing Finance, Persistent Systems, Vedanta and Nestle.
Short build-up was seen in Page Industries, BHEL, Delta Corp, Glenmark Pharma, and Samvardhana Motherson.