Asian Markets Update @ 7 am
The SGX Nifty is trading lower by 95 (-0.5%) points from its previous close, indicating a negative start for the Nifty50 today. Major Asian markets are also trading in the red. Japan's Nikkei 225 fell 1%, while Hong Kong's Hang Seng lost 0.8%.
Global Markets Update
US markets tumbled on Wednesday. The move came after US retail sales fell by 1.1% last month. However, the wholesale inflation (PPI) reading showed that prices were cooling.
The Dow Jones fell 1.8%, to close at 33,296. The S&P 500 declined 1.5% to 3,928, while the Nasdaq Composite lost 1.2% to end the day at 10,957.
Index Action
Nifty50
January Futures: 18,204 📈▲115 (+0.6%)
Despite mixed global cues, the Nifty50 opened the day on a positive note and crossed 18,100 mark. Extending its gains for the second day, the benchmark index broke out of the nine-day consolidation range of 380 points.
Among sectoral indices, Metals (+1.6%) extended its winning streak and hit a fresh all-time high. Pharma (+0.6%) and Private Banks (+0.5%) also witnessed healthy gains.
Nifty50’s options contracts expiring on 19 January have sizable positions at 18,300 and 18,200 call options and 17,900 and 18,000 put options.
As per options data and OI analysis, the broad range for the Nifty50 is between 17,400 and 18,800 levels. On the other hand, 18,000 and 18,300 are the critical levels to watch for the current week.
Bank Nifty
January Futures: 42,518 📈▲176 (+0.4%)
The Bank Nifty started the session on a flat note and traded in a narrow range throughout the day. The focus will be on IndusInd Bank after its Q3 results announcement. The bank's net profit grew 58% YoY to ₹1,964 crore. Strong loan growth and lower provisions helped the bank's bottom line.
Among banking stocks, HDFC Bank (+1.7%) and Axis Bank (+0.6%) rose for the second consecutive day to close higher. PSU majors Bank of Baroda (-1.9%) and Punjab National Bank (-1.7%) extended their losses.
Bank Nifty’s options contracts expiring on 19 January have sizable positions at 42,500 and 43,000 call options and 42,000 and 42,200 put options.
As per options data and OI analysis, the broad range for the Bank Nifty is between 41,400 and 43,600 levels. On the other hand, 42,000 and 42,800 are the critical levels to watch for the current week.
FII and DII Data**💰
The Foreign Institutional Investors (FIIs) sold shares worth ₹319 crore, while Domestic Institutional Investors (DIIs) bought shares worth ₹1,225 crore in the cash market. In the derivatives market, FIIs bought index futures worth ₹1,926 crore and sold index options worth ₹7,092 crore. Further, they bought stock futures worth ₹735 crore and sold stock options worth ₹83 crore.
India VIX
The India VIX, which measures the implied volatility of Nifty50 options, fell 1.5% to 14.37.
Stock Action📊
Long build-up was seen in Hindalco, Vedanta, Tata Steel, Siemens and Havells India.
Short build-up was seen in Indiamart Intermesh, Dixon Technologies, Adani Enterprises, Bank of Baroda and HDFC Life.
Under F&O Ban: Delta Corp, GNFC, L&T Finance and Manappuram Finance.
*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.