| Morning Notes |
| 6th Aug, 2019 |
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Trading Range:
Nifty opened gap down at 10896 on Monday and made a high and low of 10896 and 10783 respectively before closing negative at 10863.
Review/Outlook:
For the day, support for Nifty exists at 10820 and 10780 levels whereas resistance for Nifty stands at 10950 and 11020 levels.
Review/Outlook:
Bank Nifty opened down at 27841, made a high of 27866, low of 27390, and closed negative at 27648. For the day, support for Bank Nifty exists at 27400 and 27200 levels whereas resistance for Bank Nifty stands at 27900 and 28100 levels. |
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| Benchmark Indices |
| Index |
Clsg |
Chg% |
| Sensex |
36,699 |
-1.13 |
| Nifty |
10,863 |
-1.23 |
| BSE 200 |
4,531 |
-1.17 |
| BSE Midcap |
13,376 |
-1.26 |
| BSE Smallcap |
12,285 |
-1.69 |
| Dow Jones |
25,718 |
-2.90 |
| NASDAQ |
7,726 |
-3.47 |
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DERIVATIVES INDICATORS FOR AUG 06, 2019:
| NIFTY |
10862.60 (-134.75) (-1.23%) |
| NIFTY AUG FUTURE |
10896.80 (34.20 Points Premium) |
| NIFTY PCR - OI |
1.01(-0.17) |
| NIFTY OPEN INTEREST |
2.10Cr. (+3.87%) |
| INDIA VIX |
16.58 (+9.20%) |
| NIFTY ROLLOVER |
5% |
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NIFTY OPTIONS ACTIVITY (29-AUG SERIES)
| CALL |
11000 CE +5.20 lac Shares |
| CALL |
10900 CE +8.36 lac Shares |
| PUT |
10900 PE -1.29 lac Shares |
| PUT |
10800 PE +1.93 lac Shares |
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| Sectoral Indices (BSE) |
| Index |
Clsg |
Chg% |
| Auto |
15,438 |
-1.26 |
| Bankex |
31,246 |
-2.06 |
| PSU |
6,594 |
-2.07 |
| Healthcare |
12,442 |
-0.91 |
| IT |
15,639 |
+0.69 |
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| Market Turn Over (`cr) |
| Index |
05/08 |
02/08 |
| BSE Cash |
2,643 |
2,745 |
| NSE Cash |
33,029 |
37,984 |
| NSE F&O |
957,212 |
1,142,377 |
| BSE Delivery % |
44.39 |
35.42 |
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| Advances / Decines BSE Cash |
|
Adv(%) |
Dec(%) |
| BSE 100 |
21.78 |
78.22 |
| BSE 200 |
22.89 |
76.62 |
| BSE 500 |
20.96 |
78.84 |
| Total BSE |
27.23 |
67.77 |
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| Commodities, Forex & Debt |
|
Clsg |
Chg% |
| Crude Oil NYMEX $ bl |
54.65 |
-0.07 |
| Gold Rs./ 10 Gms |
37345.00 |
+2.96 |
| Silver Rs./ Kg |
42483.00 |
+2.71 |
| Rs.- US $ |
71.04 |
+1.97 |
| Rs.- Euro |
79.69 |
+2.97 |
|
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| FII (Rs cr ) |
|
05/08* |
02/08* |
| FIIs |
-2889.51 |
-1166.87 |
| MFs |
- |
- |
*Date refers to the day of activity and not the day on which it is reported. |
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| Details |
Buy |
Sell |
Open interest at the
end of the day |
Net Position |
|
|
No. of
Contracts |
Value
(Rs. Cr) |
No. of
Contracts |
Value
(Rs. Cr) |
No. of
Contracts |
Value
(Rs. Cr) |
Value
(Rs. Cr) |
|
| Index Futures |
70,661.00 |
4,832.33 |
82,635.00 |
5,987.88 |
2,54,214.00 |
19,390.27 |
(1,155.55) |
| Index Options |
21,10,841.00 |
1,41,895.82 |
21,03,382.00 |
1,41,288.30 |
6,92,915.00 |
51,887.09 |
607.52 |
| Stock Futures |
2,53,576.00 |
14,167.66 |
2,35,708.00 |
12,945.70 |
15,22,136.00 |
88,796.63 |
1,221.96 |
| Stock Options |
99,367.00 |
5,746.03 |
1,00,486.00 |
5,837.85 |
72,494.00 |
3,985.01 |
(91.82) |
| Total |
25,34,445.00 |
1,66,641.84 |
25,22,211.00 |
1,66,059.73 |
25,41,759.00 |
1,64,059.00 |
582.11 |
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| Corporate News |
Berger Paints India is looking at acquisitions in Russia as it eyes profitability in operations there. Berger operates in Russia through a step-down subsidiary which has an impairment loss to the tune of over Rs.28 crore, recognised in Q4 of FY19. (BL). |
Visaka Industries has said that ATUM, its integrated hybrid solar-roofing system for sustainable off grid, air-conditioned walkway, has been favoured by Air India SATS Airports Services Private Ltd, a gateway services and food solutions provider. (ET).
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Natco Pharma Ltd has announced successful completion of inspection by USFDA of its formulations plant at Kothur in Telangana. The US Food and Drug Administration has sent the Establishment Inspection Report (EIR) for the inspection conducted at the facility during May 30–June 5, it said in a release. (BL). |
At a time when the auto industry is going through a tough phase, the country’s largest two-wheeler manufacturer, Hero MotoCorp, in an attempt to boost sales, has started delivery of its scooters and motorcycle at the customers’ doorstep. This is being done at a nominal charge. The company has started an e-commerce portal — www.HGPmart.com — to offer this facility, and the service is currently available in three cities —Mumbai, Bengaluru and Noida. The company plans to expand this facility to 25 cities over the next few months in a phased manner, it said in a statement on Monday. (ET). |
Britain’s Cairn Energy PLC, which gave India its biggest onshore oil discovery and gas find that opened the KG basin, is keen to reinvest in the country if the retrospective tax issue it is facing is resolved, its chief executive said. . (ET). |
ITC Chairman Sanjiv Puri has disclosed that the construction of its Rs.800-crore food processing plant at Manoharabad in Medak district is almost complete and it will go on stream in two to three months. (BS). |
Corporate Quarterly Earnings |
Express distribution and supply chain solutions provider Gati Ltd’s consolidated net profit decreased to Rs.2.03 crore in the first quarter ended June 30, 2019, compared to Rs.5.61 crore in the corresponding quarter of previous year. Express distribution and supply chain solutions provider Gati Ltd’s consolidated net profit decreased to Rs.2.03 crore in the first quarter ended June 30, 2019, compared to Rs.5.61 crore in the corresponding quarter of previous year. (BL). |
SRF Ltd has reported a 41.38 per cent higher consolidated net profit at Rs.189.22 crore for the first quarter of 2019-20. The group had reported a net profit of Rs.133.84 crore in the corresponding quarter of the previous fiscal. The company’s Board of Directors approved an interim dividend at the rate of 70 per cent, amounting to Rs.7 per share (of Rs.10 face value). The Board also approved the setting up of an integrated facility for development of Polytetrafluoroethylene (PTFE) at a cost of Rs.424 crore. (ET). |
Torrent Power on Monday posted about 22 per cent rise in consolidated net profit at Rs.276.59 crore for June quarter ended this year compared to Rs.227.32 crore shown during the corresponding quarter last year, mainly on the back of higher revenues. The company’s total income in the quarter rose to Rs.3,790.61 crore from Rs.3,580.42 crore a year ago. The shareholders in the annual general meeting held on Monday approved a proposal to raise up to Rs.1,500 crore through issuance of non-convertible debentures on private placement basis. (ET). |
Suzuki Motor Corp on Monday reported a 46.2 per cent fall in first-quarter operating profit, hurt by lower output at home as it improves its inspection systems, and falling demand in India, its biggest market. Japan's fourth-largest automaker posted an operating profit of 62.7 billion yen ($592 million) for the April-June quarter, down from 116.5 billion yen a year earlier. (BL). |
Stainless steel maker Jindal Stainless posted a 57% drop in its consolidated net profit at Rs 48 crore for the April-June quarter on the back of lower sales and and the incurrence of an exceptional loss. Consolidated net sales fell by 3% at Rs 3,263 crore. The company also incurred an exceptional loss of Rs 24 crore on account of forex movement. (ET). |
Indian Hotels Company (IHCL) reported a profit after tax of Rs 4.98 crore in its consolidated financial results for the quarter ended June 30 this year, compared to a profit of Rs 9.10 crore in the corresponding period of the previous fiscal. The company said the financial results reported were in line with the new accounting lease standards (Ind AS 116) effective April 1 2019. The company said the financial results reported were in line with the new accounting lease standards (Ind AS 116) effective April 1 2019. (ET). |
Public sector Indian Bank on Monday clocked a 74.55 per cent jump in its net profits for the April-June quarter, at Rs 365.37 crore. The city-based bank had recorded net profits at Rs 209.31 crore during the corresponding quarter of the previous year. For the year ending March 31, 2019 net profits of the company were at Rs 321.95 crore. Total income for the April-June quarter grew to Rs 5,832.11 crore from Rs 5,131.96 crore registered during the same period of last year. (ET). |
Lakshmi Automatic Loom Works Monday clocked a standalone net profit at Rs 80.32 lakh for the April-June 2019 quarter. The Coimbatore-based company had recorded profits at Rs 7.02 lakh during the same period last year. For the year ending March 31, 2019 net profits were at Rs 1.25 crore. Total income on standalone basis for the April-June 2019 quarter grew to Rs 3.14 crore from Rs 1.72 crore registered the same period last year. (BL). |
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| Economy and Sector News |
The Ministry of Petroleum and Natural Gas has written to State governments seeking their support to achieve the eight crore free cooking gas connection distribution target under the Pradhan Mantri Ujjwala Yojana (PMUY). In more news, The country’s services sector activity in July returned to growth territory driven by new business orders that rose at fastest pace since October 2016, following which job creation picked up, a monthly survey showed on Monday. The IHS Markit India Services Business Activity Index rose to 53.8 in July from 49.6 in June, pointed to the quickest increase in output in one year. (BL). |
The Ministry of Coal has started the process of auctioning 27 coal mines and allocating 15 mines to developers. This process is being re-initiated after previous attempts elicited poor response from bidders in view of market conditions. The allocation of blocks will be restricted to Central and State public sector undertakings. In more news, The Delhi airport will spend Rs.9,800 crore for capex till June 2022 including building the fourth runway, expanding parking stands for aircraft to 82 from the current 55 and increasing the airport’s handling capacity to 140 million passengers annually. (ET).
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Alstom India, a subsidiary of French engineering major Alstom, on Monday rolled out the 100th metro train set manufactured locally from Sri City special economic zone near here. In more news, The coal and uranium mining operations of the controversial Indian-origin Gupta family in South Africa are to be sold off after its owners left the country amid increasing allegations of their irregular dealings with state departments. (BL). |
Shell will be installing solar panels to annually generate 683 Mwh electricity at the company’s Taloja lubricant plant in Maharashtra. Shell will be working with Cleantech Solar for the installation of approximately 1,700 panels, which is expected to generate 683 MWh of electricity annually, and can result in the avoidance of 500 tonnes of annual GHG emissions. In more news, Wholesale retailer Metro Cash & Carry on Monday announced a partnership with fintech start-up ePayLater to help kirana shops digitise their business using smartphones. As part of its next phase of kirana digitisation programme, Metro in association with ePayLater has co-created a mobile application ‘Digital Shop’ to digitise kirana shops’ business operation instantly without any additional investment, a joint statement said. (ET). |
* ET - Economic Times, BS - Business Standard, BL - Business Line, TOI - Times of India, Mint, IE - Indian Express, BT - Business Today, IE - Indian Express |
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| Global Markets |
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DJIA and NASDAQ Composite
US markets suffered their biggest one-day decline of 2019 on Monday as China allowed its currency to fall to a more-than-10-year low versus the dollar after President Donald Trump rattled markets by announcing additional tariffs on Chinese goods late last week. The Dow Jones Index closed at 25,718,
down 767.27 points by 2.90%. The Standard & Poors 500 index closed at 2,845, down 87.31 points by 2.98%. The Nasdaq Composite Index closed at 7,726, down 278.03 points by 3.47%.
FTSE 100
UK markets finished sharply lower on Monday amid escalating Sino-US trade tensions and speculation that the Prime Minister might be plotting calling snap elections after his majority in the House of Commons was cut to just one seat following a by-election in Brecon and Radnorshire. The FTSE 100 index closed at 7,224, down 183.21 points by 2.47%. |
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| Global Indices |
| 05/08/2019 |
Clsg |
Chg% |
| Dow Jones |
25,718 |
-2.90 |
| NASDAQ |
7,726 |
-3.47 |
| FTSE 100 |
7,224 |
-2.47 |
| Bovespa |
100,098 |
-2.51 |
| 06/08/2019 |
Latest
(6:01AM IST) |
Chg% |
| Nikkei |
20,142 |
-2.79 |
| Hang Seng |
26,151 |
-2.85 |
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Nikkei
Asian shares started trading negative on Tuesday as investors will be watching the US and other global markets closely. Nikkei is currently trading at 20,142, down 578.16 points by 2.79%.
Precious Metals
Gold’s haven appeal boosted the metal to a more than six-year high on Monday, as an escalating U.S.-China trade fight sparked a selloff in assets perceived as risky.
Base Metals
The three-month copper price on the London Metal Exchange continued its downtrend over Monday August 5, closing below the nearby $5,700-per-tonne support level to reach its lowest settlement since June 2017, while nickel futures near $15,000 per tonne.
Crude Oil
Oil futures resumed their drop Monday, tracking losses ripping through broader financial markets as concern for a prolonged trade war and its risk to global crude demand was rekindled. |
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Information pertaining to Asit C. Mehta Investment Interrmediates Limited (ACMIIL):
ACMIIL is a SEBI registered Stock Broker, Merchant Banker and Depository Participant. It is also a AMFI registered Mutual
Fund Distributor. It does not have any disciplinary history. Its associate/group companies are Asit C. Mehta Commodity
Services Limited, Asit C. Mehta Realty Services Pvt. Ltd, Asit C. Mehta Forex Pvt. Ltd, Nucleus IT Enabled Services , Asit C.
Mehta Financial Services Limited (all providing services other than stock broking and merchant banking).
Disclosures
ACMIIL/its associates and its Research analysts have no financial interest in the companies covered on the report. ACMIIL/
its associates and Research analysts did not have actual/beneficial ownership of one per cent or more in the companies
being covered at the end of month immediately preceding the date of publication of the research report. ACMIIL/its associates
or Research analysts have no material conflict of interest, have not received any compensation/benefits for any
reason (including investment banking/merchant banking or brokera3ge services) from either the companies concerned/third
parties with respect to the companies covered in the past 12 months. ACMIIL/its associates and research analysts have
neither managed or co-managed any public offering of securities of the companies covered nor engaged in market making
activity for the companies being covered. Further, the companies covered neither are/nor were a client during the 12
months preceding the date of the research report. Further, the Research analyst/s covering the companies covered herein
have not served as an officer/director or employee of the companies being covered.
Disclaimer:
This report is based on information that we consider reliable, but we do not represent that it is accurate or complete and
it should not be relied upon such. ACMIIL or any of its affiliates or employees shall not be in any way responsible for any
loss or damage that may arise to any person from any inadvertent error in the information contained in the report. To
enhance transparency we have incorporated a Disclosure of Interest Statement in this document. This should however not
be treated as endorsement of the views expressed in the report. |
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