Morning Notes
26th Aug, 2019
 

Trading Range:

Nifty opened gap down at 10700 on Friday and made a high and low of 10863 and 10637 respectively before closing positive at 10829.

Review/Outlook:

For the day, support for Nifty exists at 10780 and 10700 levels whereas resistance for Nifty stands at 10910 and 11020 levels.

Review/Outlook:

Bank Nifty opened gap down at 26835, made a high of 27207, low of 26561, and closed negative at 26959. For the day, support for Bank Nifty exists at 26800 and 26500 levels whereas resistance for Bank Nifty stands at 27200 and 27500 levels.
Market Scan
Benchmark Indices
Index Clsg Chg%
Sensex 36,701 +0.63
Nifty 10,829 +0.82
BSE 200 4,513 +0.82
BSE Midcap 13,202 +0.93
BSE Smallcap 12,186 +0.55
Dow Jones 25,629 -2.37
NASDAQ 7,752 -3.00
 

DERIVATIVES INDICATORS FOR AUG 26, 2019:

NIFTY 10829.35 (+88.00) (+0.82%)
NIFTY AUG FUTURE 10842.70 (13.35 Points Premium)
NIFTY PCR - OI 1.02(+0.04)
NIFTY OPEN INTEREST 2.23Cr. (-1.89%)
INDIA VIX 17.34 (-2.83%)
NIFTY ROLLOVER 19%

NIFTY OPTIONS ACTIVITY (29-AUG SERIES)

CALL 10900 CE -1.27 lac Shares
CALL 10800 CE +1.13 lac Shares
PUT 10700 PE +2.50 lac Shares
PUT 10800 PE +3.38 lac Shares
Sectoral Indices (BSE)
Index Clsg Chg%
Auto 15,728 +1.54
Bankex 30,444 -0.31
PSU 6,216 +2.44
Healthcare 12,460 +0.92
IT 15,969 +0.94
 
Market Turn Over (`cr)
Index 23/08 22/08
BSE Cash 2,201 3,916
NSE Cash 33,682 32,956
NSE F&O 1,043,153 2,517,205
BSE Delivery % 40.51 49.63
Advances / Decines BSE Cash
Adv(%) Dec(%)
BSE 100 75.25 24.75
BSE 200 73.13 26.37
BSE 500 65.47 33.73
Total BSE 50.66 44.31
 
Commodities, Forex & Debt
Clsg Chg%
Crude Oil NYMEX $ bl 54.17 -2.13
Gold Rs./ 10 Gms 38765.00 +1.57
Silver Rs./ Kg 44602.00 +1.61
Rs.- US $ 71.81 -0.15
Rs.- Euro 80.11 +0.50
FII (Rs cr )
23/08* 22/08*
FIIs -1289.92 -1044.33
MFs - -

*Date refers to the day of activity and not the day on which it is reported.
 
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       87,665.00       6,054.54       82,718.00       5,626.44    3,05,663.00     23,217.94      428.10
Index Options  33,34,165.00  2,16,665.02  33,66,991.00  2,18,671.10    8,11,317.00     60,851.92  (2,006.08)
Stock Futures    3,21,661.00     16,963.50    3,11,296.00     16,536.67  16,19,679.00     91,855.41      426.83
Stock Options    1,56,641.00       8,684.79    1,58,362.00       8,785.13    1,08,717.00       5,767.77     (100.34)
Total  39,00,132.00  2,48,367.85  39,19,367.00  2,49,619.34  28,45,376.00  1,81,693.04  (1,251.49)
Corporate News
State-run hydro power giant NHPC is likely to begin construction of the 2,000 MW Lower Subansiri power plant in October this year as it has received the requisite approval from the Assam government, an official said. (BL).
Pharma major Glenmark is recalling over 31,000 tubes of anti-fungal Clotrimazole and Betamethasone Dipropionate cream from the United States (US) market, as per a report by the American health regulator. (ET).
Aurobindo Pharma Ltd is planning to launch about 40 new products in the course of this fiscal. (BL).
Sundaram-Clayton Ltd, a leading supplier of aluminium die-cast products, on Friday said the company will be working five days a week following the slowdown in the automobile sector. (ET).
Pharma major Johnson & Johnson has paid Rs.25 lakh each to three victims of its faulty acetabular surface replacement (ASR) hip implants in Uttar Pradesh, officials said. (ET).
Hair-care brand Indulekha, acquired by Hindustan Unilever Ltd (HUL) in 2016, has become a Rs.2,000-crore brand for the FMCG major, its Chairman and MD, Sanjiv Mehta said. (BL).
Ruias-controlled Essar Group's power arm, Essar Power is said to be in talks to deleverage about Rs 20,000 crore of its debt to bring it down to about one-third through measures of debt restructuring of group's 2,400-MW Independent Power Producer (IPP) companies. (BS).
Maruti Suzuki India Ltd (MSIL) on Friday said it will inspect 40,618 vehicles of WagonR (1 litre) for a possible issue of fuel hose fouling with metal clamp. (ET).
State-owned Bank of Maharashtra (BoM) on Sunday said it will link its retail loans with the repo rate, which will make the loans cheaper. It will be effective from September 1, 2019 for the ensuing festival season. Presently, it will be for new customers only and in due course it will be extended to existing customers as well. (ET).
A senior Australian minister is likely to meet Adani Group Chairman Gautam Adani during his trip to India beginning Monday. The meeting is expected to discuss Adani's Rs 10,000 crore Carmichael coal project where Australian authorities will try to persuade the Indian investor to begin construction at the earliest. (ET).
Largest credit card issuer HDFC Bank feels the consumption story is still on and will keep growing the unsecured lending business going forward. The largest private sector lender said the quality of its credit card portfolio is not yet affected by the broader economic realities and the stressed part is half that of the industry average. (ET).
Economy and Sector News
The Gujarat Co-operative Milk Marketing Federation (GCMMF), which markets dairy products under the ‘Amul’ brand, is looking at 40-60 new value-added dairy products over the next two years. The launches, which could include high-margin offerings, are expected to help Amul achieve a Rs.50,000-crore turnover by 2021. In more news, Ozonetel, a cloud communication and telephony solutions provider, has entered into an agreement with Singapore-based Nityo Infotech for expanding its operations to South-East Asia (SEA). (BL).
Indian retail segment is set for a clash between US-major Amazon and Mukesh Ambani's Reliance Retail with the former acquiring 49 per cent stake in Kishore Biyani's Future Coupons Ltd. The deal allows Amazon to acquire all or part of Biyani's shareholding in Future Retail Limited three years from now. In more news, Enforcement Directorate (ED) on Friday raided residences and offices of promoters of media company Deccan Chronicle Holding Private Ltd, T Venkatram Reddy and T Vinayakravi Reddy, to gather evidence of possible money laundering, in case of a bank fraud which runs over Rs. 1000 crore. (ET).
West Bengal has received a proposal for 800 megawatt (MW) solar power project with an estimated investment of Rs.3,000 crore from a private investor, a state minister said on Saturday. Power purchase agreement (PPA), however, will be the key to execute the project, West Bengal’s Power Minister Sobhandeb Chattopadhyay said. In more news, the Tobacco Board has fixed the crop size of virginia tobacco at 136 million kg (mkg) for the 2019-20 crop year, and it has been retained at the same level as last year, as the export scenario is uncertain, according to board officials here. (BL).
With farmers in central India deciding to plant more cotton and soyabean, there was a substantial pick-up in kharif sowing this week even though the area covered remained a tad lower than that in the corresponding week last year, according to data released by the Agriculture Ministry on Friday. Till date, farmers have sown a total of 975 lakh hectares (lh), nearly 2 per cent lower than 998 lh planted in the corresponding week of previous kharif season. Among the crops that reported higher area are cotton, soyabean, maize, bajra and arhar. Increase in planting in Maharashtra, Rajasthan and Telangana has helped the total cotton area to go up to 124 lh — nearly 6 per cent more than the 117 lh sown in the same week last year. (ET).
* ET - Economic Times, BS - Business Standard, BL - Business Line, TOI - Times of India, Mint, IE - Indian Express, BT - Business Today, IE - Indian Express
Global Markets
 

DJIA and NASDAQ Composite

US markets closed sharply lower on Friday following news that China was readying $75bn-worth of tariffs on US products and some hotly anticipated comments from Federal Reserve Chairman Jerome Powell. The Dow Jones Index closed at 25,629, down 623.34 points by 2.37%. The Standard & Poors 500 index closed at 2,847, down 75.84 points by 2.59%. The Nasdaq Composite Index closed at 7,752, down 239.62 points by 3.00%.

FTSE 100

UK markets gave up their weekly gains on Friday after China retaliated against the latest round of trade tariffs from Washington and the US President warned that he would respond to Beijing latest move shortly. The FTSE 100 index closed at 7,095, down 33.20 points by 0.47%.

 
 
Global Indices
23/08/2019 Clsg Chg%
Dow Jones 25,629 -2.37
NASDAQ 7,752 -3.00
FTSE 100 7,095 -0.47
Bovespa 97,668 -2.34
26/08/2019 Latest
(6:26AM IST) 		Chg%
Nikkei 20,284 -2.06
Hang Seng 26,179 +0.50

Nikkei

Asian shares were a sea of red on Monday as the latest salvo in the Sino-U.S. trade war shook confidence in the world economy and sent investors steaming to the safe harbors of sovereign bonds, gold and the Japanese yen. Nikkei is currently trading at 20,284, down 427.13 points by 2.06%.

Precious Metals

Spot gold got a boost from the slide in yields on Monday, rising 1.2% to $1,544.83 per ounce and touching its highest since April 2013.

Base Metals

The London Metal Exchange three-month nickel price lost gains made over the course of the trading day to close at $15,665 per tonne on Friday August 23, down 1.3% from the intraday high of $15,860 per tonne, despite a healthy 11,294-lot turnover, the highest since August 8.

Crude Oil

Oil prices went the other way on worries the tariffs dispute would crimp world demand on Monday.

 
 
 

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