GDP growth at 8.4% in 3rd quarter, fastest in 1.5 years : Daily Market Update - 01 March 2024 | Globe Capital Market LTD.
GDP growth at 8.4% in 3rd quarter, fastest in 1.5 years : Daily Market Update – 01 March 2024

The Indian economy grew 8.4% during the October-December quarter of the current financial year 2023-24 (Q3FY24), remaining the fastest-growing major economy in the world, according to gross domestic product (GDP) data released by the Statistics Ministry on Thursday, February 29. The rise in GDP growth was supported by robust growth in manufacturing and construction sectors, along with high domestic demand. “GDP at constant (2011-12) prices in Q3 of 2023-24 is estimated at ₹43.72 lakh crore, against ₹40.35 lakh crore in Q3 of 2022-23, showing a growth rate of 8.4 per cent. GDP at current prices in Q3 of 2023-24 is estimated at ₹75.49 lakh crore, as against ₹68.58 lakh crore in Q3 of 2022-23, showing a growth rate of 10.1 per cent," said the National Statistical Office (NSO).

Overview and Outlook

Global Stock Market Today

  • Barring DOW, other US equity markets settled on a flat to negative note.
  • Barring CAC, other European equity markets settled on a positive note.
  • Asian equity markets are trading on a mix note.
  • GIFT Nifty is little changed, Nifty futures is likely to open around 22175 levels (as on 8:30AM).


News highlights from across the globe

  • Asian equity markets are trading on a mixed note as investors await for China’s official PMI reading for February, and assess U.S. Personal Consumption Expenditure data.
  • China’s PMI data, scheduled for release later today, is estimated to be at 48.8 in February, lower than reading of 49.2 in the preceding month, due to a week-long holiday impacting activities, according to Bloomberg.
  • U.S. PCE Data or Federal Reserve’s preferred inflation gauge rose in line with the estimate, giving traders a little relief that Fed will cut rates this year, and now when by how are remained to be bet at, Bloomberg reported.


Important news updates from the domestic front

  • One 97 Communication has likely signed a deal to move its merchant accounts to Yes Bank, NDTV Profit reported exclusively.
  • Adani Enterprises has divested its entire stake in Vizag Tech Park for Rs 151 crore to Adani Infrastructure and Developers.
  • Adani Group Stocks: The group reported a record Ebitda growth of 63.6% year-on-year in Q3 FY24, driven by its core infrastructure business.
  • Vedanta incorporated Hindmetal Exploration Services by Hindustan Zinc, a subsidiary of the company, to explore, discover, develop and tap mineral resources.
  • Auto Stocks: announce their February sales figures on Friday. Companies such as TVS Motor, Bajaj Auto, Tata Motors, Maruti Suzuki India and Hero MotoCorp will be in focus.
  • CG Power And Industrial Solutions in partnership with Renesas Electronics Corp., will make an investment of Rs 7,600 crore to set up a semiconductor unit in Gujarat.
  • ICICI Bank acquired a further stake in ICICI Lombard worth Rs 431 crore. ICICI Lombard is now a subsidiary of the bank.
  • Biocon arm signed a licence pact with Janssen Biotech and Johnson & Johnson to commercialise Bmab 1200 in the U.S. The USFDA conducted an inspection at the company’s unit between Feb. 20 and 28 and has Form 483s with four observations.
  • Godrej Industries has made further investments in Godrej Capital. It now holds an 89.48% stake in the company.


Nifty Overview & Outlook

Benchmark Nifty index ended on a flat note at 21982 levels after highly volatile trading session on monthly F&O expiry day.

The broader markets outperformed the benchmark as Mid & Small cap index settled nearly 1% and 0.5% respectively against flat closing of the frontline index.

All the sectoral indices, barring Nifty Media and Healthcare  index, tracked at NSE settled in green. Amongst them, Nifty Metals and PSU Banks were the top performers rose 0.91% and 1.30% respectively.

Going ahead, we expect Nifty index to trade with sideways to positive bias till it is trading above 21800 levels on closing basis and suggest traders to maintain buy on dip trading strategy till it is holding above said levels.


Derivatives Overview & Outlook

Yesterday, long unbinding was seen in Nifty and Banknifty futures with decrease in open interest by 11.9% and 21.3% respectively. Short covering was seen in Finnifty futures with decrease in open interest by 4.5%.

Nifty & Banknifty futures rolled 79% & 74% of open interest respectively into next contract which was slightly lower than the previous month rollovers of 81% and 77%.

On options front, Nifty will start the first weekly contract of March series with maximum positions at 23000 CE closely followed by 22200 CE and 21000 PE closely followed by 22000 PE.


Institutional Trading Activity

Yesterday, FIIs bought stocks worth Rs 3568 Cr in the cash segment, sold stocks futures and index futures worth Rs 4181 Cr and Rs 896 Cr respectively. DIIs were net seller in the cash segment to the tune of Rs 230 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 22290-22380; Supports 22067-21930

Banknifty – Resistances 46800-47000; Supports 46270-45900

Finnifty – Resistances 20620-20730; Supports 20430-20320


F&O Securities in Ban Today  – NIL.


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