Borrowing through benchmark 10- Years bond crosses Rs 2 lakh crore : Daily Market Update -13 Feb 2024 | Globe Capital Market LTD.
Borrowing through benchmark 10- Years bond crosses Rs 2 lakh crore : Daily Market Update -13 Feb 2024

Government borrowing through the benchmark 10-year bond topped Rs 2 lakh crore, becoming the second such bond series. The current outstanding amount for the 10-year bond stands at Rs 2.01 lakh crore, according to data from the Reserve Bank of India. Last month, the outstanding amount for the bond maturing in 2063 crossed Rs 2 lakh crore and is currently at Rs 2.16 lakh crore. This shows the government's tolerance for borrowing through a particular bond series. The quantum of borrowing set for the current benchmark bond was Rs 1.54 lakh crore, which was breached early last month.

Overview and Outlook

Global Stock Market Today

  • Barring Dow, other US equity markets settled on a flat to negative note.
  • European equity markets ended higher in range 0.1% to 0.5%.
  • Majority of Asian equity markets are trading higher.
  • GIFT Nifty is up by 50 points, Nifty futures are likely to open around 21750 levels (as on 8:30AM).


News highlights from across the globe

  • Most of the Asian markets are trading higher as they returned to trade after Lunar New Year’s holiday but Australia’s S&P/ASX 200 was marginally lower. Meanwhile, those in China and Hong Kong remained closed.
  • U.S. indices ended on a mixed note after hitting new highs ahead of data expected to underscore further disinflation, paving the way for the Federal Reserve to start cutting interest rates this year.
  • Brent crude was trading 0.23% lower at $82 a barrel.


Important news updates from the domestic front

  • Coal India Q3 FY24 (Consolidated, YoY) Revenue- up 2.79% at Rs 36,154 crore vs Rs 35,169.3 crore. Ebitda up 9.47% at Rs 11,373.12 crore vs Rs 10,388.73 crore. Margin expands 191 bps to 31.45% vs 29.53% . Net profit up 17.8% at Rs 9,093.69 crore vs Rs 7,719.11 crore
  • Steel Authority Of India Q3 FY24 (Consolidated, YoY)- Revenue down 6.77% at Rs 23,348.6 crore vs Rs 25,042.1 crore. Ebitda up 3.07% at Rs 2,142.5 crore vs Rs 2,078.6 crore. Margin expands 87 bps to 9.17% vs 8.3%. Net profit down 21.99% at Rs 422.92 crore vs Rs 542.18 crore. Board declares interim dividend of Re 1 per share.
  • MSCI Index Rejig: Global index aggregator MSCI will announce its February 2024 restructuring on Tuesday. Companies that are included and excluded in the index will be in focus.
  • One 97 communication is awaiting government approval for investment in its material subsidiary, Paytm Payments Services.
  • Life Insurance Corp has increased its stake in SBI Cards and Payments Serveices to 5.02% from 4.99%.
  • Mahindra and Mahindra reported total production at 1.01 lakh units vs 76,421 units, year-on-year. Total sales stood at 72,198 units vs 61,326 units and total exports at 1,746 units vs 3,009 units for the month of January.
  • RVNL emerged as the lowest bidder from Madhya Pradesh Paschim Kshetra Vidyut Vitran Co. for the supply, installation, testing and commissioning of the new 11 KV line. The size of the order is Rs 106 crore.
  • JSW Energy’s unit received a Letter of Acceptance for 500 MW wind capacity from Solar Energy Corp.


Nifty Overview & Outlook

The benchmark Nifty index settled sharply lower at 21616 levels after a cut of 160 points from its previous closing values after highly volatile trading session.

Broader markets underperformed the frontline index as Small cap and Midcap indices tumbled 4% and 2.5% respectively against 0.75% decline of the frontline index; resultant, poor market breadth.

All the sectoral indices, barring Pharma and IT, tracked at NSE settled in red. Amongst them, Nifty Media and PSU Bank index tumbled nearly 4.5% each followed by Nifty Bank, FMCG, Realty, Oil & Gas and Metal index that were down in range 1.5% to 3%.

Technically, Nifty index is trading on verge of breakdown from an important support of 21600 levels. Cross and sustenance below the same might take it towards 21200 levels in near term.


Derivatives Overview & Outlook

Yesterday, short buildup was seen in Nifty, Banknifty and Finnifty futures with increase in open interest by 1.1%, 5.1% and 18.8% respectively.

Most of the F&O sectors settled lower. Amongst them, Capital Goods, Technology, Textile, Metal and Finance shares witnessed maximum addition of short positions whereas long unwinding was seen in Power, FMCG and Media stocks.

On options front, call writing was seen at multiple strikes and maximum positions are at 20800 PE closely followed by 21500 PE and 22000 CE.


Institutional Trading Activity

Yesterday, FIIs bought stocks worth Rs 127 Cr in the cash segment, bought stocks futures worth Rs 1606 Cr and sold index future worth Rs 126 Cr. DIIs were net buyer in the cash segment to the tune of Rs 1712 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 21850-22000; Supports 21550-20470

Banknifty – Resistances 45575-46000; Supports 44700-44400

Finnifty – Resistances 20170-20300; Supports 19830-1967019980-19780






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