GST collections rose 10% YoY in December to Rs 1.65 lakh crore : Daily Market Update Equity 02 Jan 2024 | Globe Capital Market LTD.
GST collections rose 10% YoY in December to Rs 1.65 lakh crore : Daily Market Update Equity 02 Jan 2024

The government's Goods and Services Tax (GST) collections climbed 10% y-o-y in the last month of 2023 to Rs 1.65 lakh crore, the Ministry of Finance said on January 1. At Rs 1.65 lakh crore, the December GST collections is 2 percent lower than the Rs 1.68 lakh crore collected in November 2023. This is the tenth consecutive month that the monthly GST collection has come above the Rs 1.5-lakh-crore mark. The latest GST data takes the average monthly collection in 2023-24 to Rs 1.66 lakh crore.

Overview and Outlook

Global Stock Market Today

  • US equity markets were closed yesterday
  • European equity markets were also closed yesterday
  • Asian equity markets are trading in red.
  • GIFT Nifty is little changed, Nifty futures are likely to open around 21850 levels (as on 8:30AM)


News highlights from across the globe

  • Asian markets are set to start the first trading session of the year on a muted note.
  • Markets in Japan are to remain closed till Jan 4. A massive earthquake struck Japan’s east coast, resulting major Tsunami. Six people died in the disaster.


Important news updates from the domestic front

  • Life Insurance Corp increased its stake in Asian Paints from 4.995% to 5%. It also received a demand order cum penalty notice worth Rs 806.3 crore from Maharashtra tax authorities. The company will file an appeal before the Commissioner of Appeals, Mumbai, against the demand order.
  • Hindustan Unilever received a GST demand notice from five different states amounting to nearly Rs 450 crore.
  • Gensol Engineering approved raising funds up to Rs 300 crore via qualified institutional placement.
  • SJVN has received approval from the Department of Investment and Public Asset Management to set up four joint venture companies with the Ministry of Power.
  • Coal India recorded coal production at 71.9 MMT, up 8.2% YoY for December month and coal production at 531.9 MMT, up 11% YoY for 9 months.
  • Tata Motors reported December passenger vehicle sales at 1.38 lakh units, up 5% YoY; commercial vehicle sales at 34,180 units, up 1% YoY; and domestic sales at 76,138 units, up 4.3% YoY.
  • Maruti total sales were down 1.3% at 1.37 lakh units vs 1.39 lakh units (YoY). The company crossed the annual sales milestone of 20 lakh units in the calendar year 2023.
  • Mahindra and Mahindra reported December auto sales of 60,188 units. The total tractor sales declined to 19,138 units, down 18% from 23,243 units in the corresponding month a year ago.
  • Bajaj Auto December sale stood at 3.26 lakh units. This marks a 16% increase compared to the same period last year.
  • Escorts experienced a downturn in its recent sales figures, recording a total of 4,536 units, down 18.6% from the previous year’s 5,572 units. Domestic sales faced a similar trend, declining by 17% to reach 4,131 units, compared to 4,979 units YoY.


Nifty Overview & Outlook

Benchmark Nifty index ended on a flat note at 21742 levels after hitting new all time highs i.e. 21834.35 levels.

Broader markets outperformed the frontline index as Small cap and Midcap indices rose over 0.5% each. The market breadth was heavily inclined towards declining side.

Majority of sectoral indices tracked at NSE settled in green. Amongst them, Nifty Media index was at the top of the tally, gained over 1.5% followed by FMCG, IT, Oil & Gas and PSU Bank indices that rose over 0.5% each. On the other hand, Nifty Auto, Bank and Financial service index ended on a flat to negative note.

Technically, Nifty Index is well placed on multiple chart frames. However, possibility of some profit taking can not be ruled out at this juncture. Going ahead, we reiterate our bullish view with a cautious stance on Nifty index till it is trading above 21500 levels on closing basis and expect it to test 22000 and higher levels in near term.


Derivatives Overview & Outlook

Yesterday, no significant changes was seen in Nifty, Banknifty and Finnifty futures on price front whereas open interest decreased by 0.5%, 1% and 6.1% respectively.

On the sectoral front, long buildup was seen among Realty, Chemicals, Pharma and Oil & Gas stocks whereas  short buildup was seen in Power and Textile stocks. Short covering was seen in Telecom stocks.

On options front, put writing along with call writing was seen at multiple strikes and maximum positions are at 21700 PE and 22000 CE.


Institutional Trading Activity

Yesterday, FIIs sold stocks worth Rs 856 Cr in the cash segment, sold stocks futures and index futures worth Rs 1315 and Rs. 285 Cr. DIIs were net buyer in the cash segment to the tune of Rs 410 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 21950-22090; Supports 21670-21495

Banknifty – Resistances 48775-49050; Supports 48080-47570

Finnifty – Resistances 21690-21800; Supports 21390-21200


F&O Securities in Ban Today  –  BALRAMCHIN, HINDCOPPER


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