Saudi, Russia Stick to planned oil cuts amid Mideast tension - Daily Market Update - Equity 06 Nov 2023 | Globe Capital Market LTD.
Saudi, Russia Stick to planned oil cuts amid Mideast tension – Daily Market Update – Equity 06 Nov 2023

Saudi Arabia and Russia reaffirmed that they will stick with oil supply curbs of more than 1 million barrels a day until the end of the year, even as turmoil in the Middle East roils global markets. The leaders of the OPEC+ coalition announced the plans in separate official statements on Sunday. Riyadh has slashed daily crude production by 1 million barrels and Moscow is curbing exports by 300,000 barrels, on top of earlier cuts made with fellow OPEC+ nations.

Overview and Outlook

Global Stock Market Today

  • US equity markets ended on positive note, up in range 0.66% to 1.38%.
  • European markets ended on a mixed note.
  • Asian equity markets are trading in green.
  • GIFT Nifty is up by 20 points, Nifty futures likely to open around 19450 levels (as on 8:30AM).


News highlights from across the globe

  • Shares in Asia advanced after Friday’s rally in U.S. stocks as investors gave further credence to the idea interest rates are near the cycle peak.
  • The S&P 500 enjoyed its best week this year, gaining 5.9%. U.S. futures were slightly higher Monday.
  • Brent crude was trading at $85 a barrel and the yield on the 10-year US bond was trading at 4.57%.


Important news updates from the domestic front

  • Tata Steel: The record date in the matter of the scheme of amalgamation amongst the company and Tata Steel Long Products is Nov. 17. Tata Steel will issue and allot full paid-up equity shares to the shareholders of TSLP on the record date in the ratio of 67 equity shares of Rs 1 each for every 10 equity shares of Rs 10 each held in TSLP.
  • Indian Oil Corp gets approval from NCLT’s Mumbai Bench for the acquisition of a 100% stake in Mercator Petroleum.
  • Infosys and Spirit AeroSystems inaugurated their dedicated centre for aerospace engineering excellence in Richardson, Texas.
  • Greaves Cotton sold its land located in Pune to Runal Developers LLP for a total consideration of Rs 284 crore.
  • Restaurant Brands Asia executed a facility agreement with Axis Bank. The agreement is for availing a secured term loan facility for up to Rs 150 crore.
  • JSW Infrastructure has approved the acquisition of Marine Oil Terminal Corp along with its Fujairah Branch by JSW Terminal Middle East; the transaction has an enterprise value of $187 million. The board has also approved the purchase of a container train operator licence from Sical Multimodal and Rail Transport.
  • Ethos approved fund raising via QIP at the issue price of Rs 1,547 per


Nifty Overview & Outlook

Benchmark Nifty index opened with a gap on the higher side and settled above 19200 levels after adding 97 points to its previous closing values after a lackluster trading session.

Broader markets outperformed the benchmark as Small cap & Mid cap index settled higher, up by 1.21% and 0.76% respectively leading to strong market breadth.

All the sectoral indices tracked at NSE settled in green. Amongst them, Nifty Realty index was at the top of the tally, gained over 2.5% followed by Nifty Media and Consumer Durable index that were up by 1.38% and 1.22% respectively.

Technically, Nifty index is trading on verge of bullish breakout from the congestion zone of 18800 -19250 levels. Going ahead, crossover and sustenance above 19250 will open the doors for fresh up move up to 19500 and higher levels in immediate short term.


Derivatives Overview & Outlook

Last Friday, short covering was seen in Nifty and Banknifty futures with decrease in open interest by 2.9% and 5.6% respectively whereas long buildup was seen in Finnifty futures with increase in open interest by 9%.

On sectoral front, long buildup was seen in Reality, Pharma, Automobile, Finance and FMCG stocks whereas short covering was seen in Chemical, Technology and Banking stocks.

On options front, call writing was seen at multiple strikes and maximum positions are at 19200 PE and 19300 CE.


Institutional Trading Activity

Last Week, FIIs sold stocks worth Rs 5548 Cr in the cash segment, bought stocks futures worth Rs 1437 Cr and sold index futures worth Rs 470 Cr. DIIs were net buyer in the cash segment to the tune of Rs 5074 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 19460-19540; Supports 19200-19060

Banknifty – Resistances 43920-44250; Supports 43100-42830

Finnifty – Resistances 19670-19750; Supports 19200-19050






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