Chhattisgarh, Mizoram kick-off month-long poll frenzy, voting begins - Daily Market Update - Equity 07 Nov 2023 | Globe Capital Market LTD.
Chhattisgarh, Mizoram kick-off month-long poll frenzy, voting begins – Daily Market Update – Equity 07 Nov 2023

Voting began across polling booths in 20 seats of Chhattisgarh and 40 seats of Mizoram. This is the first phase of state Assembly election in the former, whereas the latter will see a single-phase of polling.

Overview and Outlook

Global Stock Market Today

  • US equity markets ended on positive note, up in range 0.10% to 0.30%.
  • European markets ended on a flat to negative note.
  • Asian equity markets are trading in red.
  • GIFT Nifty is little changed, Nifty futures likely to open around 19460 levels (as on 8:30AM).


News highlights from across the globe

  • Asian stocks opened lower as fresh doubts emerged on whether the Federal Reserve has finished with rate hikes, with Wall Street shares struggling to gain much traction amid a rise in bond yields.
  • Wall Street’s Monday malaise came after it notched its best week of 2023 amid dovish Fed bets, oversold technical levels and positioning.
  • Brent crude was trading at $85 a barrel and the yield on the 10-year US bond was trading at 4.63%.


Important news updates from the domestic front

  • Cipla approved the transfer of the generics business to the unit Cipla Pharma and Life Sciences. The generics business will be transferred for a consideration of Rs 350 crore. The sale will be completed by Dec. 31, 2023.
  • Bajaj Finance QIP opened on Nov. 6, 2023, with a floor price set at Rs 7,533.81 per equity share. The floor price is at a discount of 0.37% to the stock’s closing price of Rs 7,562.05 on Monday.
  • K.P.R. Mill approved an investment of Rs 250 crore for the expansion of fabric processing capacity. Fabric processing capacity is set to increase from 25,000 MT to 37,000 MT per year. It also approved an investment of Rs 100 crore to increase solar power generation capacity to 37 MW.
  • Quess Corp approved buying a 4.5% stake in Vedang Cellular Services from the promoter for Rs 6.05 crore, increasing its total stake to 96.97%. The board also approved the acquisition of an additional 46.09% stake in unit Stellarslog Technovation for Rs 6.8 crore, increasing its total stake to 100%.
  • Central Bank of India: Ministry of Finance extended MV Rao’s term as MD and CEO till July 31, 2025, from the current notified term ending on Nov. 29, 2024.


Nifty Overview & Outlook

The benchmark Nifty index extended gains for the third consecutive trading sessions and settled above 19400 levels after adding 181 points to its previous closing values.

Small cap index outperformed the benchmark as it was up nearly 1.5% while Midcap index settled on a positive note, up 0.61%.

All the sectoral indices, barring Nifty PSU Bank & Consumer Durables index, tracked at NSE settled red. Amongst them, Healthcare, Metal, Oil & Gas and Pharma indices settled higher in range 1.28% to 1.36%.

Technically, Nifty index is trading tad below the resistance levels of upward sloping trendline i.e. 19425 levels. Going ahead, crossover and sustenance above 19425 levels will be positive development that might take it higher towards 19600-19650 levels in immediate short term.


Derivatives Overview & Outlook

Yesterday, short covering was seen in Nifty futures with decrease in open interest by 1.1%, whereas long buildup was seen in Banknifty and Finnifty futures with increase in open interest by 2.8% and 3.9% respectively.

All F&O sectors settled higher. amongst them, Cement, Oil & Gas and FMCG stocks witnessed maximum addition of long positions whereas short covering was seen in Finance and Power stocks.

On options front, put writing was seen at multiple strikes and maximum positions are at 19300 PE and 19500 CE.


Institutional Trading Activity

Yesterday, FIIs sold stocks worth Rs 549 Cr in the cash segment, bought stocks futures and index futures worth Rs 693 Cr and Rs 1258 Cr respectively. DIIs were net buyer in the cash segment to the tune of Rs 596 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 19540-19610; Supports 19350-19270

Banknifty – Resistances 44100-44350; Supports 43350-43070

Finnifty – Resistances 19710-19810; Supports 19450-19340






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