Daily Market Update- Equity 1 Feb 2023 | Globe Capital Market LTD.
Daily Market Update- Equity 1 Feb 2023

Nifty index ended flat for yet another trading session, ahead of Union Budget which will be announced by Finance Minister on 1st February, closed shop at 17662 levels, down 13 points from its previous closing levels.

Overview and Outlook

Global Market Update

  • US equity markets were up in range 1.09 to 1.67%
  • European equity markets ended on a flattish note
  • Majority of Asian equity markets are trading in green
  • SGX Nifty is up by 90 points


News highlights from across the globe

  • Major US stock indexes closed over 1 percent higher on Tuesday as labour cost data encouraged investors about the Federal Reserve’s aggressive approach to taming inflation a day ahead of the central bank’s critical policy decision.

Important news updates from the domestic front

  • India’s eight core industrial sectors grew by 7.4 percent in December 2022, as against a growth of 3.8 percent recorded in the year-ago period, as per the provisional data released by the Ministry of Commerce & Industry on January 31. The core sector growth is also higher as compared to the previous month, November 2022, when it stood at 5.4 percent.
  • The government’s fiscal deficit widened to Rs 9.93 lakh crore in the April-December period, accounting for 59.8 percent of the full-year target for 2022-23, data released on January 31 by the Controller General of Accounts showed. The fiscal deficit in the first nine months of the last financial year was 50.4 percent of last year’s target.
  • The government collected Rs 1.56 lakh crore as Goods and Services Tax (GST) in January, the finance ministry said on January 31.
  • State-run miner Coal India on January 31 reported a consolidated net profit for the quarter ended December 2022 at Rs 7,755.55 crore, registering a 70.13 percent growth over Rs 4,558.39 crore a year ago.
  • KPIT Technologies: The IT services company has registered a 20.4% sequential growth in profit at Rs 100.5 crore with revenue rising.
  • Great Eastern Shipping: The company reported a 205% on-year growth in consolidated profit at Rs 627.2 crore for quarter ended December FY23 led by healthy topline and operating performance. Revenue from operations at Rs 1,421 crore increased by 51.4% compared to year-ago period.


Nifty Outlook

Nifty index ended flat for yet another trading session, ahead of Union Budget which will be announced by Finance Minister on 1st February, closed shop at 17662 levels, down 13 points from its previous closing levels.

Broader markets outperformed the benchmark as Mid & Small cap index gained 1.9% and 2.9% respectively, leading to extremely strong market breadth.

Majority of sector gauges tracked at NSE settled in green, PSU bank index outshined peers as it gained 4.2%, apart from this Media, Auto index also performed quite well, up by 2.3% and 1.8% respectively while IT, Oil & Gas, Pharma index lost maximum.

Market will be volatile on Wednesday and will react to budget announcements, this will pave way for next directional move.


Derivatives Overview & Outlook

Yesterday, both Nifty and Banknifty futures added around 1.5% of open interest each as long positions.

All F&O sectors settled higher. Amongst them, Oil & Gas, Infra and Capital Goods stocks witnessed maximum addition of long positions.

On options front, Nifty has maximum positions at 17000 PE and 18000 CE.


FII & DII Trading Activity

Yesterday, FIIs sold stocks worth Rs 5440 Cr in the cash segment, sold stocks futures worth Rs 248 Cr and also sold index futures worth Rs 1616 Cr. DIIs were net buyers in the cash segment to the tune of Rs 4506 Cr.


Nifty Futures & Bank Nifty Futures Key Levels

Nifty Futures – Resistances 17850-18000; Supports 17640-17500

Banknifty Futures – Resistances 41200-41600; Supports 41100-39700


Results on February 1

Britannia Industries, Ashok Leyland, Ajanta Pharma, Alembic Pharmaceuticals, Gillette India, IDFC, Jubilant FoodWorks, Kaya, Mahindra Logistics, Ramco Systems, Raymond, Redington, RPG Life Sciences, Sundram Fasteners, Tata Chemicals, Timken India, UTI Asset Management Company, Whirlpool of India, and Zuari Agro Chemicals will be in focus ahead of quarterly earnings on February 1.


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