Daily Market Update- Equity 12 Jan 2023 | Globe Capital Market LTD.
Daily Market Update- Equity 12 Jan 2023

Nifty index ended flat after a lackluster trading session where the benchmark index remained in narrow range post the initial one hour of trading, finally closed shop at 17895 levels, down 18 points.

Overview and Outlook

Global Market Update

  • US equity markets were up in range 0.8 to 1.75%
  • European equity markets were up in range 0.4 to 1.75%
  • Majority of Asian equity markets are trading in green
  • SGX Nifty is up 56 points (as on 8:12 AM)


News highlights from across the globe

  • Asian equities follow Wall Street higher on Thursday as expectation for a further softening of US inflation buoy appetite for risk taking in global markets.
  • The S&P 500 climbed for a second straight session and Nasdaq 100 gained in the run-up to inflation data that may slower the pace of Federal Reserve’s interest rate hikes.
  • Oil rose as China’s crude consumption continues to increase.


Important news updates from the domestic front

  • Tata Motors: Electric Vehicle contribution in the company’s portfolio is likely to increase to 25% in five years and reach 50% by 2030, said Group Chairman Chandrasekaran at the Auto expo, PTI reported.
  • Hindustan Unilever: The company has completed acquisition of 51% stake in Zywie Ventures for Rs 264.28 crore.
  • DB Realty: The company’s wholly owned subsidiary Goregaon Hotel and Realty has executed a settlement agreement with Reliance Commercial Finance for loans given by the lender in the past. DB Realty and Goregaon Hotel will now pay Rs 185.6 crore and Rs 214.4 crore respectively to the lender latest by March 31, 2025 as full and final settlement.
  • RailTel: The company has received aggregate work orders worth Rs 292.74 crore.
  • Route Mobile: The communication platform as a service provider has signed an exclusive SMS firewall solution and connectivity service agreement with a leading mobile network operator (MNO) in Sri Lanka.
  • Central Bank of India: The public sector lender has entered into a strategic co-lending partnership with Mamta Projects to offer MSME loans to borrowers at competitive rates. The co-lending arrangement will result in greater expansion of portfolio by Central Bank of India and Mamta Projects.
  • IIFL Wealth Management: The company will consider declaration of fourth interim dividend, if any, for FY23 as well as sub-division of equity shares. The board members will also consider issue of fully paid-up bonus equity share(s) to the shareholders of the company.

Nifty Outlook

Nifty index ended flat after a lackluster trading session where the benchmark index remained in narrow range post the initial one hour of trading, finally closed shop at 17895 levels, down 18 points.

Broader market performance was also indecisive as Mid & Small cap index were little changed, leading to flat market breadth.

Sector performance was mix, Banking & Finance, Metal index gained maximum while FMCG, Health Care index were at the bottom of the tally.

Nifty index is trading in range 17700-18000 levels, an either side break is needed for next directional move.


Derivatives Overview & Outlook

Yesterday, both Nifty & Banknifty futures remained almost unchanged on price as well as on open interest front.

On the sectoral front, long buildup was seen among Telecom and Metal stocks whereas some short buildup was seen among Textile and Pharma stocks.

On options front, call writing was seen at multiple strikes along with put writing at 17800 strikes and maximum positions are at 17800 PE and 18000 CE.


FII & DII Trading Activity

Yesterday, FIIs sold stocks worth Rs 3208 Cr in the cash segment, sold stocks futures worth Rs 193 Cr and also sold index futures worth Rs 102 Cr. DIIs were net buyers in the cash segment to the tune of Rs 2431 Cr.


Nifty Futures & Bank Nifty Futures Key Levels

Nifty Futures – Resistances 18065-18150; Supports 17890-17800

Banknifty Futures – Resistances 42500-42800; Supports 42150-41850


Globe Capital Market Limited (“GCML”) is a Stock Broker registered with BSE, NSE, USE and MSEI in all the major segments viz. Capital, F & O and CDS segments. GCML is also a Depository Participant and registered with both the Depositories viz. CDSL and NSDL. Further, GCML is a SEBI registered Portfolio Manager. GCML includes subsidiaries, group and associate companies, promoters, directors, employees and affiliates.

Globe Commodities Limited, Globe Derivatives and Securities Limited & Globe Fincap Limited are subsidiaries of GCML. Rolex Finvest Private Limited, A to Z Consultants Private Limited, A to Z Venture Capital Limited, M. Agarwal Stock Brokers Private Limited, A M Share Brokers Private Limited, Shri Adinath Advertising Company Pvt. Ltd., Orient Landbase Private Limited, Bolt Synthetic Private Limited, Price ponder Private Limited and Lakshya Impex Private Limited  are associates of GCML. Globe Comex International DMCC is step down subsidiary of GCML.

This report has been prepared by GCML and published in accordance with the provisions of Regulation 19 of the Securities and Exchange Board of India (Research Analysts) Regulations, 2014, for use by the recipient as information only and is not for general circulation or public distribution. This report is not to be altered, transmitted, reproduced, copied, redistributed, uploaded, published or made available to others, in any form, in whole or in part, for any purpose without prior written permission from GCML. The projections and the forecasts described in this report are based on estimates and assumptions and are inherently subject to significant uncertainties and contingencies. Projections and forecasts are necessarily speculative in nature, and it can be expected that one or more of the estimates on which the projections are forecasts were based may not materialize or may vary significantly from actual results and such variations will likely increase over the period of time. This report should not be construed as an offer to sell or the solicitation of an offer to buy, purchase or subscribe to any securities, and neither this report nor anything contained therein shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. It does not constitute a personal recommendation or take into account the particular investment objective, financial situation or needs of any individual in particular. The research analysts of GCML have adhered to the code of conduct under Regulation 24 (2) of the Securities and Exchange Board of India (Research Analysts) Regulations, 2014. The recipients of this report must make their own investment decisions, based on their own investment objectives, financial situation or needs and other factors. The recipients should consider and independently evaluate whether it is suitable for its/ his/ her/their particular circumstances and if necessary, seek professional / financial advice as there is substantial risk of loss. GCML does not take any responsibility thereof.

Any such recipient shall be responsible for conducting his/her/its/their own investigation and analysis of the information contained or referred to in this report and of evaluating the merits and risks involved in securities forming the subject matter of this report. The price and value of the investment referred to in this report and income from them may go up as well as down, and investors may realize profit/loss on their investments. Past performance is not a guide for future performance. Actual results may differ materially from those set forth in the projection.

This report has been prepared by GCML based on the information available in the public domain and other public sources believed to be reliable. Though utmost care has been taken to ensure its accuracy and completeness, no representation or warranty, express or implied is made by GCML that such information is accurate or complete and/or is independently verified. The contents of this report represent the assumptions and projections of GCML and GCML does not guarantee the accuracy or reliability of any projection, assurances or advice made herein. Nothing in this report constitutes investment, legal, accounting and/or tax advice or a representation that any investment or strategy is suitable or appropriate to recipients’ specific circumstances.

Since GCML or its associates are engaged in various financial activities, they might have financial interest or beneficial ownership in various companies including subject company/companies mentioned in the report. GCML or its associates have not received any compensation for investment banking or merchant banking from the subject company in the past 12 months.  GCML or its associates might have received any compensation including brokerage services and for products or services other than investment banking or merchant banking from the subject company in the past 12 months. It is confirmed that GCML or research analyst or its associates have not managed or co-managed public offering of securities for the subject company in the past 12 months.

Research analyst or GCML or its relatives’/associates’ have no material conflict of interest at the time of publication of this report. Neither research analyst nor GCML are engaged in market making activity for the subject company. It is confirmed that research analysts do not serve as an officer, director or employee of the subject company. It is also confirmed that research analyst have not received any compensation from the subject company in the past 12 months.

No material disciplinary action has been taken on GCML by any regulatory authority impacting Equity Research Analysis activities.

The views contained in this document are those of the analyst, and the company may or may not subscribe to all the views expressed within. This information is subject to change, as per applicable law, without any prior notice. GCML reserves the right to make modifications and alternations to this statement, as may be required, from time to time.

Research analyst or GCML or its relatives’/associates’ do not have actual/beneficial ownership of 1% or more in securities of the subject company, at the end of the month immediately preceding the date of publication of the document.