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

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