Oil extends three weekly drops with focus on demand outlook - Daily Market Update - Equity 13 Nov 2023 | Globe Capital Market LTD.
Oil extends three weekly drops with focus on demand outlook – Daily Market Update – Equity 13 Nov 2023

Oil extended three weeks of declines as traders wait for industry reports to confirm whether the recent run lower has been overdone. Brent crude dropped below $81 a barrel, after losing about 12% over the past three weeks on growing concerns over global demand and the unwinding of the Israel-Hamas war’s risk premium. West Texas Intermediate traded near $77. OPEC will publish its monthly oil market report on Monday.

Overview and Outlook

Global Stock Market Today

  • US equity markets ended on positive note, up in range 1.15% to 2.05%
  • European markets ended on negative note.
  • Asian equity markets are trading mix.
  • GIFT Nifty is little changed, Nifty futures likely to open around 19535 levels (as on 8:30AM).


News highlights from across the globe

  • Asian markets were mixed following Friday’s tech-driven rally on Wall Street, as investors look ahead to crucial U.S. inflation data due Tuesday.
  • The moves followed a Friday surge for the tech-heavy Nasdaq 100, which rose 2.3%, helped along by a record high for Microsoft Corp. The S&P 500 rose 1.6%.
  • Brent crude was trading at $81 a barrel and the yield on the 10-year US bond was trading at 4.65%.


Important news updates from the domestic front

  • Coal India approved an interim dividend of Rs 15.25 per share.
  • Dr Reddy’s Laboratories acquired a 26% stake in a SPV called O2 Renewable Energy for Rs 24 crore for accessing renewable power through the Inter-State Transmission System under a captive structure. O2 Renewable Energy generates electricity using other non-conventional sources.
  • ONGC approved an additional investment of Rs 3,501 crore in JV ONGC Petro Additions.


Nifty Overview & Outlook

The benchmark Nifty index ended higher above 19500 levels, up 100 points to its previous closing values on Muhurat trading session.

The broader markets performed in line with the benchmark as  Small cap & Mid cap index rose over 0.5% each.

All the sectoral indices settled higher. Amongst them, Nifty IT, Media, Metal and Realty indices, gained over 0.5% each.

Technically, Nifty index is well placed on multiple time frame. Going ahead, we reiterate our short term bullish view with cautious stance on Nifty index till it is trading above19300 levels on a closing basis.


Derivatives Overview & Outlook

On Muhurat trading day, long buildup was seen in Nifty and Finnifty futures with increase in open interest by 1.6% and 0.9% respectively whereas short covering was seen in Banknifty future with decrease in open interest just by 0.2%.

On sectoral front, long buildup was seen in Oil & Gas and Realty stocks whereas short covering was seen in Chemical and Technology stocks.

On options front, put writing was seen at multiple strikes and maximum positions are at 19400 PE and 19500 CE.


Institutional Trading Activity

Last week, FIIs sold stocks worth Rs 3295 Cr in the cash segment, sold stocks futures worth Rs. 373 Cr and bought index futures worth Rs. 703 Cr. DIIs were net buyer in the cash segment to the tune of Rs 4251 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 19650-19750; Supports 19380-19250

Banknifty – Resistances 44300-44550; Supports 43585-43300

Finnifty – Resistances 19810-19950; Supports 19500-19380




Key Results Today –GRASIM, MANAPPURAM.


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