Daily Market Update- Equity 14 Aug 2023 | Globe Capital Market LTD.
Daily Market Update- Equity 14 Aug 2023

The benchmark Nifty index extended losses for the second consecutive session but managed to settled above 19400 levels after falling over 100 points from its previous closing values.

Overview and Outlook

Global Market Update

  • Barring Dow Jones, other US equity markets settled on flat to negative note
  • European equity markets ended lower in range of 1.04% o 1.27%
  • Asian equity markets are trading on a negative note
  • GIFT Nifty is down by 52 points (as on 8:40AM)


News highlights from across the globe

  • Asian markets are trading lower on Monday after shares on Wall Street capped off a poor week on a down note and as China’s worsening property slump damps market sentiment.
  • Friday’s U.S. trading session saw a slide in tech mega-caps and mixed economic data leave stocks weak and struggling for direction. In choppy trading, the S&P 500 closed at a one-month low with a drop of just 0.1%.
  • Brent crude was trading below $87 a barrel and the yield on the 10-year U.S. bond was trading at 4.15%


Important news updates from the domestic front

  • Muthoot Finance will seek shareholders’ approval to raise borrowing limit to Rs 1 lakh crore. The board has approved infusion of Rs 400 crore in its unit Muthoot Money and acquisition of 2.05% stake in Belstar Microfinance from existing promoters for Rs 43 crore.
  • Sterling and Wilson Renewable Energy bagged a Rs 1,130 crore order from Gujarat Industries Power for its proposed 600 MWac solar project at Khavda. The project comprises two blocks of 300 MWac with a three-year operation and maintenance contract.
  • Reliance Industries: Jio Platforms’ arm Radisys completed the acquisition of wireless broadband solutions firm Mimosa from U.S.-based Airspan Networks Holdings. In March, the company had agreed to buy Mimosa for $60 million or about Rs 491 crore on a debt- and cash-free basis.
  • NBCC received work orders worth Rs 279.31 crore for four different projects.
  • NLC India emerged as successful bidder for North Dhadu coal mine in Jharkhand. The mine has a coal reserve of 434.65 MT with peak rated capacity of 3 MTPA.
  • DCB Bank will acquire 9.9% stake in micro-lender Saksham Gram Credit for Rs 3.99 crore.


Nifty Overview & Outlook

The benchmark Nifty index extended losses for the second consecutive session but managed to settled above 19400 levels after falling over 100 points from its previous closing values.

Broader markets performed inline with the benchmark as Midcap & Small cap index ended lower, down 0.43% and 0.18% respectively; resultant, poor market breadth.

All the sectoral indices barring PSU Bank and Consumer Durables tracked at NSE settled in red. Amongst them, Nifty Media and Pharma index was the worst performer, down 1.83% and 1.45% respectively followed by Financial Services, FMCG and Pvt Bank that were down over 1% each.

Technically, Nifty ended on a weak note. Going ahead, close and sustenance below 19300 will open the doors for 19000-18800 levels in immediate near term.


Derivatives Overview & Outlook

Last Friday, short buuildup was seen in Nifty futures, Banknifty Future and Finnifty futures with increase in open interest by 0.3%, 6.8% and 15.2% respectively.

Majority of F&O sectors settled lower. Amongst them, Automobile, Infrastructure and Oil & Gas stocks witnessed maximum addition of long buildup. Whereas some long unwinding was seen among Chemical, FMCG, Finance and Media stocks.

On options front, call writing was seen at multiple strikes and maximum positions are at 19400 PE and 19600 CE.


Institutional Trading Activity

Last week, FIIs bought stocks worth Rs 2167 Cr in the cash segment, sold stocks futures and index futures worth Rs. 7315 Cr and Rs 525 Cr respectively. DIIs were net buyer in the cash segment to the tune of Rs 2224 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 19590-19665; Supports 19390-19335

Banknifty – Resistances 44780-45015; Supports 44210-43970

Finnifty – Resistances 19940-19990; Supports 19745-19640






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