Daily Market Update- Equity 14 Oct 2022 | Globe Capital
14-Oct-2022
Daily Market Update- Equity 14 Oct 2022

Nifty index settled lower at 17014 levels after a cut of more than 100 points from its previous closing value after a highly volatile trading session.

Overview and Outlook

Global Market Update

  • US equity markets were up in range 2.23 to 2.8%
  • European equity markets were up by 0.35 to 1.5%
  • Asian equity markets are also trading in green
  • SGX Nifty is up 353 points (as on 8:31 AM)

 

News highlights from across the globe

  • Asian equities advanced in the wake of a shock rebound in US stocks that roared back from losses sparked by a hot inflation reading.
  • The S&P 500 index defied expectations to rally 2.6% after consumer price data cemented bets for the Federal Reserve to deliver another jumbo rate hike in November.
  • Oil headed for a weekly loss as signs of a global economic slowdown and tighter monetary policy threaten to sap energy consumption. The International Energy Agency earlier warned production cuts agreed by OPEC+ risked causing oil prices to spike and tipping the global economy into recession.

 

Important news updates from the domestic front

 

  • Infosys: The company announced a buyback programme worth Rs 9,300 crore where it will buy 5.03 crore shares at Rs 1,850 apiece, a premium of 30% over Thursday’s closing price.
  • National Highways Infra Trust: The InvIT is looking to raise additional Rs 3,800 crore, out of which Rs 1,500 crore will be raised via non-convertible debentures.
  • Mahanagar Telephone Nigam: Shareholders approved plans to raise Rs 17,571 crore through government-guaranteed debt bonds on private placement basis, and enhanced power of the board to borrow up to Rs 35,000 crore from banks and other financial institutions.
  • Tata Steel Long Products: The company subscribed 4.69 crore shares of its subsidiary Neelachal Ispat Nigam for Rs 300 crore, taking its shareholding to 95.81% from 95.65%. NINL will use the funds for meeting its capital and capex requirements.
  • Karnataka Bank: The board of the bank considered the request of Mahabaleshwara MS, managing director and CEO, not to offer himself for reappointment. He will continue in the office till the completion of his tenure on April 14, 2023.
  • HDFC Life Insurance Company: Insurance regulator Irdai approved the merger of Exide Life Insurance Company into HDFC Life Insurance Company.
  • Ceat: The has subscribed the entire paid-up capital of wholly owned subsidiary Taabi Mobility.

 

Nifty Outlook

 

Nifty index settled lower at 17014 levels after a cut of more than 100 points from its previous closing value after a highly volatile trading session.

Broader markets fell in line with benchmark leading to weak market breadth.

Majority of sectoral gauges, tracked at NSE, settled in red. PSU bank index was at the bottom of tally, down over 1.5% followed by Nifty Bank and Fin Service index that were down over 1% each.

Nifty index is trading just above its 200 EMA on daily charts which is placed at 16900 levels. Breakdown below the same might take it lower toward 16750 and lower levels in immediate near term.

 

Earnings Today – Bajaj Auto, Tata Elxsi, Shree Cement, Federal Bank

 

Derivatives Overview & Outlook

 

Nifty October futures ended at 17,008, a discount of 6.35 points. Nifty October futures added 2.83% and 7,523 shares in Open Interest.

Nifty Bank October futures ended at 38,770, a premium of 146 points. Nifty Bank October futures shed 8.03%, 6,543 shares in Open Interest.

 

Securities in the ban list: Indiabulls Housing Finance, Delta Corp

 

FII & DII Trading Activity

Yesterday, FIIs sold stocks worth Rs 1636 Cr in the cash segment, sold stocks futures worth Rs 1001 Cr and also sold index futures worth Rs 558 Cr. DIIs were net buyers in the cash segment to the tune of Rs 753 Cr.

 

 

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