Daily Market Update- Equity 15 Feb 2023 | Globe Capital Market LTD.
Daily Market Update- Equity 15 Feb 2023

Benchmark Nifty index opened with a gap on the higher side, kept the bullish momentum rolling till the end and settled above 17900 levels after adding over 150 points to its previous closing values.

Overview and Outlook

Global Market Update

  • US equity markets ended mix, Dow Jones down 0.46% while Nasdaq gained 0.57%
  • European equity markets ended on flattish note.
  • Majority of Asian markets trading in red.
  • SGX Nifty down 50 point (as on 8:15 AM)


News highlights from across the globe

  • Asian markets are primed for a cautious open after a choppy day on Wall Street ended flat as investors balanced hot inflation data with Federal Reserve commentary suggesting US interest rates may soon peak.
  • The yield on 10-year Treasuries advanced to 3.74%. Crude prices were trading around $85-mark.


Important news updates from the domestic front

  • LT Foods: The Competition Commission of India approved acquisition of certain equity share capital of LT Foods Limited by Riyadh-based SALIC International Investment Corporation.
  • Reliance Industries: The Ahmedabad bench of NCLT approved the resolution plan jointly submitted by Reliance Industries and Assets Care & Reconstruction Enterprise for Sintex Industries.
  • Adani Enterprises: The company repaid commercial paper worth Rs 15 crore, due on Feb. 14, in full.
  • Vodafone Idea: The company appointed Murthy GVAS as interim chief financial officer, effective Feb. 15.
  • Biocon: The company has entered into an agreement with Kotak Strategic Situations Fund for a structured funding up to Rs 1,200 crore.


Nifty Outlook

Benchmark Nifty index opened with a gap on the higher side, kept the bullish momentum rolling till the end and settled above 17900 levels after adding over 150 points to its previous closing values.

Broader markets underperformed the benchmark as Mid cap index settled on flat note while Small cap index was down 0.40% leading to weak market breadth.

Majority of sectoral indices, tracked at NSE, settled higher. PSU Bank, Metal and FMCG index were up over 1% each. On the other hand, Nifty Realty was the worst performer, fell nearly 2%.

Technically, Nifty index has posted a bullish breakout from the congestion zone of 17600-17900 levels. Going ahead, we expect it to move northward and it might test 18100 and higher levels in near term.


Derivatives Overview & Outlook

Yesterday, both Nifty & Banknifty futures shed around 8% & 7.5% of open interest respectively as short covering.

On the sectoral front, short covering was seen among Banking and Metal stocks whereas some short buildup was seen among Auto and Realty stocks.

On options front, put writing was seen at multiple strikes along along with call buying (unwinding by writers) at multiple strikes and maximum positions at 17800 PE and 18200 CE.


FII & DII Trading Activity

Yesterday, FIIs bought stocks worth Rs 1305 Cr in the cash segment, bought stocks futures worth Rs 1994 Cr and also bought index futures worth Rs 3774 Cr. DIIs too were net buyers in the cash segment to the tune of Rs 205 Cr.


Nifty Futures & Bank Nifty Futures Key Levels

Nifty Futures – Resistances 18025-18100; Supports 17850-17780

Banknifty Futures – Resistances 41950-42250; Supports 41400-41200


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