Biden to visit Israel, Jordan in bid to keep war from escalating - Daily Market Update- Equity 17 Oct 2023 | Globe Capital Market LTD.
Biden to visit Israel, Jordan in bid to keep war from escalating – Daily Market Update- Equity 17 Oct 2023

President Joe Biden will travel to Israel on Wednesday, in a visit designed to signal US solidarity with its closest Middle East ally and help prevent the conflict from engulfing the region. “He’s coming here at a critical moment for Israel, for the region and for the world,” Secretary of State Antony Blinken said early Tuesday in Tel Aviv.

Overview and Outlook

Global Stock Market Today

  • US equity markets ended on positive note, up in range 0.93% to 1.20%
  • European markets too ended on a positive note.
  • Asian equity markets are also trading in green.
  • GIFT Nifty is little changed (as on 8:30AM), Nifty futures likely to open around 19800 levels.


News highlights from across the globe

  • Asian markets opened higher amid diplomatic efforts to prevent the Israel-Hamas war from expanding into a regional conflict.
  • The S&P 500 added 1.1% on Monday, with traders also gearing up for a raft of earnings reports.
  • Brent crude was trading at $90 a barrel and the yield on the 10-year US bond was trading at 4.71%.


Important news updates from the domestic front

  • Gujarat Mineral Development Corporation presented a Rs 269.44 crore dividend cheque to the Gujarat government, which holds 74% of the company.
  • Bombay Dyeing has received consideration of about Rs 4,675 crore towards Phase-I, located at Worli, Mumbai, after signing a conveyance deed with a subsidiary of Sumitomo Realty. The proceeds realised will be used for repaying loans, and the balance will be invested in approved securities for future developments.
  • NLC India incorporated a new wholly owned subsidiary, ‘NLC India Green Energy’ (NIGEL), which currently undertakes projects of 2 GW of renewable energy.
  • Data Patterns announced a licencing and transfer of technology (ToT) agreement with IN-SPACe, an autonomous agency in the Department of Space. This agreement will provide data patterns with miniature SAR radar capability.
  • JK Paper Board approved the acquisition of Manipal Utility Packaging Solutions Pvt. (MUPSPL), which is engaged in the business of manufacturing packaging products with a revenue of Rs 147.77 crore in FY23.
  • Varun Beverages board approved the acquisition of 5.03% of the paid-up capital of the manufacturing subsidiary for Rs 10 crore, Lunarmech Technologies. Post-acquisition, Varun Beverages will hold a 60.07% stake in the company. The transaction is complete with immediate effect. It also approved an investment of Rs 1.92 crore for a 9.80% stake in Isharays Energy Two, a special-purpose vehicle by Sunsource Energy to supply solar power in Uttar Pradesh.
  • KEC International bagged new orders worth Rs 1,315 crores in its transmission and cable business.
  • Coal India expects to exceed its demand projection of 610 MT of supply to the country’s power plant for FY24 after supplies to thermal power plants shot up by close to 6% to 23.5 million MT during the first fortnight of October 2023.
  • Lemon Tree Hotels signed an agreement for a 55-room property in Dehradun, Uttarakhand, under the brand “Keys Prime by Lemon Tree Hotels” and is expected to be operational by FY 2027.


Nifty Overview & Outlook

The benchmark Nifty index ended on a flat to negative note at 19731 levels, down 19 points from its previous closing values after a lackluster trading session.

The broader markets outperformed the benchmark as Midcap & Small cap index rose 0.19% and 0.37% respectively against negative closing of the frontline index.

Performance on the sectoral front was mix. Amongst them, Nifty Metal was at the top of the tally, gained nearly 1% followed by Consumer Durable & PSU Bank index that rose over 0.5% each. On the other hand, Healthcare and Pharma index led the declines, fell nearly 0.5% each.

Technically, Nifty index is trading sideways with positive bias in 19850-19400 range for past couple of sessions. Going ahead, we expect it to trade in the similar fashion till it is trading in the above mentioned range.


Derivatives Overview & Outlook

Yesterday, no major action was seen in Nifty and Banknifty futures on price as well as on open interest front whereas Finnifty futures added around 15.4% open interest with marginal gains in price.

On sectoral front, long buildup was seen in Chemicals, Oil & Gas and IT stocks while short buildup was seen in Pharma and Telecom stocks.

On options front, call writing was seen at multiple strikes along with put writing at 19700 strikes and maximum positions are at 19700 PE and 19800 CE.


Institutional Trading Activity

Yesterday, FIIs sold stocks worth Rs 594 Cr in the cash segment, sold stocks futures worth Rs 215 Cr and bought index future and Rs 28 Cr. DIIs were net buyer in the cash segment to the tune of Rs 1184 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 19860-19960; Supports 19670-19590

Banknifty – Resistances 44800-45050; Supports 44135-43850

Finnifty – Resistances 20020-20140; Supports 19730-19640






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