India's economy surpassed the $4 trillion-mark in nominal terms for the first time ever - Daily Market Update - Equity 20 Nov 2023 | Globe Capital Market LTD.
India’s economy surpassed the $4 trillion-mark in nominal terms for the first time ever – Daily Market Update – Equity 20 Nov 2023

India's economy achieved a historic milestone on Sunday when its Gross Domestic Product (GDP) crossed the $4 trillion-mark in nominal terms for the first time ever.

Overview and Outlook

Global Stock Market Today

  • US equity markets ended on flat to positive note.
  • European markets were up n range 0.83% to 1.24%.
  • Asian equity markets are trading mixed.
  • GIFT Nifty is little changed & Nifty futures likely to open around 19810 levels (as on 8:30AM).


News highlights from across the globe

  • Asian stocks opened mixed after a $2.7 trillion rally in U.S. shares fueled by bets the Federal Reserve will end its hiking cycle fizzled out.
  • The S&P 500 inched above 4,500 on Friday to notch its third straight week of gains — the longest run since July.
  • Brent crude was trading at $80 a barrel and the yield on the 10-year US bond was trading at 4.44%.


Important news updates from the domestic front

  • Larsen & Toubro: Qatar’s General Tax Authority has imposed a penalty of Rs 111.31 crore for 2016–2017 and Rs 127.64 crore for 2017–2018. An appeal has been filed against the levy of this penalty, as the company believes it is arbitrary and unjustified.
  • RITES emerged as the lowest bidder in two tenders from CFM Mozambique. Out of the two tenders, one is for the supply of 10 diesel electric locomotives with incidental service of Rs 3.7 crore, and the other is for the supply of 300 high-side wagons.
  • Bajaj Finance stopped sanctioning and disbursing loans under its two lending products, namely, ‘eCOM’ and ‘Insta EMI Card’, until the deficiencies observed by the RBI were rectified to their satisfaction.
  • Sterling And Wilson: Disputes between Sterling and Wilson International FZE, Dubai and Jinko Solar have been amicably settled.
  • Dalmia Bharat Sugar informed that there is disruption of operations at Kolhapur and Ninaidevi units in Maharashtra due to farmers’ agitation. Consequentially, there could be a material impact. The company said it is taking all possible steps to restore normalcy.
  • SBI Cards and Payment Services: The capital adequacy is expected to decline by 400 basis points on account of the RBI’s revised credit risk weights. The bank is well capitalised as of now and well above the regulatory guideline of 15%. It has enough sources and a diversified lender base to manage its impact, and it doesn’t foresee a significant impact on the cost of funds during this fiscal
  • Aurobindo Pharma: A USFDA inspection at its facility in Telangana from Nov. 13 to 17 closed with zero observations and a classification of ‘No Action Indicated’.
  • Exide Industries settled the chloride trademark dispute with the UK’s Vertiv Group and India’s Vertiv Energy. VCGL and VEPL shall not use the said ‘CHLORIDE’ mark in India, either directly or indirectly, and shall withdraw all their claims over this mark in favour of Exide.
  • Kalyan Jewellers Unit Kalyan Jewellers FZE acquired the remaining 30% stake in Kalyan Jewellers LLC, Oman, on Nov. 16. Kalyan Jewellers LLC, Oman, has become a wholly owned subsidiary of Kalyan Jewellers FZE.


Nifty Overview & Outlook

Nifty index settled on flat to negative note after a lackluster trading session, closed shop at 19732 levels, down 33 points.

Broader markets outperformed the benchmark as Mid & Small cap index ended on a positive note against negative closing of frontline index, leading to flat market breadth.

Performance on the sectoral front was mix. Amongst them, Nifty PSU Bank index lost maximum, down over 2% followed by Nifty Bank & Oil and Gas index that were down over 1% each. On the other hand, Nifty FMCG, Healthcare and Pharma Indices witnessed some buying interest up 1% each.

Technically, Nifty index is consolidating around an important resistance of 19850 levels. On the down side, support is placed around 19500 levels. Crossover and sustenance above 19850 levels might take it towards 20000 level in immediate near term.


Derivatives Overview & Outlook

Last Friday, long unwinding was seen in Nifty and Finnifty futures with decrease in open interest by 1.6% and 4.9% respectively whereas short buildup was seen in Banknifty futures with increase in open interest by 10.3%.

On sectoral front, long buildup was seen in Automobile and Pharma stocks whereas short buildup was seen in Banking and Finance stocks. Short covering was seen in Cement and Capital Goods stocks.

On options front, call writing was seen at multiple strikes and maximum positions are at 19700 PE and 19900 CE.


Institutional Trading Activity

Last week, FIIs sold stocks worth Rs 215 Cr in the cash segment, bought stocks futures and index futures worth Rs. 10457 Cr and Rs. 1899 Cr respectively. DIIs were net buyer in the cash segment to the tune of Rs 1580 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 19900-19960; Supports 19630-19540

Banknifty – Resistances 44300-44550; Supports 43350-43100

Finnifty – Resistances 19800-19910; Supports 19520-19430




Globe Capital Market Limited (“GCML”) is a Stock Broker registered with BSE, NSE, MCX, NCDEX, ICEX and MSEI in all the major segments viz. Capital, F & O and CDS segments. GCML is also a Depository Participant and registered with both the Depositories viz. CDSL and NSDL. Further, GCML is a SEBI registered Portfolio Manager and Research Analyst. GCML includes subsidiaries, group and associate companies, promoters, directors, employees and affiliates.

Globe Commodities Limited, Globe Derivatives and Securities Limited & Globe Fincap Limited are subsidiaries of GCML. Rolex Finvest Private Limited, A to Z Consultants Private Limited, A to Z Venture Capital Limited, M. Agarwal Stock Brokers Private Limited, A M Share Brokers Private Limited, Shri Adinath Advertising Company Pvt. Ltd., Orient Landbase Private Limited, Bolt Synthetic Private Limited, Price ponder Private Limited and Lakshya Impex Private Limited  are associates of GCML.

This report has been prepared by GCML and published in accordance with the provisions of Regulation 19 of the Securities and Exchange Board of India (Research Analysts) Regulations, 2014, for use by the recipient as information only and is not for general circulation or public distribution. This report is not to be altered, transmitted, reproduced, copied, redistributed, uploaded, published or made available to others, in any form, in whole or in part, for any purpose without prior written permission from GCML. The projections and the forecasts described in this report are based on estimates and assumptions and are inherently subject to significant uncertainties and contingencies. Projections and forecasts are necessarily speculative in nature, and it can be expected that one or more of the estimates on which the projections are forecasts were based may not materialize or may vary significantly from actual results and such variations will likely increase over the period of time. This report should not be construed as an offer to sell or the solicitation of an offer to buy, purchase or subscribe to any securities, and neither this report nor anything contained therein shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. It does not constitute a personal recommendation or take into account the particular investment objective, financial situation or needs of any individual in particular. The research analysts of GCML have adhered to the code of conduct under Regulation 24 (2) of the Securities and Exchange Board of India (Research Analysts) Regulations, 2014. The recipients of this report must make their own investment decisions, based on their own investment objectives, financial situation or needs and other factors. The recipients should consider and independently evaluate whether it is suitable for its/ his/ her/their particular circumstances and if necessary, seek professional / financial advice as there is substantial risk of loss. GCML does not take any responsibility thereof.

Any such recipient shall be responsible for conducting his/her/its/their own investigation and analysis of the information contained or referred to in this report and of evaluating the merits and risks involved in securities forming the subject matter of this report. The price and value of the investment referred to in this report and income from them may go up as well as down, and investors may realize profit/loss on their investments. Past performance is not a guide for future performance. Actual results may differ materially from those set forth in the projection.

This report has been prepared by GCML based on the information available in the public domain and other public sources believed to be reliable. Though utmost care has been taken to ensure its accuracy and completeness, no representation or warranty, express or implied is made by GCML that such information is accurate or complete and/or is independently verified. The contents of this report represent the assumptions and projections of GCML and GCML does not guarantee the accuracy or reliability of any projection, assurances or advice made herein. Nothing in this report constitutes investment, legal, accounting and/or tax advice or a representation that any investment or strategy is suitable or appropriate to recipients’ specific circumstances.

Since GCML or its associates are engaged in various financial activities, they might have financial interest or beneficial ownership in various companies including subject company/companies mentioned in the report. GCML or its associates have not received any compensation for investment banking or merchant banking from the subject company in the past 12 months.  GCML or its associates might have received any compensation including brokerage services and for products or services other than investment banking or merchant banking from the subject company in the past 12 months. It is confirmed that GCML or research analyst or its associates have not managed or co-managed public offering of securities for the subject company in the past 12 months.

Research analyst or GCML or its relatives’/associates’ have no material conflict of interest at the time of publication of this report. Neither research analyst nor GCML are engaged in market making activity for the subject company. It is confirmed that research analysts do not serve as an officer, director or employee of the subject company. It is also confirmed that research analyst have not received any compensation from the subject company in the past 12 months. GCML or its associates have not received any compensation or other benefits from the Subject Company or third party in connection with the research report.

No material disciplinary action has been taken on GCML by any regulatory authority impacting Equity Research Analysis activities.

The views contained in this document are those of the analyst, and the company may or may not subscribe to all the views expressed within. This information is subject to change, as per applicable law, without any prior notice. GCML reserves the right to make modifications and alternations to this statement, as may be required, from time to time.

Research analyst or GCML or its relatives’/associates’ do not have actual/beneficial ownership of 1% or more in securities of the subject company, at the end of the month immediately preceding the date of publication of the document.

Registration granted by SEBI, membership of BASL (in case of IAs) and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.