Mazagon Dock Shipbuilders has signed a contract worth Rs 1600 crore: Daily Market Update Equity 21 Dec 2023 | Globe Capital Market LTD.
Mazagon Dock Shipbuilders has signed a contract worth Rs 1600 crore: Daily Market Update Equity 21 Dec 2023

The company signed a contract worth Rs 1,615 crore with the Ministry of Defence for the construction and delivery of six next-generation offshore patrol vessels for the Indian Coast Guard.

Overview and Outlook

Global Stock Market Today

  • US equity markets ended settled lower by 1%
  • Barring Dax, other European equity markets settled on a positive note.
  • Majority of Asian equity markets are trading in red
  • GIFT Nifty is up by 82 points, Nifty futures are likely to open around 21134 levels (as on 8:30AM)


News highlights from across the globe

  • Asia markets trading lower as tracking overnight losses in the U.S. share indices as investors await from GDP and Personal Consumption Expenditure data from the U.S.
  • Brent crude was trading 0.59% higher at $79.70 a barrel.

Important news updates from the domestic front

  • Mazagon Dock Shipbuilders signed a contract worth Rs 1,615 crore with the Ministry of Defence for the construction and delivery of six next-generation offshore patrol vessels for the Indian Coast Guard.
  • Cochin Shipyard received an order worth Rs 488.25 crore from the Defense Ministry to repair and maintain equipment and systems onboard the naval vessel.
  • Zee Entertainment: Culver Max and Bangla Entertainment have agreed to discuss the extension of the merger date. The deadline for the completion of the merger was set for Dec. 21.
  • BSE received approval from the Securities Exchange Board of India for appointing Pramod Agrawal as chairman effective from Jan. 17, 2024.
  • UltraTech Cement will buy a stake in renewable energy company Clean Max Terra for Rs 20.25 crore.
  • ICICI Bank received the Reserve Bank of India’s nod for the re-appointment of Sandeep Batra as executive director.
  • Sonata Software signed a contract with AMMEGA Group, a global leader in conveyor belts and power transmission with manufacturing sites and customer solution centers around the world.
  • REC unit incorporated a wholly owned subsidiary, Kankani Power Transmission.


Nifty Overview & Outlook

Benchmark Nifty index ended sharply lower at 21150, down over 300 points from its previous closing values after recording a new all-time high i.e. 21593 levels.

Broader markets underperformed the frontline index as Small-cap and Midcap indices tumbled over 3% each. The market breadth was heavily inclined towards the declining side; resultant, poor market breadth.

All the sectoral indices tracked at NSE settled in red. Amongst them, Nifty Media and PSU Bank index lost maximum, down over 5% and 4% respectively followed by Nifty Auto, Realty and Metal indices that were down in range 2% to 4%.

Technically, Nifty index has given a fresh breakdown from its important support levels i.e. 21200 levels ( as mentioned in the previous post) and decisively closed below the same. Going ahead, we expect it to test 20800 levels in the immediate near term.


Derivatives Overview & Outlook

Yesterday, long unwinding was seen in Nifty and Finnifty futures with decrease open interest by 3.3% and 9.7% respectively, whereas short buildup was seen in Banknifty futures with increase in open interest by 1.1%.

On the sectoral front, majority of sector showing long unwinding lead by Infrastructure, media, Realty and Capital Goods stocks. Short buildup was seen in Cement stocks.

On options front, call writing was seen at multiple strikes and maximum positions are at 21000 PE and 21500 CE.


Institutional Trading Activity

Yesterday, FIIs sold stocks worth Rs 1322 Cr in the cash segment, bought stocks and index futures worth Rs. 6509 Cr and  Rs.1639 Cr respectively. DIIs were net buyers in the cash segment to the tune of Rs 4754 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 21410-21610; Supports 20970-20800

Banknifty – Resistances 47800-48150; Supports 47030-46540

Finnifty – Resistances 21370-21560; Supports 20960-20610




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