JPMorgan is adding India to Its emerging-Markets Bond Index : Daily Market Update- Equity 22 Sep 2023 | Globe Capital Market LTD.
JPMorgan is adding India to Its emerging-Markets Bond Index : Daily Market Update- Equity 22 Sep 2023

JPMorgan Chase & Co. will add Indian government bonds to its benchmark emerging-market index, a keenly awaited event that could drive billions of foreign inflows to the nation’s debt market. The decision is the latest sign of India’s growing appeal to international investors as the country’s economic growth outstrips peers as its geopolitical influence grows.

Overview and Outlook

Global Stock Market Today

  • US equity markets ended on negative note, down in range 1.64% to 1.82%
  • European equity markets ended on negative note.
  • Asian equity markets are trading on a negative note
  • GIFT Nifty is up by 50 points (as on 8:30AM), Nifty futures likely to open around 19712 levels.


News highlights from across the globe

  • Equity markets in Asia are trading lower after U.S. stocks suffered the biggest drop in six months.
  • The S&P 500 fell 1.6% on Thursday, the most since March, and all major U.S. equity benchmarks broke below their key 100-day moving averages.
  • Brent Crude prices slipped below $93 a barrel and the yield on the 10-year U.S. bond was trading at 4.49%.


Important news updates from the domestic front

  • Infosys: Nigeria’s Guaranty Trust Bank has selected the IT major’s Finacle Digital Banking Suite for its multi-country digital transformation program.
  • ICICI Bank will buy a 9.99% stake in Quantum CorpHealth Private for Rs 4.99 crore by the end of October 2023, via cash consideration.
  • Wipro: Jatin Pravinchandra Dalal to resign as CFO with effect from Nov. 30. The board has approved the appointment of Aparna Iyer as CFO with effect from Sept. 22.
  • LIC has decreased its shareholding in OIL India from 11.73% to 9.69%. It has increased its shareholding in Gujarat Gas from 4.98% to 5.01%.
  • Vedanta has approved raising up to Rs 2,500 crore via NCDs in one or more tranches, on a private placement basis. It will issue up to 2.5 lakh NCDs with a face value of Rs 1 lakh each.
  • UltraTech Cement, India Cements: UltraTech Cement will buy 73.75 acres of land in Andhra Pradesh from India Cement for Rs 70 crore.
  • Glenmark Pharma will sell a 75% stake in Glenmark Life Sciences for Rs 5,652 crore to Nirma at Rs 615 per share. After the stake sale, the company will own 7.84% of Glenmark Life Sciences.
  • SJVN will exercise its greenshoe option of 2.46% stake or 9.66 crore shares for the offer-for-sale on Sept. 22, given the oversubscription in the issue. This is in addition to the base issue size of 9.66 crore shares, or 2.46% stake. Accordingly, the total offer size will be up to 19.33 crore equity shares, representing 4.92% of the total paid-up equity.
  • InterGlobe Aviation and British Airways announce new codeshare partnership.


Nifty Overview & Outlook

The benchmark Nifty index extended losses for the third consecutive trading session and settled at 19742 levels, down over 150 points from its previous closing values.

Small cap index underperformed the benchmark as it was down over 1% while Mid cap index performed in-line with the benchmark, down 0.80%; resultant, poor market breadth.

All the sectoral indices, barring Nifty Media, tracked at NSE settled in red. Amongst them, Nifty PSU Bank index was the worst performer down over 2% followed by Nifty Auto, Bank, Financial Services and Realty indices that settled down in range 1.21% to 1.69%.

Technically, Nifty index is going through a profit-taking phase as predicted in the previous posts. Going ahead, we reiterate our bearish view on Nifty index and suggest traders to maintain sell on sell-on-rise trading approach till it is trading below 20000 levels on a closing basis on the downside immediate support is placed around 19500 levels.


Derivatives Overview & Outlook

Yesterday, no significant activity was seen in Nifty futures on open interest front whereas short buildup was seen in Banknifty and Finnifty futures with increase in open interest by 20.6% and 26.1% respectively.

All F&O sectors settled lower. Amongst them, Banking, Chemicals, Oil & Gas and Textile stocks witnessed maximum addition of short positions.

On options front, call writing was seen at multiple strikes and maximum positions are at 19000 PE and 20000 CE.


Institutional Trading Activity

Yesterday, FIIs sold stocks worth Rs 3007 Cr in the cash segment, sold stocks futures and index future worth Rs 856 Cr and Rs 880 Cr respectively. DIIs were net buyer in the cash segment to the tune of Rs 1158 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 19950-20050; Supports 19650-19550

Banknifty – Resistances 45200-45500; Supports 44300-44050

Finnifty – Resistances 20080-20200; Supports 19670-19560


F&O stocks in ban today:



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