Daily Market Update- Equity 23 June 2023 | Globe Capital Market LTD.
Daily Market Update- Equity 23 June 2023

The benchmark Nifty index settled lower at 18771 levels, down 85 points from its previous closing values after the highly volatile trading session.

Overview and Outlook

Global Market Update

  • US equity markets ended on a flat to positive note.
  • European equity markets were down in range 0.22% to 0.80%
  • Majority of Asian equity markets are trading in red
  • SGX Nifty is little changed (as on 8:30AM)


News highlights from across the globe

  • Asian markets are trading lower after U.S. equities struggled for direction throughout most of the day before closing higher.
  • The Bank of England cautioned it may have to hike again after delivering a half-point boost, while a key section of the German yield curve inverted the most since 1992 on the economic concern.
  • Brent crude fell to $74 a barrel and the yield on the 10-year U.S. bond was trading at 3.78%


Important news updates from the domestic front

  • Eros International: SEBI passed an ex parte interim order against the company for alleged misstatements in its books of accounts. SEBI directed BSE to appoint a forensic auditor to examine the books of three companies listed on the exchange. ThinkinkPicturez, Mediaone Global Entertainment, and Spicy Entertainment prima facie acted as conduits in the alleged misrepresentation or diversion of funds
  • HDFC divested 9.65% of its stake in Ruralshores via the buyback route. It also sold its entire stake in HDFC Property Ventures and HDFC Venture Capital to Vividh Distributors for a consideration of Rs 1.2 crore and Rs 30 lakh, respectively. The lender also bought a 3.86% stake with 5.13% voting rights in interior design company Bonito Designs and 914 CCPS of Cognilements (Relata), ent
  • Bharat Petroleum Corporation will consider fund-raising various modalities on June 28 for a capital infusion, including rights issues.
  • PNB Housing and Finance: T. Adhikari has been appointed as the Chief Operating Officer of the company.
  • Vedanta refuted media reports stating the sale of the Sterlite Copper Plant in Thoothukudi. It said that the reports are “wrong, baseless, and incorrect.”
  • Coforge acquired the final tranche of shares of the remaining 20% stake in Coforge Business Process Solutions for Rs 336.94 crore, taking its total stake to 80%.
  • HBL Power Systems: The board is going to consider approving a proposal for the slump sale of two product lines, Power Electronics and Integrated Power Supplies, to Moebius Power Electronics on June 28.


Nifty Overview & Outlook

The benchmark Nifty index settled lower at 18771 levels, down 85 points from its previous closing values after the highly volatile trading session.

Broader market underperformed the benchmark as Small-cap and Mid-Cap index were down 0.76% to 1.21% respectively. The market breadth was inclined towards the sellers as over 1.5 declines were recorded for every advancing share at NSE.

All the sectoral indices, barring Nifty Media and Metal, tracked at NSE settled in red. Amongst them, PSU Bank index was the worst performer, fell over 1.5%, followed by Nifty Realty, IT, FMCG, Oil & Gas index that were down around 1% each.

Technically, Nifty index is facing resistance around its all time highs i.e. 19887 levels. Going ahead, we uphold our bullish view on Nifty index till it is holding above the 18500 levels on closing basis; however possibility of some profit taking can’t be ruled out at this juncture. Hence, we suggest traders to maintain stock specific trading approach and avoid over leveraging.


Derivatives Overview & Outlook

Yeterday, Nifty futures added around 7.5% of open interest as short positions, Banknifty futures shed around 5% of open interest as long unwinding while Finnfity futures remained almost unchanged on the price front and shed 6% of open interest.

All F&O sectors settled lower. Amongst them, Banking, Chemicals and Oil & Gas stocks witnessed maximum addition of short positions whereas most of the sectors fell on long unwinding.

On options front, Nifty will start the final weekly expiry of June contract with maximum positions at 18800 PE and 18800 CE.


Institutional Trading Activity

Yesterday, FIIs sold stocks worth Rs 698 Cr in the cash segment, sold stocks futures worth Rs 2517 Cr and bought index futures worth Rs 325 Cr. DIIs too were net buyers in the cash segment to the tune of Rs 219 Cr.


Nifty Futures & Bank Nifty Futures Key Levels

Nifty – Resistances 18885-18960; Supports 18780-18700

Banknifty – Resistances 44100-44300; Supports 43600-42400

Finnifty – Resistances 19700-19800; Supports 19550-19460


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