Daily Market Update- Equity 24 Jan 2023 | Globe Capital
24-Jan-2023
Daily Market Update- Equity 24 Jan 2023

Benchmark Nifty index settled higher at 18118 levels, up 90 points from its previous closing values after a lackluster trading session.

Overview and Outlook

Global Market Update

  • US equity markets were up in range 0.76 to 2.01%
  • European equity markets were up in range 0.18% to 0.5%
  • Majority of Asian equity markets are closed, Nikkei is up 1.5%
  • SGX Nifty is up 90 points (as on 8:18 AM)

 

News highlights from across the globe

  • Asian equities open on a positive note on Tuesday following the gains on Wall Street amid the strength in technology stocks and bets for less-aggressive rate hikes from the Federal Reserve.
  • Wall Street closed sharply higher on Monday, fuelled by surging technology stocks as investors began an earnings-heavy week with a renewed enthusiasm for market-leading momentum stocks that were battered last year.
  • Crude price rose above $88 per barrel.

 

Important news updates from the domestic front

  • Maruti Suzuki India: The company recalled 11,1177 units of Grand Vitara manufactured between Aug. 8 and Nov. 15 last year over a possible defect in rear seat belt mounting brackets.
  • Vedanta: The board will meet on Jan. 27 to consider and approve the fourth interim dividend for the current fiscal.
  • Welspun Corp: Saudi Arabia-based associate company East Pipes Integrated Company for Industry signed contracts for supply of steel pipes for water transmission with a total value of 569 million Saudi riyals (Rs 1,234.03 crore).
  • Dilip Buildcon: The company’s joint venture DilipBuildcon-Skyway Infraprojects has been selected by Madhya Pradesh Jal Nigam as the successful bidder for the engineering, procurement, construction, testing, commissioning, trial run, operation and maintenance of various components of Rewa Bansagar at a project cost of Rs 1947.06 crore.
  • NBCC (India): The company secured total business of Rs 309.10 crore in December 2022.
  • Sterlite Technologies: The board on Jan. 27 will consider the proposal to raise funds through rights issue.
  • Tata Motors: The company confirmed that the voluntary delisting of its American Depositary Shares, representing its ordinary shares, from the New York Stock Exchange will become effective close of trading on Jan. 23, 2023.
  • NTPC: The company completed trail operation of Unit-1 of North Karanpura Super Thermal Power Project, and added the 660 MW capacity unit in its total installed capacity.

 

Nifty Outlook

Benchmark Nifty index settled higher at 18118 levels, up 90 points from its previous closing values after a lackluster trading session.

Performance on the broader front was mix, Mid cap index outperformed the benchmark as it gained over 1% while Small cap index settled on a flat note. Market breadth was slightly tilted towards the declining side.

Majority of sectoral gauges, barring Metal and Realty index, settled in green. Amongst them, IT index was at the top of the tally, gained nearly 2% followed by Pharma, FMCG and Auto index that rose nearly 1% each.

Nifty index is still trading in the same range i.e. 17750-18250 spot levels for past few weeks. Going ahead, crossover and sustenance from this range is required for any sustainable move in that direction, until then, it is likely to trade sideways.

 

Derivatives Overview & Outlook

Yesterday, no meaningful activity was seen in Nifty and Banknifty futures on price as well as on open interest front.

Nifty and Banknifty futures have rolled 36% & 48% of open interest respectively into next contracts so far.

On options front, call writing was seen at multiple strikes along with put writing at multiple strikes and maximum positions are at 18100 CE and 18100 PE.

 

FII & DII Trading Activity

Yesterday, FIIs sold stocks worth Rs 250 Cr in the cash segment, bought stocks futures worth Rs 2240 Cr and also bought index futures worth Rs 859 Cr. DIIs were net buyers in the cash segment to the tune of Rs 435 Cr.

 

Nifty Futures & Bank Nifty Futures Key Levels

Nifty Futures – Resistances 18225-18300; Supports 18090-18035

Banknifty Futures – Resistances 43000-43250; Supports 42700-42500

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