Daily Market Update- Equity 26 Aug 2022 | Globe Capital
26-Aug-2022
Daily Market Update- Equity 26 Aug 2022

Nifty index settled near the day’s low after a volatile trading session, closed shop at 17522 levels, down 82 points.

Overview and Outlook

Global Market update

  • US equity markets settled higher in range 0.98 to 1.67%
  • European equity markets ended on flattish note
  • Asian equity markets are trading in green
  • SGX Nifty is up 105 points (as on 8:30 AM)

 

News Highlights from across the globe

  • Asian equities rose after gains in Wall Stree, aided by U.S. gauge of Chinese shares, as markets withstood the hawkish comments from Fed officials at the annual conference in Jackson Hole, Wyoming.
  • U.S. Federal Reserve Chair Jerome Powell’s speech today could contain key announcements and reiteration of steps to tighten monetary policy to flight surge in inflation.
  • The US economy contracted at a more moderate pace than initially thought in the second quarter as consumer spending blunted some of the drag from a sharp slowdown in inventory accumulation, dispelling fears that a recession was underway.

 

Important news & Earnings Updates from the domestic front

 

  • HDFC Bank: The bank entered into non-binding agreement with Go Digit to invest between Rs 49.9-69.9 crore worth equity capital. Go Digit proposes to carry out life insurance business in India, subject to grant of certificate of registration from IRDA.
  • HDFC: The company’s three subsidiaries HDFC Property Ventures, HDFC Venture Capital and HDFC Capital Advisors approved amalgamation of HPVL and, HVCL with HCAL. The combined platform shall advise/ manage approximately $4.1 billion of assets.
  • Eicher Motors: The chief financial officer of the company Kaleeswaran Arunachalam has resigned effective from September 2.
  • Indian Oil Corporation: The company plans to spend Rs 2 lakh crore to achieve carbon neutrality by 2046.
  • Dr. Reddy’s Laboratories: The U.S. FDA has concluded that the inspection is “closed” at the company’s formulations manufacturing facility (FTO 11) in Srikakulam, Andhra Pradesh.
  • Max Financial Services: The company’s subsidiary Max Life Insurance announced that receipt of the Commencement of Business certificate for its wholly owned subsidiary, Max Life Pension Fund Management. This subsidiary will manage the pension assets with investment choices under the National Pension Scheme.
  • Gland Pharma: The company received one observation on Form 483 from the U.S. FDA that conducted pre-market inspection at Dundigal Facility at Hyderabad.

 

Nifty Outlook

 

Nifty index settled near the day’s low after a volatile trading session, closed shop at 17522 levels, down 82 points.

Broader markets performed well as both Mid & Small cap index settled on flat to positive note, up by 0.14% and 0.45% respectively.

Barring PSU Bank, Realty & Consumer Durable index, all other sector gauges tracked at NSE settled in red. IT index was the worst performed of the day, down               0.87%.

Nifty index has once again entered sideways to bearish zone (17400-700 levels). An either side break from this zone I needed for next directional move.

 

Derivatives Overview & Outlook

 

Nifty August futures ended at 17,521, a discount of 1.45 points. Nifty August futures shed 48.31% and 45,721 shares in Open Interest.

Nifty Bank August futures ended at 38,954.70, a premium of 3.95 Points. Nifty Bank August futures shed 60.99%, 27,438 shares in Open Interest.

 

FII & DII Trading Activity

 

Yesterday, FIIs bought stocks worth Rs 369 Cr in the cash segment, sold stocks futures worth Rs 1780 Cr and sold index futures worth Rs 2011 Cr. DIIs were net sellers in the cash segment to the tune of Rs 334 Cr.

 

Nifty Futures & Bank Nifty Futures Key Levels

 

Nifty Futures – Resistances 17600-17700; Supports 17430-17380

Banknifty Futures – Resistances 39250-39500; Supports 38600-38280

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