Ambani To Focus On Reliance's Succession Plans Over Five Years: Daily Market Update- Equity 29 Aug 2023 | Globe Capital Market LTD.
Ambani To Focus On Reliance’s Succession Plans Over Five Years: Daily Market Update- Equity 29 Aug 2023

“I shall continue to perform my duties and responsibilities as chairman and managing director for five more years, with greater vigour.” Ambani said. “I shall groom and empower all the next-gen leaders at Reliance and prepare them for the challenges and opportunities of the future.”

Overview and Outlook

Global Market Update

  • US equity markets ended on a positive note, up in range 0.62% to 0.84%
  • European equity markets also settled higher in range 0.07% to 1.30%
  • Asian equity markets are trading on a positive note
  • GIFT Nifty is down by 11 points (as on 8:20AM), Nifty likely to open around 19350.


News highlights from across the globe

  • Asian stocks looked to follow U.S. equities higher, with traders awaiting a raft of economic figures over the next few days for clues on the outlook for global central bank policy.
  • US equity benchmark is still poised for its worst month of 2023 after a higher-for-longer rates narrative took hold.
  • Brent crude was trading below $85 a barrel and the yield on the 10-year U.S. bond was trading at 4.20%


Important news updates from the domestic front

  • Sun Pharmaceutical Industries aims to spend 7-8% of its sales in the current fiscal on research and development activities to further strengthen its product portfolio across therapeutic segments. It also expects high-single-digit consolidated topline growth for FY24.
  • Zomato: Tiger Global’s Internet Fund III Pte sold its entire 1.4% stake in the food delivery giant for Rs 1,123.85 crore via open market transactions.
  • SJVN: The state-run power company’s unit SJVN Green Energy bagged a deal from APDCL for three solar projects of cumulative capacity 320 MW in Assam. The cost of the project is Rs 1,900 crore.
  • NBCC India received a work order worth Rs 66.32 crore from the Indian Medical Association for planning, designing and executing of IMA House at Indraprastha, New Delhi.
  • KRBL submitted the Letter of Offer for the buyback of up to 65 lakh fully paid-up equity shares of Rs 1 each at a price of Rs 500 apiece for a maximum amount of Rs 325 crores through the tender offer process.
  • HFCL has set the floor price for qualified institutional placement issue at Rs 68.61 apiece. The QIP opened on Aug. 28.
  • LTIMindtree: The IT firm announced a strategic collaboration with automation platform CAST AI to help businesses optimize cloud investments. The partnership will help companies save over 60% on cloud costs as they modernize legacy applications for cloud migration.


Nifty Overview & Outlook

Nifty index opened on a positive note, snapped its two-day losing streak and settled at 19306 levels after adding 40 points to its previous closing values.
Broader market outperformed the benchmark as Mid-cap & Small-cap index ended higher, up nearly 0.5% each; resultant, flat market breadth.
Majority of sectoral indices tracked at NSE settled in green. Amongst them, Nifty Pharma & Realty index were at the top of the tally, gained nearly 1% each followed by Auto, Healthcare and PSU Bank index that were up in range 0.75% to 0.86%. On the other hand, Nifty IT index witnessed some selling pressure, down nearly 0.5%.

Technically, Nifty index is trading in a range for past couple of sessions. Going ahead, we reiterate our short-term sideways view on Nifty index till it is trading in 19250-19650 levels on a closing basis. Either side break and sustenance from the said range will open the doors for next directional move in that direction.


Derivatives Overview & Outlook

Yesterday, a long buildup was seen in Nifty futures, Banknifty futures and Finnifty futures as open interest increased by 2%, 4% and 2% respectively.

On sectoral front, a long buildup was seen among Finance, Reality and Telecom shares while short covering was seen among Chemicals, Power and Metal shares.

On options front, put writing was seen at multiple strikes and maximum positions are at 19300 PE and 19500 CE.


Institutional Trading Activity

Yesterday, FIIs sold stocks worth Rs 1393 Cr in the cash segment, bought stock futures worth Rs 506 Cr and also bought index futures worth Rs 674 Cr. DIIs were net buyers in the cash segment to the tune of Rs 1264 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 19360-19400; Supports 19220-19150

Banknifty – Resistances 44655-45700; Supports 44130-43950

Finnifty – Resistances 19836-19915; Supports 19610-19540





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