Daily Market Update- Equity 29 March 2023 | Globe Capital Market LTD.
Daily Market Update- Equity 29 March 2023

The benchmark nifty index ended on flat note at 16951 levels, down 34 points from its previous closing values after a lackluster trading session.

Overview and Outlook

Global Market Update

  • US equity markets settled on flat to negative note
  • European equity markets ended on flat to positive note
  • Asian equity markets are trading in green
  • SGX Nifty is little changed (as on 8:15 AM)


News highlights from across the globe

  • Chinese technology stocks rallied on Wednesday as a reorganization of Alibaba provides a bright spot in Asian stocks following a decline in U.S. equities.
  • U.S. consumers appear to have shrugged off the bank failures, with the latest consumer confidence figures unexpectedly higher in March.
  • The yield on 10-year treasuries were trading at 3.56%. Crude prices rose to $79-mark


Important news updates from the domestic front

  • Vedanta: The company approved the fifth interim dividend of Rs 20.5 per share for the current fiscal, with a total outgo of Rs 7,621 crore. The record date for the dividend is April 7. Meanwhile, Ajay Goel, the acting CFO of the company, has resigned with effect from April 9.
  • Tata Power: Company has proposed to set up a high voltage 400 KV line corridor for Mumbai to the state electricity regulator. The proposed transmission line aims to cater to the city’s growing electricity demand by increasing its power capacity.
  • Larsen & Toubro: The company issued 2 lakh non-convertible debentures to raise Rs 2,000 crore. The bonds will mature on April 28, 2028.
  • Jindal Stainless: The company will acquire 49% stake in Indonesia-based nickel pig iron company New Yaking Pte. Ltd. for $157 million (Rs 1,289.8 crore).
  • NHPC: The board approved raising Rs 5,600 crore during the fiscal ending March 2024 via corporate bonds and/or term loans or external commercial borrowings.
  • Britannia Industries: The board of the company will meet on April 4 to consider and approve an interim dividend for the current financial year.
  • Apollo Tyres: The company will incorporate a wholly owned subsidiary to create an online direct to customer platform for offering passenger vehicle aftermarket services.


Nifty Outlook

The benchmark nifty index ended on flat note at 16951 levels, down 34 points from its previous closing values after a lackluster trading session.

Small cap index underperformed the benchmark as it’s down nearly 1% while the Midcap index performed in line with the benchmark. The market breadth was skewed in the favor of the bears as 1671 declines were recorded against 627 advances at NSE.

Barring Nifty Bank and Fin Services, all sectoral indices tracked at NSE settled in the red. Amongst them, Nifty Media and Realty fell over 1% each followed by Nifty Auto, IT and Metal index that were down nearly 1% each.

Going ahead, we reiterate our sideways view on Nifty index till it is trading in 16800-17200 range. Either side break from this range will set the tone for next directional move in that direction.


Derivatives Overview & Outlook

Yesterday, No significant activity was seen among Nifty & Banknifty futures on price as well as on open interest front.

Nifty & Banknifty futures have rolled 61% & 74% of open interest respectively into next contracts so far.

On options front, call writing was seen at multiple strikes along with put writing at 16900 & 16700 strikes and maximum positions are at 17000 PE 17000 CE.


FII & DII Trading Activity

Yesterday, FIIs bought stocks worth Rs 1531 Cr in the cash segment, sold stocks futures worth Rs 147 Cr and also sold index futures worth Rs 931 Cr. DIIs were net sellers in the cash segment to the tune of Rs 156 Cr.


Nifty Futures & Bank Nifty Futures Key Levels

Nifty – Resistances 17050-17125; Supports 16900-16850

Banknifty – Resistances 38850-40100; Supports 39350-39000


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