Daily Market Update- Equity 5 Sep 2022 | Globe Capital
05-Sep-2022
Daily Market Update- Equity 5 Sep 2022

Nifty index ended flat after volatile trading session, closed shop 17539 levels, down 3.35 points.

Overview and Outlook

Global Market update

  • US equity markets were down over 1% on Friday
  • European equity markets were up in range 1.86 to 3.3%
  • Asian equity markets are trading mix
  • SGX Nifty is down 33 points (as on 8:16 AM)

 

News Highlights from across the globe

  • European equity futures tumbled and the euro fell Monday as the region’s worsening energy crisis added to concerns about a global economy already facing inflation, monetary policy risks.
  • US stocks closed out the trading week on a down note on Friday, as early gains from a jobs report that showed a labor market that may be starting to loosen gave way to worries about the European gas crisis.
  • Asian shares slipped on Monday while the euro took a fresh spill after Russia shut a major gas pipeline to Europe, leading some governments there to announce emergency measures to ease the pain of soaring energy prices.

 

Important news & Earnings Updates from the domestic front

  • Wipro: The company has partnered with Cisco to accelerate cloud transformation for customers. The partnership will enable Wipro customers to deploy Wipro FullStride Cloud Service to enable a fully automated hybrid-cloud stack, reducing the implementation time and enhancing the user experience.
  • JSW Steel: Life Insurance Corporation increased its stake in the company from 5% to 7.01%.
  • GMR Infrastructure: The company approved raising of funds of up to Rs 6000 crore in one or more tranches through issue of securities including a Qualified Institutions Placement and/or foreign currency convertible bonds and/or any other securities.
  • GMR Infrastructure: The company approved raising of funds of up to Rs 6000 crore in one or more tranches through issue of securities including a Qualified Institutions Placement and/or foreign currency convertible bonds and/or any other securities.
  • Hindalco: Aluminium buyer Novelis excludes Russian metal in Supply deal.
  • Hindustan Aeronautics, L&T: Wins Rs 860 crore deal from NSIL to entirely build five PSLV rockets.
  • SpiceJet: Gets up to three-month extension of time to hold AGM

 

Nifty Outlook

Nifty index ended flat after volatile trading session, closed shop 17539 levels, down 3.35 points.

Broader markets performed in line with benchmark, Mid & Small cap index also ended on a flattish note.

Sector performance was mix, Oil & Gas index lost maximum, down 1.03% followed by PSU Bank index that fell 0.67% among gainers, Financial Service & Media index gained maximum, up 0.5% each.

Nifty index is trading in range 17400-17700 levels, an either side break will lead to next directional move and could result in 300-400 points move in that direction.

 

Derivatives Overview & Outlook

On Friday, no significant activity was recorded among Nifty & Banknifty futures on price as well as on open interest front.

Majority of F&O sectors settled lower. Amongst them, Chemicals, Pharma and IT stocks witnessed maximum addition of short positions whereas some long buildup was seen among FMCG stocks.

On options front, call writing was seen at multiple strikes along with put writing at multiple strikes and maximum positions are at 18000 CE & 17000 PE.

 

FII & DII Trading Activity

Last week, FIIs bought stocks worth Rs 4018 Cr in the cash segment, sold stocks futures worth Rs 6093 Cr and also sold index futures worth Rs 5594 Cr. DIIs were net sellers in the cash segment to the tune of Rs 231 Cr during the week.

 

Nifty Futures & Bank Nifty Futures Key Levels

Nifty Futures – Resistances 17665-17750; Supports 17480-17400

Banknifty Futures – Resistances 39800-40050; Supports 39250-38950

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