S&P CNX -- Nifty -- ended the last day of the trading week slightly in red. Market made positive start, as Confederation of Indian Industry (CII) urged the government to provide a fiscal stimulus worth Rs 3 trillion along with direct cash transfers to perk up domestic demand. The industry body also sought expansion in the Reserve Bank of India (RBI) balance sheet to meet the demand exigencies of the pandemic. However, market failed to hold gains and entered into deep red zone, as private report stated that lockdowns imposed by the states in April and May to contain the second wave of the deadly COVID-19 pandemic has likely led to the economy contracting 12 per cent in the June quarter as against 23.9 per cent contraction in the same quarter in 2020. Further, market continued its weak trade till the end, as an assessment made by the Reserve Bank of India (RBI) has revealed that the devastating second wave of the coronavirus pandemic in April-May is estimated to have cost the nation Rs 2 lakh crore in terms of output. It said the second wave's toll is mainly in terms of the hit to domestic demand on account of regional and specific containment rather than a nation-wide lockdown.
Most of the sectoral indices ended in red except FMGC and Private Bank. The top gainers from the F&O segment were Vodafone Idea, Adani Enterprises and Adani Ports. On the other hand, the top losers were SAIL, HPCL and Mahanagar Gas. In the index option segment, maximum OI continues to be seen in the 15900 -17000 calls and 14500 -15,800 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short term expectation of volatility increased by 3.20% and reached 14.80. The 50 share Nifty down by 8.05 points or 0.05% to settle at 15,683.35.
Nifty June 2021 futures closed at 15727.50 (LTP) on Friday, at a premium of 44.15 points over spot closing of 15683.35, while Nifty July 2021 futures ended at 15780.00 (LTP), at a premium of 96.65 points over spot closing. Nifty June futures saw a contraction of 9,872 units, taking the total open interest (OI) to 1,22,170 units. The near month derivatives contract will expire on June 24, 2021 (Provisional).
From the most active contracts, Reliance Industries June 2021 futures traded at a premium of 0.80 points at 2224.95 (LTP) compared with spot closing of 2224.15. The numbers of contracts traded were 55,076 (Provisional).
Tata Steel June 2021 futures traded at a discount of 1.90 points at 1093.25 (LTP) compared with spot closing of 1095.15. The numbers of contracts traded were 48,915 (Provisional).
SBIN June 2021 futures traded at a premium of 0.15 points at 414.65 (LTP) compared with spot closing of 414.50. The numbers of contracts traded were 35,851 (Provisional).
Adani Enterprises June 2021 futures traded at a premium of 1.75 points at 1496.75 (LTP) compared with spot closing of 1495.00. The numbers of contracts traded were 29,067 (Provisional).
Infosys June 2021 futures traded at a discount of 1.55 points at 1508.45 (LTP) compared with spot closing of 1510.00. The numbers of contracts traded were 20,893 (Provisional).
Among, Nifty calls, 15900 SP from the June month expiry was the most active call with an addition of 5,178 units open interests. Among Nifty puts, 15600 SP from the June month expiry was the most active put with an addition of 14,296 units open interests. The maximum OI outstanding for Calls was at 16500 SP (52,773 units) and that for Puts was at 15000 SP (67,732 units). The respective Support and Resistance levels of Nifty are: Resistance 15,812.93 -- Pivot Point 15,631.92 -- Support -- 15,502.33.
The Nifty Put Call Ratio (PCR) finally stood at (1.01) for June month contract. The top five scrips with highest PCR on HUL (0.98), Asian Paints (0.90), Titan Company (0.87), PVR (0.83) and HDFC Life Insurance (0.81).
Among most active underlying, Tata Steel witnessed an addition of 6,120 units of Open Interest in the June month futures contract, Adani Enterprises witnessed a contraction of 185 units of Open Interest in the June month futures contract, Reliance Industries witnessed an addition of 492 units of Open Interest in the June month futures contract, SBIN witnessed an addition of 382 units of Open Interest in the June month futures contract and Infosys witnessed a contraction of 224 units of Open Interest in the June month futures contract (Provisional).
