S&P CNX -- Nifty exhibited a smart pull back on Wednesday, ending with a gain of above a percent. Among the 50 stocks on Nifty, IndusInd Bank, JSW Steel, Tata Motors, Axis Bank, and Adani Ports led the gains, as each scrip rose over 3 to 5 percent. Among sectors on NSE, Metal and PSU Bank shares surged over 2 percent. Market started day on strong note, as India's gross domestic product (GDP) in the second quarter of the fiscal year 2021-22 grew at 8.4 percent. The numbers mark a significant increase as compared to the COVID-19-hit second quarter of last fiscal year, when the GDP had declined by 7.4 percent.
Further, market extended its gains with data showing that the central government's fiscal deficit at end-October worked out to be 36.3 percent of the annual budget target for 2021-22 due to an improvement in the revenue collection. Index continued its firm trade till the end, as Chief Economic Adviser (CEA) K V Subramanian has exuded confidence that India would achieve double-digit growth in the current financial year on the back of policy initiatives and continuing reforms. He also said the country is well poised to meet the fiscal deficit target of 6.8 per cent of GDP. Finally, Nifty ended the day’s trade above 17150 mark.
Most of the sectoral indices ended in green except Pharma, Consumer Durables and Healthcare Index. The top gainers from the F&O segment were Vodafone Idea, Indiabulls Housing Finance and Chambal Fertilisers & Chemicals. On the other hand, the top losers were Alkem Laboratories, Metropolis Lab and Cipla. In the index option segment, maximum OI continues to be seen in the 17900 -18150 calls and 16800 -17150 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility decreased by 8.12% and reached 19.45. The 50 share Nifty up by 183.70 points or 1.08% to settle at 17,166.90.
Nifty December 2021 futures closed at 17235.00 (LTP) on Wednesday, at a premium of 68.10 points over spot closing of 17166.90, while Nifty January 2022 futures ended at 17287.05 (LTP), at a premium of 120.15 points over spot closing. Nifty December futures saw an addition of 10,751 units, taking the total outstanding open interest (Contracts) to 2,37,611 units. The near month derivatives contract will expire on December 30, 2021 (Provisional).
From the most active contracts, Reliance Industries December 2021 futures traded at a premium of 10.25 points at 2478.00 (LTP) compared with spot closing of 2467.75. The numbers of contracts traded were 32,747 (Provisional).
Tata Steel December 2021 futures traded at a premium of 5.50 points at 1087.50 (LTP) compared with spot closing of 1082.00. The numbers of contracts traded were 26,636 (Provisional).
ICICI Bank December 2021 futures traded at a premium of 2.25 points at 729.30 (LTP) compared with spot closing of 727.05. The numbers of contracts traded were 22,315 (Provisional).
Axis Bank December 2021 futures traded at a premium of 1.80 points at 681.80 (LTP) compared with spot closing of 680.00. The numbers of contracts traded were 18,518 (Provisional).
SBIN December 2021 futures traded at a premium of 0.60 points at 476.50 (LTP) compared with spot closing of 475.90. The numbers of contracts traded were 17,278 (Provisional).
Among, Nifty calls, 17200 SP from the December month expiry was the most active call with an addition of 8,592 units open interests. Among Nifty puts, 17000 SP from the December month expiry was the most active put with an addition of 8,599 units open interests. The maximum OI outstanding for Calls was at 18000 SP (63,283 units) and that for Puts was at 17000 SP (99,921 units). The respective Support and Resistance levels of Nifty are: Resistance 17,231.88 -- Pivot Point 17,148.07 -- Support -- 17,083.08.
The Nifty Put Call Ratio (PCR) finally stood at (1.29) for December month contract. The top five scrips with highest PCR on Escorts (1.23), LIC Housing Finance (0.96), Bajaj Finserv (0.94), Eicher Motors (0.94) and Titan Company (0.91).
Among most active underlying, ICICI Bank witnessed an addition of 5,020 units of Open Interest in the December month futures contract, Reliance Industries witnessed an addition of 1,341 units of Open Interest in the December month futures contract, Tata Power witnessed an addition of 255 units of Open Interest in the December month futures contract, Tata Motors witnessed a contraction of 355 units of Open Interest in the December month futures contract and Axis Bank witnessed an addition of 1,504 units of Open Interest in the December month futures contract (Provisional).
