Snapping 2-day gaining rally, fifty stock index -- Nifty -- ended the Friday’s trading session at intraday low with a cut of above a percent amid concerns of impact of Omicron variant of Covid-19 that has spread to 25 countries, including India. Market started the session on positive note with Centre for Monitoring Indian Economy’s statement that the index of consumer sentiment for rural India inched up by 0.3% for the week ended November 28 while the index for consumer expectation went up by 1.3%, a much lower jump compared to weeks before the announcement of the repeal of farm laws. Index turned volatile with private report that increasing current account deficit (CAD) forecast to 1.9 per cent of GDP at $60 billion for 2021-22 as compared to $45 billion earlier, following the record $23.27 billion trade deficit in November. Moreover, sharp selloff in the last hour dragged equity benchmark to intraday low as sentiments got impacted after a private report highlighted a curious case of increase in aggregate bank deposits followed by subsequent slump in alternate fortnights, which is quite a contrarian trend.
All the sectoral indices ended in red except Media. The top gainers from the F&O segment were UPL, BPCL and IOC. On the other hand, the top losers were Power Grid, Reliance Industries and Kotak Mahindra Bank. 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 increased by 2.03% and reached 18.45. The 50 share Nifty down by 204.95 points or 1.18% to settle at 17,196.70.
Nifty December 2021 futures closed at 17252.30 (LTP) on Friday, at a premium of 55.60 points over spot closing of 17196.70, while Nifty January 2022 futures ended at 17314.20 (LTP), at a premium of 117.50 points over spot closing. Nifty December futures saw a contraction of 6,755 units, taking the total outstanding open interest (OI) to 2,28,944 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 10.85 points at 2424.00 (LTP) compared with spot closing of 2413.15. The numbers of contracts traded were 39,135(Provisional).
Tata Steel December 2021 futures traded at a premium of 4.75 points at 1119.40 (LTP) compared with spot closing of 1114.65. The numbers of contracts traded were 37,013 (Provisional).
Infosys December 2021 futures traded at a premium of 7.70 points at 1745.30 (LTP) compared with spot closing of 1737.60. The numbers of contracts traded were 26,317 (Provisional).
ICICI Bank December 2021 futures traded at a premium of 2.90 points at 720.05 (LTP) compared with spot closing of 717.15. The numbers of contracts traded were 24,386 (Provisional).
TCS December 2021 futures traded at a premium of 4.00 points at 3645.00 (LTP) compared with spot closing of 3641.00. The numbers of contracts traded were 19,251 (Provisional).
Among, Nifty calls, 17400 SP from the December month expiry was the most active call with an addition of 13,369 units open interests. Among Nifty puts, 17100 SP from the December month expiry was the most active put with a contraction of 12,220 units open interests. The maximum OI outstanding for Calls was at 18000 SP (68,202 units) and that for Puts was at 17000 SP (98,901 units). The respective Support and Resistance levels of Nifty are: Resistance 17,397.40 -- Pivot Point 17,289.10 -- Support -- 17,088.40.
The Nifty Put Call Ratio (PCR) finally stood at (1.34) for December month contract. The top five scrips with highest PCR on Escorts (1.28), JK Cement (1.14), Bajaj Finserv (0.94), LIC Housing Finance (0.92) and Titan Company (0.86).
Among most active underlying, Reliance Industries witnessed an addition of 5,725 units of Open Interest in the December month futures contract, ICICI Bank witnessed an addition of 1,746 units of Open Interest in the December month futures contract, Tata Steel witnessed an addition of 2,216 units of Open Interest in the December month futures contract, Zee Entertainment Enterprises witnessed an addition of 282 units of Open Interest in the December month futures contract and Indian Energy Exchange witnessed an addition of 6,846 units of Open Interest in the December month futures contract (Provisional).
