Local benchmark S&P CNX -- Nifty -- witnessed considerable losses amid weekly F&O expiry. India VIX was up by 10.14%. Market started day on somber note, as the United Nations said India is expected to grow 6.4% in 2022, well below the 8.8% growth in 2021, as higher inflationary pressures and uneven recovery of the labour market are likely to curb private consumption and investment. Market continued its weak trade after cooking gas LPG price hiked by Rs 3.50 per cylinder, the second increase in rate this month following the firming of international energy rates. Non-subsidised LPG now costs Rs 1,003 per 14.2-kg cylinder in the national capital, up from Rs 999.50 previously. Further, market enlarged its losses to touch intraday low point, as India Ratings and Research said the average headline inflation is set to accelerate to a nine-year high at 6.9 per cent in FY23, and the Reserve Bank may go for more rate hikes during the fiscal. Finally, Nifty closed the session below 15850 mark.
All the sectoral indices ended in red. The top gainers from the F&O segment were ITC, PI Industries and Abbott India. On the other hand, the top losers were Dr. Lal PathLabs, Mphasis and Manappuram Finance. In the index option segment, maximum OI continues to be seen in the 16900 -17200 calls and 14900 -15200 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility increased by 10.14% and reached 24.56. The 50 share Nifty down by 430.90 points or 2.65% to settle at 15,809.40.
Nifty May 2022 futures closed at 15784.00 (LTP) on Thursday, at a discount of 25.40 points over spot closing of 15809.40 , while Nifty June 2022 futures ended at 15785.35 (LTP) , at a discount of 24.05 points over spot closing. Nifty May futures saw an addition of 24,297 units, taking the total open interest (contracts) to 1,91,582 units. The near month derivatives contract will expire on May 26, 2022 (Provisional).
From the most active contracts, Infosys May 2022 futures traded at a discount of 3.00 points at 1428.00 (LTP) compared with spot closing of 1431.00. The numbers of contracts traded were 33,716 (Provisional).
Reliance Industries May 2022 futures traded at a premium of 1.10 points at 2479.00 (LTP) compared with spot closing of 2477.90. The numbers of contracts traded were 30,572 (Provisional).
ITC May 2022 futures traded at a discount of 5.95 points at 269.80 (LTP) compared with spot closing of 275.75. The numbers of contracts traded were 30,466 (Provisional).
Adani Ports May 2022 futures traded at a premium of 0.60 points at 736.00 (LTP) compared with spot closing of 735.40. The numbers of contracts traded were 27,079 (Provisional).
TCS May 2022 futures traded at a discount of 24.40 points at 3247.50 (LTP) compared with spot closing of 3271.90. The numbers of contracts traded were 26,664 (Provisional).
Among, Nifty calls, 16000 SP from the May month expiry was the most active call with an addition of 60,515 units open interests. Among Nifty puts, 15800 SP from the May month expiry was the most active put with an addition of 38,700 units open interests. The maximum OI outstanding for Calls was at 17000 SP (1,61,080 units) and that for Puts was at 15000 SP (1,61,080 units). The respective Support and Resistance levels of Nifty are: Resistance 15,937.70 -- Pivot Point 15,856.45 -- Support -- 15,728.15.
The Nifty Put Call Ratio (PCR) finally stood at (1.02) for May month contract. The top five scrips with highest PCR on TVS Motors (0.92), Gujrat Gas (0.88), Eicher Motors (0.86), Apollo Tyre (0.85) and Muthoot Finance (0.84).
Among most active underlying, ITC witnessed a contraction of 2,178 units of Open Interest in the May month futures contract, Adani Ports witnessed an addition of 124 units of Open Interest in the May month futures contract, Reliance Industries witnessed an addition of 3,581 units of Open Interest in the May month futures contract, HDFC Bank witnessed an addition of 1,714 units of Open Interest in the May month futures contract and Infosys witnessed an addition of 8,712 units of Open Interest in the May month futures contract (Provisional).
