Local benchmark S&P CNX -- Nifty failed to maintain two day's gain on Wednesday and ended the day’s trade below its crucial 15,450 mark. India VIX was up by 0.74%. The day began on sombre note, as RBI data showed that operating profit growth of listed private companies decelerated across broad sectors in the January-March quarter of 2021-22, on the back of rise in expenditure. Operating profit of manufacturing companies decelerated sharply to 7 per cent in the fourth quarter of last fiscal as against 70 per cent in the corresponding quarter of the preceding fiscal.
Further, market continued its weak trade after private report stated that Oil prices rose $2 per barrel on June 21, 2022 on high summer fuel demand while supplies remain tight because of sanctions on Russian oil after its invasion of Ukraine. In late afternoon trade, index enlarged its losses. Sentiments were cautious after the CBDT said that the Income Tax department has detected unaccounted income of over Rs 100 crore after it recently raided a diversified business group engaged in the export of handicraft and real estate among others. Finally, Nifty finished the session with losses of above a percent.
All the sectoral indices ended in red. The top gainers from the F&O segment were Mahanagar Gas, RBL Bank and Hindustan Petroleum Corporation. On the other hand, the top losers were UPL, Hindustan Copper and Sun TV Network. In the index option segment, maximum OI continues to be seen in the 15900 -16200 calls and 14900 -15250 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility increased by 0.74% and reached 21.30. The 50 share Nifty down by 225.50 points or 1.44% to settle at 15,413.30.
Nifty June 2022 futures closed at 15401.00 (LTP) on Wednesday, at a discount of 12.30 points over spot closing of 15413.30, while Nifty July 2022 futures ended at 15418.00 (LTP), at a premium of 4.70 points over spot closing. Nifty June futures saw an addition of 34,295 units, taking the total open interest (contracts) to 2,29,544 units. The near month derivatives contract will expire on June 30, 2022 (Provisional).
From the most active contracts, Reliance Industries June 2022 futures traded at a premium of 0.10 points at 2502.10 (LTP) compared with spot closing of 2502.00. The numbers of contracts traded were 35,239 (Provisional).
Tata Steel June 2022 futures traded at a premium of 1.15 points at 837.95 (LTP) compared with spot closing of 836.80. The numbers of contracts traded were 29,220 (Provisional).
Infosys June 2022 futures traded at a premium of 4.05 points at 1440.95 (LTP) compared with spot closing of 1436.90. The numbers of contracts traded were 27,869 (Provisional).
HDFC Bank June 2022 futures traded at a premium of 0.30 points at 1326.20 (LTP) compared with spot closing of 1325.90. The numbers of contracts traded were 19,438 (Provisional).
TCS June 2022 futures traded at a discount of 1.20 points at 3224.10 (LTP) compared with spot closing of 3225.30. The numbers of contracts traded were 19,198 (Provisional).
Among, Nifty calls, 15500 SP from the June month expiry was the most active call with a contraction of 23,812 units open interests. Among Nifty puts, 15400 SP from the June month expiry was the most active put with an addition of 12,347 units open interests. The maximum OI outstanding for Calls was at 16000 SP (70,571 units) and that for Puts was at 15000 SP (66,637 units). The respective Support and Resistance levels of Nifty are: Resistance 15,523.82 -- Pivot Point 15,454.88 -- Support -- 15,344.37.
The Nifty Put Call Ratio (PCR) finally stood at (1.07) for June month contract. The top five scrips with highest PCR on Hero Motocorp (1.26), REC (1.00), ACC (0.99), Indus Tower (0.90) and Adani Enterprises (0.84).
Among most active underlying, Reliance Industries witnessed an addition of 4,711 units of Open Interest in the June month futures, Adani Enterprises witnessed an addition of 160 units of Open Interest in the June month futures, HDFC Bank witnessed an addition of 1,353 units of Open Interest in the June month futures, ICICI Bank witnessed an addition of 1,113 units of Open Interest in the June month futures contract and Infosys witnessed a contraction of 1,681 units of Open Interest in the June month futures contract (Provisional).
