Snapping its eight days winning streak, S&P CNX Nifty ended the day’s trade below its crucial 18,700 level amid weak global cues. India VIX was up by 0.67%. Market made a negative start, as traders were worried after data from the central bank showed that India's services exports and imports in October fell from the previous month. Services exports in October stood at $25.38 billion, down from $28.03 billion in September, while imports slipped to $13.49 billion from $16.12 billion a month earlier. Besides, foreign institutional investors (FIIs) net sold shares worth Rs 1,565.93 crore on December 01, according to the provisional data available on the NSE. Traders overlooked finance ministry’s statement that the windfall tax on locally produced crude oil has been cut to Rs 4,900 per tonne from Rs 10,200 per tonne. Separately, it also reduced the windfall tax on high-speed diesel for exports to Rs 8 per litre from Rs 10.5 per litre. This includes a cess of Rs 1.5 per litre.
In early afternoon session, index enlarged its losses, as sentiments remained down beat after private report stated that the protests in China against the restrictions under its Zero-Covid policy could impact India's consumer goods including gold, electronics, and engineering goods. The fall in demand due to the lockdown as well as disruption in the supply of inputs from China may impact several sectors. Adding more worries among traders, another private report stated that India’s current account deficit (CAD) may shoot up in the July-September quarter (second quarter, or Q2) of 2022-23 (FY23), with the net export ratio touching a fresh nine-year low at 5.89 per cent of gross domestic product (GDP) in Q2. Market continued its weak run till the end of the session and closed the session with cut of above half a percent.
Most of the sectorial indices ended in red except Media, Metal, PSU Bank, Realty and Oil & Gas. The top gainers from the F&O segment were Bharat Heavy Electricals, Astral and Aditya Birla Capital. On the other hand, the top losers were Mahindra and Mahindra, Tata Consumer Products and Eicher Motors. In the index option segment, maximum OI continues to be seen in the 18900 -19100 calls and 17900 -18100 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility increased by 0.67% and reached 13.45. The 50 share Nifty down by 116.40 points or 0.62% to settle at 18,696.10.
Nifty December 2022 futures closed at 18815.00 (LTP) on Friday, at a premium of 118.90 points over spot closing of 18696.10, while Nifty January 2023 futures ended at 18922.35 (LTP), at a premium of 226.25 points over spot closing. Nifty December futures saw a contraction of 10,412 units, taking the total open interest (Contracts) to 2,37,149 units. The near month derivatives contract will expire on December 29, 2022. (Provisional)
From the most active contracts, Reliance Industries December 2022 futures traded at a premium of 21.00 points at 2748.00 (LTP) compared with spot closing of 2727.00. The numbers of contracts traded were 34,836. (Provisional)
Maruti Suzuki India December 2022 futures traded at a premium of 61.95 points at 8884.95 (LTP) compared with spot closing of 8823.00. The numbers of contracts traded were 15,589. (Provisional)
Adani Ports and Special Economic Zone December 2022 futures traded at a premium of 7.70 points at 893.80 (LTP) compared with spot closing of 886.10. The numbers of contracts traded were 15,499. (Provisional)
Tata Consultancy Services December 2022 futures traded at a premium of 19.15 points at 3456.25 (LTP) compared with spot closing of 3437.10. The numbers of contracts traded were 14,801. (Provisional)
ICICI Bank December 2022 futures traded at a premium of 5.90 points at 934.90 (LTP) compared with spot closing of 929.00. The numbers of contracts traded were 13,751. (Provisional)
Among, Nifty calls, 18800 SP from the December month expiry was the most active call with an addition of 7,891 units open interests. Among Nifty puts, 18500 SP from the December month expiry was the most active put with a contraction of 15,858 units open interests. The maximum OI outstanding for Calls was at 19000 SP (67,557 units) and that for Puts was at 18000 SP (71,833 units). The respective Support and Resistance levels of Nifty are: Resistance 18772.30 -- Pivot Point 18705.75 -- Support -- 18629.55.
The Nifty Put Call Ratio (PCR) finally stood at (1.39) for December month contract. The top five scrips with highest PCR on Bharat Heavy Electricals (1.10), Lupin (1.05), Britannia Industries (1.04), Axis Bank (1.00) and Jindal Steel & Power (1.00).
Among most active underlying, Reliance Industries witnessed an addition of 4,030 units of Open Interest in the December month futures, ICICI Bank witnessed an addition of 1,502 units of Open Interest in the December month futures, Maruti Suzuki India witnessed an addition of 2,749 units of Open Interest in the December month futures, Adani Enterprises witnessed an addition of 281 units of Open Interest in the December month futures and HDFC Bank witnessed a contraction of 701 units of Open Interest in the December month futures. (Provisional)
