Indian equity benchmark -- Nifty -- ended in negative terrain on the final day of the week, as traders were cautious with a private report that the Reserve Bank of India’s curb on securitising loans having residual maturity of less than 365 days may hit the sale of short-term advances like micro-finance, personal loans and gold loans for a while. Market started with marginal gain as traders got some support with report that India Inc. expects private capex to gain further momentum in the short to medium term, as it sees green shoots of revival in sectors like real estate, construction, logistics and chemicals, among others.
However, markets unable to hold its gains and entered into negative terrain, as traders turned pessimistic with exchange data showing that Foreign Institutional Investors (FIIs) were net sellers in capital markets as they offloaded shares worth Rs 1,131.67 crore on Thursday. Markets extended losses in later part of the trade as traders paid no heed towards private report witch stated that India consumer price inflation likely cooled to a nine-month low of 6.40% in November mainly due to a moderation in food prices.
Most of the sectorial indices ended in red except Bank, FMCG, Pharma and Healthcare Index. The top gainers from the F&O segment were Cummins India, Marico and Godrej Consumer Products. On the other hand, the top losers were Birlasoft, Intellect Design Arena and HCL Technologies. 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 0.59% and reached 13.48. The 50 share Nifty down by 112.75 points or 0.61% to settle at 18,496.60.
Nifty December 2022 futures closed at 18571.90 (LTP) on Friday, at a premium of 75.30 points over spot closing of 18496.60, while Nifty January 2023 futures ended at 18682.00 (LTP), at a premium of 185.40 points over spot closing. Nifty December futures saw an addition of 13,909 units, taking the total outstanding open interest (Contracts) to 2,32,485 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 18.95 points at 2628.45 (LTP) compared with spot closing of 2609.50. The numbers of contracts traded were 28,675. (Provisional)
Infosys December 2022 futures traded at a premium of 3.65 points at 1573.85 (LTP) compared with spot closing of 1570.20. The numbers of contracts traded were 28,569. (Provisional)
HDFC Bank December 2022 futures traded at a premium of 9.20 points at 1639.35 (LTP) compared with spot closing of 1630.15. The numbers of contracts traded were 25,640. (Provisional)
Bank of Baroda December 2022 futures traded at a premium of 1.35 points at 189.80 (LTP) compared with spot closing of 188.45. The numbers of contracts traded were 25,538. (Provisional)
Indusind Bank December 2022 futures traded at a premium of 7.00 points at 1206.00 (LTP) compared with spot closing of 1199.00. The numbers of contracts traded were 22,886. (Provisional)
Among, Nifty calls, 19000 SP from the December month expiry was the most active call with a contraction of 255units open interests. Among Nifty puts, 18500 SP from the December month expiry was the most active put with a contraction of 2,087 units open interests. The maximum OI outstanding for Calls was at 19000 SP (74,147 units) and that for Puts was at 18000 SP (67,174 units). The respective Support and Resistance levels of Nifty are: Resistance 18637.50 -- Pivot Point 18523.80 -- Support -- 18382.90.
The Nifty Put Call Ratio (PCR) finally stood at (1.25) for December month contract. The top five scrips with highest PCR on Aditya Birla Capital (1.08), Bank of Baroda (1.01), Power Finance Corporation (1.00), Britannia Industries (0.94) and Firstsource Solutions (0.93)
Among most active underlying, Bank of Baroda witnessed an addition of 94 units of Open Interest in the December month futures, HDFC Bank witnessed an addition of 2,069 units of Open Interest in the December month futures, Adani Enterprises witnessed an addition of 1,507 units of Open Interest in the December month futures, Reliance Industries witnessed an addition of 4,551 units of Open Interest in the December month futures, and Punjab National Bank witnessed an addition of 2,155 units of Open Interest in the December month futures. (Provisional)
