Indian equity benchmark -- Nifty -- ended Wednesday’s trading session in positive terrain, as traders were looking forward to Reserve Bank of India’s (RBI) monetary policy outcome, which is scheduled to be delivered tomorrow. Index made a slightly positive start, as sentiments remained up-beat with Commerce and Industry Minister Piyush Goyal’s statement that the country's goods exports touched $447 billion till the last count for 2022-23 fiscal year as against $422 billion in 2021-22. Some support also came with Credit rating agency Crisil’s report stating that banks' gross non-performing assets (NPAs) will reduce further to a decadal low of 3.8 per cent by end of FY2023-24. The agency estimates NPAs to reduce to 4.2 per cent by end of the just concluded FY23 as against 5.9 per cent in the year-ago period. It had earlier estimated NPAs to come at 4 per cent by end of FY24.
In afternoon session, index continued its northward journey, as sentiments remained optimistic with a private report stating that the new Foreign Trade Policy (FTP) 2023, announced recently, will help in promoting exports of sectors from e-commerce, batteries for electric vehicles and farm equipment. Besides, another private report stated that narrowing current account deficit will help the rupee strengthen against the dollar and appreciate to around 79 by the second half of the current fiscal. Finally, index ended near day’s high point.
Most of the sectorial indices ended in green except PSU BANK and Auto. The top gainers from the F&O segment were L&T Technology Services, Coforge and Indraprastha Gas. On the other hand, the top losers were Ashok Leyland, Aditya Birla Fashion and Retail and Federal Bank. In the index option segment, maximum OI continues to be seen in the 17900 -18100 calls and 16900 -17050 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility decreased by 1.37% and reached 12.41. The 50 share Nifty up by 159.00 points or 0.91% to settle at 17,557.05.
Nifty April 2023 futures closed at 17625.35 (LTP) on Wednesday, at a premium of 68.30 points over spot closing of 17557.05, while Nifty May 2023 futures ended at 17684.00 (LTP), at a premium of 126.95 points over spot closing. Nifty April futures saw an addition of 7,788 units, taking the total open interest (Contracts) to 2,24,227 units. The near month derivatives contract will expire on April 27, 2023. (Provisional)
From the most active contracts, HDFC Bank April 2023 futures traded at a premium of 4.80 points at 1658.80 (LTP) compared with spot closing of 1654.00. The numbers of contracts traded were 36,615. (Provisional)
Reliance Industries April 2023 futures traded at a premium of 14.90 points at 2339.00 (LTP) compared with spot closing of 2324.10. The numbers of contracts traded were 33,884. (Provisional)
Bajaj Finance April 2023 futures traded at a premium of 25.10 points at 5785.00 (LTP) compared with spot closing of 5759.90. The numbers of contracts traded were 32,140. (Provisional)
ICICI Bank April 2023 futures traded at a premium of 2.10 points at 887.10 (LTP) compared with spot closing of 885.00. The numbers of contracts traded were 26,123. (Provisional)
Infosys April 2023 futures traded at a premium of 7.85 points at 1433.70 (LTP) compared with spot closing of 1425.85. The numbers of contracts traded were 17,025. (Provisional)
Among, Nifty calls, 18000 SP from the April month expiry was the most active call with an addition of 3,227 units open interests. Among Nifty puts, 17000 SP from the April month expiry was the most active put with an addition of 21,997 units open interests. The maximum OI outstanding for Calls was at 18000 SP (70,649 units) and that for Puts was at 17000 SP (1,29,777 units). The respective Support and Resistance levels of Nifty are: Resistance 17617.50 -- Pivot Point 17510.10 -- Support -- 17449.65.
The Nifty Put Call Ratio (PCR) finally stood at (1.25) for April month contract. The top five scrips with highest PCR on Vedanta (1.15), Siemens (1.15), Tata Consultancy Services (1.14), Mphasis (1.08) and UltraTech Cement (0.99).
Among most active underlying, HDFC Bank witnessed an addition of 537 units of Open Interest in the April month futures, Bajaj Finance witnessed an addition of 1,102 units of Open Interest in the April month futures, Reliance Industries witnessed an addition of 4,891 units of Open Interest in the April month futures, ICICI Bank witnessed an addition of 1,221 units of Open Interest in the April month futures and Housing Development Finance Corporation witnessed an addition of 221 units of Open Interest in the April month futures .(Provisional)
