Indian equity benchmark -- Nifty -- ended Tuesday’s trading session in a negative terrain, ahead of upcoming exit poll results, India’s gross domestic product (GDP) data for Q4FY24 and May F&O expiry. Index made a positive start, as traders took some support with S&P Global Market Intelligence stating that the Indian government's capital spending, recovery in private consumption and investment are expected to help carry forward the economic momentum post-elections. But soon, index traded near neutral line, amid foreign fund outflows. In the domestic market, foreign institutional investors (FIIs) offloaded shares worth Rs 541.22 crore on Monday.
In afternoon session, index altered between red and green, as traders were cautious with domestic rating agency Crisil stating that banking system's credit growth will drop by 2 percentage points to 14 per cent in financial year 2024-25. The slowdown will be due to lower GDP growth at 6.8 per cent in FY25, as against 7.6 per cent in FY24, RBI measures like higher risk weights on unsecured loans and a high base. Finally, index ended near day’s low point, amid a private report stating that India's economy likely grew at its slowest pace in a year in the January-March quarter due to weak demand.
Traders were seen piling up positions in Pharma, Healthcare and Financial Services, while selling was witnessed in Realty, PSU Bank and Metal. The top gainers from the F&O segment were Coromandel International, Glenmark Pharmaceuticals and Sun Tv Network. On the other hand, the top losers Vodafone Idea, Info Edge (India) and DLF. In the index option segment, maximum OI continues to be seen in the 23900 - 24000 calls and 22400 - 22600 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility increased by 4.32% and reached 24.20. The 50 share Nifty down by 44.30 points or 0.19% to settle at 22,888.15.
Nifty May 2024 futures closed at 22925.00 (LTP) on Tuesday, at a premium of 36.85 points over spot closing of 22888.15, while Nifty June 2024 futures ended at 23040.95 (LTP), at a premium of 152.80 points over spot closing. Nifty May futures saw an addition of 26,183 units, taking the total outstanding open interest (Contracts) to 4,34,326 units. The near month derivatives contract will expire on May 30, 2024. (Provisional)
From the most active contracts, Maruti Suzuki India May 2024 futures traded at a premium of 188.00 points at 13000.00 (LTP) compared with spot closing of 12812.00. The numbers of contracts traded were 56,019. (Provisional)
HDFC Bank May 2024 futures traded at a premium of 11.40 points at 1540.00 (LTP) compared with spot closing of 1528.60. The numbers of contracts traded were 36,772. (Provisional)
Reliance Industries May 2024 futures traded at a premium of 49.00 points at 2960.00 (LTP) compared with spot closing of 2911.00. The numbers of contracts traded were 34,734. (Provisional)
State Bank of India May 2024 futures traded at a premium of 9.20 points at 840.00 (LTP) compared with spot closing of 830.80. The numbers of contracts traded were 32,850. (Provisional)
Hero Motocorp May 2024 futures traded at a premium of 15.00 points at 5200.00 (LTP) compared with spot closing of 5185.00. The numbers of contracts traded were 32,123. (Provisional)
Among, Nifty calls, 23100 SP from the May month expiry was the most active call with an addition of 63,609 units open interests. Among Nifty puts, 22900 SP from the May month expiry was the most active put with an addition of 27,166 units open interests. The maximum OI outstanding for Calls was at 24000 SP (4,85,975 units) and that for Puts was at 22500 SP (2,75,459 units). The respective Support and Resistance levels of Nifty are: Resistance 22,971.63 -- Pivot Point 22,915.07 -- Support 22,831.58.
The Nifty Put Call Ratio (PCR) finally stood at (0.80) for May month contract. The top five scrips with highest PCR on Dabur India (1.23), Ashok Leyland (1.15), M&M (1.13), Jindal Steel and Power (1.11) and Cipla (1.09).
Among most active underlying, HDFC Bank witnessed an addition of 11,719 units of Open Interest in the May month futures, ICICI Bank witnessed an addition of 7,502 units of Open Interest in the May month futures, Reliance Industries witnessed an addition of 5,164 units of Open Interest in the May month futures, State Bank of India witnessed an addition of 4,830 units of Open Interest in the May month future and Hindustan Aeronautics witnessed a contraction of 536 units of Open Interest in the May month future. (Provisional)
