CNX Nifty remaining volatile throughout the session, ended lower on Friday as investors booked profit in rate sensitive stocks such as banking, realty and auto. Further, major fall in rupee value also turned down the investors’ sentiments. On the global front, most of the Asian markets shut shop in red, while the European markets exhibited mixed trend in early deals on caution ahead of the much anticipated nonfarm payrolls report from the US.
Back home, Indian equity benchmark made a negative start amid weak Asian cues. Sentiments also remain dampened on account of foreign institutional investors (FIIs) sell-off, who sold shares worth a net Rs 270.47 crore on June 6, 2013. In the late morning session, market pared its losses and entered the positive territory, as traders were seen piling up position in IT, banking and Pharma stocks. However, in the last leg of trade, market changed its position and slipped into the negative territory amid profit booking in rate sensitive stocks after the Reserve Bank of India (RBI) Governor D Subbarao’s statement that the country’s retail inflation still remains high despite the wholesale price-led inflation cooling off. Finally, Nifty ended the session near its intra-day low level with a loss of 40 points.
Meanwhile, most of the sectoral indices on the NSE made a negative closing. CNX PSU Bank down 1.87%, CNX Infra down 1.63%, CNX Realty down 1.38%, CNX Auto down 1.42% and CNX Metal down 1.21% remained the top losers in the trade. While, CNX IT up by 1.37% and CNX Pharma up by 0.12% remained the top gainers of the trade. While India Volatility Index (VIX), a gauge for market’s short term expectation of volatility, remained flat at 17.35.
The India VIX witnessed flat as compared to its previous close of at 17.35 on Thursday. The 50-share CNX Nifty lost 40.40 points or 0.68 % to settle at 5,881.00.
Nifty June 2013 futures closed at 5895.20 on Friday at a premium of 14.20 points over spot closing of 5881.00, while Nifty July 2013 futures ended at 5915.25, at a premium of 34.25 points over spot closing. Nifty June futures saw contraction of 0.12 million (mn) units taking the total outstanding open interest (OI) to 12.32 mn units. The near month June 2013 derivatives contract will expire on June 27, 2013.
From the most active contracts, JP Associates June 2013 futures were trading at a premium of 0.10 points at 64.65 compared with spot closing of 64.55. The number of contracts traded was 11,773.
Reliance Communications June 2013 futures were trading at a premium of 0.75 points at 116.35 compared with spot closing of 115.60. The number of contracts traded was 21,473.
Tata Motors June 2013 futures were at a premium of 1.45 points at 303.20 compared with spot closing of 301.75. The number of contracts traded was 13,792.
DLF June 2013 futures were at a premium of 0.55 points at 199.00 compared with spot closing of 198.45. The number of contracts traded was 15,636.
Reliance Industries June 2013 futures were trading at a premium of 4.00 points at 787.95 compared with spot closing of 783.95. The number of contracts traded was 16,994.
Among Nifty calls, 6,100 SP from the June month expiry was the most active call with an addition of 0.78million open interest.
Among Nifty puts, 5,900 SP from the June month expiry was the most active put with contraction of 0.07 million open interest.
The maximum OI outstanding for Calls was at 6,100 SP (6.15 mn) and that for Puts was at 5,900 SP (6.65 mn).
The respective Support and Resistance levels are: Resistance 5945.37 -- Pivot Point 5908.33 -- Support 5843.97.
The Nifty Put Call Ratio (PCR) OI wise stood at 1.05 for June -month contract.
The top five scrips with highest PCR on OI were DR Reddy 1.88, CESC 1.33, TCS 1.06, Adani Ports 1.02, and Federal BNK 1.00.
Among most active underlying, Unitech witnessed an addition of 2.17 million of Open Interest in the June month futures contract followed by JP Associates which witnessed an addition of 4.72 million of Open Interest in the near month contract. Meanwhile, Reliance Communications witnessed contraction of 0.10 million in the June month futures. Also, Reliance Power witnessed an addition of 0.37 million in Open Interest in the June month contract. Finally, DLF witnessed contraction of 0.89 million of Open Interest in the near month futures contract.
