EQUITY
Last hour selling drags Nifty to end below neutral line
Apr-30-2024

Indian equity benchmark -- Nifty -- ended Tuesday’s trading session in a negative terrain, ahead of Federal Reserve policy meeting due on tomorrow. Index made a decent start, amid foreign fund inflows. Foreign institutional investors (FIIs) net bought shares worth Rs 169.09 crore on April 29, provisional data from the NSE showed. Sentiments got boost as the National Council of Applied Economic Research (NCAER) in its monthly economic review said that the Indian economy could grow faster than 7% in this financial year. Traders took note of report that Finance Minister Nirmala Sitharaman underscored the need for a stable government to achieve the goal of becoming Viksit Bharat by 2047. 

In afternoon session, index extended its gains to touch all time high point, as sentiments remained optimistic amid a private report stating that India's services exports will increase to $800 billion by 2030 from $340 billion in 2023, making the external sector resilient to supply-side shocks and reducing rupee volatility. It said India's foreign trade policy announced last year targeted $1 trillion of service exports by 2030. Traders ignored the report that ICRA said India's net oil import bill could widen to $101-104 billion in current fiscal from $96.1 billion in 2023-24 and any escalation in the Iran-Israel conflict could impart an upward pressure on the value of imports. However, in last leg of trade, index cut all of its intraday gains to end lower.

Traders were seen piling up positions in Auto, Realty and PSU Bank, while selling was witnessed in IT, Media and Metal Bank. The top gainers from the F&O segment were REC, Power Finance Corporation and Jubilant FoodWorks. On the other hand, the top losers Indian Oil Corporation, Birlasoft and Aditya Birla Capital. In the index option segment, maximum OI continues to be seen in the 23400 - 23600 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 5.19% and reached 12.87. The 50 share Nifty down by 38.55 points or 0.17% to settle at 22,604.85.

Nifty May 2024 futures closed at 22707.80 (LTP) on Tuesday, at a premium of 102.95 points over spot closing of 22604.85, while Nifty June 2024 futures ended at 22807.10 (LTP), at a premium of 202.25 points over spot closing. Nifty May futures saw an addition of 11,157 units, taking the total outstanding open interest (Contracts) to 4,40,588 units. The near month derivatives contract will expire on May 30, 2024. (Provisional) 

From the most active contracts, HDFC Bank May 2024 futures traded at a discount of 5.45 points at 1510.00 (LTP) compared with spot closing of 1515.45. The numbers of contracts traded were 89,408. (Provisional) 

ICICI Bank May 2024 futures traded at a premium of 7.80 points at 1158.05 (LTP) compared with spot closing of 1150.25. The numbers of contracts traded were 84,252. (Provisional) 

State Bank of India May 2024 futures traded at a premium of 1.85 points at 822.85 (LTP) compared with spot closing of 821.00. The numbers of contracts traded were 78,686. (Provisional) 

Kotak Mahindra Bank May 2024 futures traded at a premium of 12.40 points at 1636.05 (LTP) compared with spot closing of 1623.65. The numbers of contracts traded were 54,188. (Provisional) 

Axis Bank May 2024 futures traded at a premium of 8.20 points at 1170.65 (LTP) compared with spot closing of 1162.45. The numbers of contracts traded were 52,825. (Provisional) 

Among, Nifty calls, 23000 SP from the May month expiry was the most active call with a contraction of 1,357 units open interests. Among Nifty puts, 22000 SP from the May month expiry was the most active put with an addition of 16,748 units open interests. The maximum OI outstanding for Calls was at 23500 SP (1,01,407 units) and that for Puts was at 22500 SP (1,35,314 units). The respective Support and Resistance levels of Nifty are: Resistance 22736.00 -- Pivot Point 22652.20 -- Support 22736.00.

The Nifty Put Call Ratio (PCR) finally stood at (1.40) for May month contract. The top five scrips with highest PCR on Coromandel International (1.45), Cummins India (1.32), Axis Bank (1.25), PI Industries (1.16) and Indusind Bank (1.09).

Among most active underlying, HDFC Bank witnessed an addition of 17,442 units of Open Interest in the May month futures, ICICI Bank witnessed an addition of 17,190 units of Open Interest in the May month futures, Power Finance Corporation witnessed an addition of 598 units of Open Interest in the May month futures, State Bank of India witnessed an addition 10,189 units of Open Interest in the May month future and REC witnessed an addition 2,439 units of Open Interest in the May month future. (Provisional)

  RELATED NEWS >>