10 Dec 2018
Markets for You
Global Indices
Global Indices 07-Dec Prev_Day Abs. Change
% Change
#
Dow Jones 24,389 24,948 -559 -2.24
Nasdaq 6,969 7,188 -219 -3.05
FTSE 6,778 6,704 74 1.10
Nikkei 21,679 21,502 177 0.82
Hang Seng 26,064 26,156 -93 -0.35
Indian Indices 07-Dec Prev_Day Abs. Change
% Change
#
S&P BSE Sensex 35,673 35,312 361 1.02
Nifty 50 10,694 10,601 93 0.87
Nifty 100 10,894 10,806 88 0.82
Nifty Bank 26,594 26,198 396 1.51
SGX Nifty 10,720 10,626 94 0.88
S&P BSE Power 1,899 1,901 -2 -0.10
S&P BSE Small Cap 14,105 14,143 -39 -0.27
S&P BSE HC 13,658 13,677 -20 -0.14
Date P/E Div. Yield P/E Div. Yield
7-Dec 23.31 1.22 25.87 1.24
Month Ago 22.61 1.27 25.32 1.26
Year Ago 24.24 1.19 26.01 1.12
Nifty 50 Top 3 Gainers
Company 07-Dec Prev_Day
% Change
#
Kotak Bank 1280 1180 8.42
Bajaj Finserv Limited 5850 5668 3.22
Adani Ports & SEZ 373 364 2.61
Nifty 50 Top 3 Losers Domestic News
Company 07-Dec Prev_Day
% Change
#
HCL Tech 962 1013 -4.99
GAIL 335 349 -4.10
Indiabulls HFC 717 733 -2.25
Advance Decline Ratio
BSE NSE
Advances 1079 769
Declines 1499 999
Unchanged 146 108
Institutional Flows (Equity)
Description (Cr)
YTD
FII Flows* -36154
MF Flows** 116287
*7
th
Dec 2018; **6
th
Dec 2018
Economic Indicator
YoY(%) Current Year Ago
CPI
3.31%
(Oct-18)
3.58%
(Oct-17)
IIP
4.50%
(Sep-18)
4.10%
(Sep-17)
GDP
7.10%
(Sep-18)
6.30%
(Sep-17)
10 December 2018
Since May-17, MOSPI has revised base year of IIP & WPI from 2004-05 to 2011-12, and for CPI
from 2010 to 2012
Indian Equity Market
Indices Performance
P/E Dividend Yield
Sensex
7.00%
(Jun-18)
8.20%
(Jun-18)
Quarter Ago
Inflow/Outflow
56
-53
4.17%
(Jul-18)
After falling for three consecutive days, India equity markets ended the
last trading session of the week on a positive note. Decline in crude oil
prices as OPEC ended talks in Vienna without a deal on oil production
cuts boosted the indices. Gains in banking stocks following reports that
an American business investor is in discussions to buy 10% stake in an
Indian private sector bank supported buying interest. Strength in rupee
added to the gains.
Further, a rebound in the global stocks amid expectations that U.S.
Federal Reserve may ease its faster pace of interest rate hikes in 2019,
supported the benchmark indices. Meanwhile, investors awaited exit poll
results of five state elections due after market hours on Dec 7, 2018.
Key benchmark indices S&P BSE Sensex and Nifty 50 grew 1.02% and
0.87% to close at 35,673.25 and 10,693.70, respectively. S&P BSE Mid-
Cap grew 0.23%, however, S&P BSE Small Cap fell 0.27%.
The overall market breadth on BSE was weak with 1,499 scrips
declining and 1,079 scrips advancing. A total of 146 scrips remained
unchanged.
The Union cabinet has given approval for an export policy for
agriculture, thereby imposing no restrictions on export of all organic and
processed products. The move is expected to help the government’s
efforts to double farmers’ income by 2022. However, policy for farm
goods such as onions will be reviewed from time to time. The commerce
and industry minister stated that the policy will promote organic, ethnic
and indigenous products.
According to media reports, an important sub-committee of the
Reserve Bank of India (RBI) did not discuss easing lending curbs facing 11
state-run banks. As per the reports, RBI’s board for financial supervision
(BFS) only discussed the banks' quarterly results for Sep 2018.
According to media reports, some 30-35 microfinance companies have
come together to create a common loan pool of approximately Rs. 650
crore. The loan pool will be securitised and sold to banks in order to raise
funds at a time when the sector is facing a credit squeeze. Securitisation
of the first tranche of Rs. 400 crore is likely to be carried out in a week.
Meanwhile, immediately after the first tranche, the second instalment of
approximately Rs. 100 crore will take place.
30 officials and custodians of some of the large offshore funds have
requested to the Securities and Exchange Board of India (SEBI) to
eradicate the rule as per which most offshore funds have to be broad-
based that needs having at least 20 investors with each holding not more
than 49%. Also, they have raised concern about the practice where
copies of passport, social security numbers, and other national
identification documents of senior management officials of many foreign
funds are shared with brokers and intermediaries.
According to media reports, the cabinet has increased the
government’s contribution to National Pension Scheme (NPS) to 14% of
basic salary from current contribution of 10%. However, minimum
contribution remains at 10% for the employees. Also, the cabinet has
approved tax incentives under 80C of the Income Tax Act for employees'
contribution to the extent of 10%.
Asian markets witnessed a mixed trend with investors tracking the
development over U.S. China trade relation. Meanwhile, market
participants took positive cues from widespread speculation over slower
tempo of interest rate hikes by U.S. Fed compared with previously
expected. Today (as of Dec 10), Asian markets opened lower following
weaker than expected China’s trade data for Nov 2018 which indicated
slower global and domestic demand. Nikkei and Hangseng fell 1.84% and
1.15%, respectively (as at 8.a.m. IST).
As per the last close, European markets managed to close in gains amid
rebound in crude oil prices and bargain hunting. However, decline in U.S.
markets on weaker-than-expected jobs report for Nov 2018 soured
investor sentiment. Further, investors remained focused on
developments from the OPEC meeting in Vienna.
As per the last close, U.S markets closed lower following weaker-than-
expected jobs report for Nov 2018. Lingering skepticism about trade
agreement between U.S. and China also continued to weigh on the
markets.
Markets for You
FII Derivative Trade Statistics 07-Dec
(Rs Cr) Buy
Sell Open Int.
Index Futures 2430.44 4152.46 26316.70
Index Options 161029.91 154387.10 53880.66
Stock Futures 12694.99 13742.13 82709.18
Stock Options 7078.96 7061.05 5959.87
Total 183234.30 179342.74 168866.41
07-Dec Prev_Day
Change
Put Call Ratio (OI) 1.47 1.44 0.04
Indian Debt Market
Put Call Ratio(Vol) 0.87 0.90 -0.03
07-Dec Wk. Ago Mth. Ago
Year Ago
Call Rate 6.41% 6.41% 6.43% 5.76%
T-Repo 6.44% 6.29% 6.39% --
Repo 6.50% 6.50% 6.50% 6.00%
Reverse Repo 6.25% 6.25% 6.25% 5.75%
91 Day T-Bill 6.67% 6.77% 6.93% 6.09%
364 Day T-Bill 7.01% 7.19% 7.42% 6.28%
10 Year Gilt 7.46% 7.61% 7.80% 7.05%
G-Sec Vol. (Rs.Cr) 39650 38079 15785 44838
Currency Market Update
FBIL MIBOR 6.48% 6.55% 6.50% 5.90%
3 Month CP Rate 7.35% 7.75% 8.55% 6.81%
5 Year Corp Bond 8.42% 8.43% 8.58% 7.72%
1 Month CD Rate 6.68% 6.65% 7.02% 6.19%
3 Month CD Rate 7.23% 7.24% 7.63% 6.24%
1 Year CD Rate 8.17% 8.48% 8.34% 6.66%
Commodity Market Update
Currency 07-Dec Prev_Day
Change
USD/INR 70.57 71.04 -0.47
GBP/INR 90.12 90.30 -0.17
EURO/INR 80.22 80.55 -0.32
International News
JPY/INR 0.63 0.63 0.00
Commodity 07-Dec Wk Ago Mth. Ago
Year Ago
NYMEX Crude($/bl) 52.71 50.73 62.11 56.45
Brent Crude($/bl) 61.73 57.55 69.73 62.83
Gold( $/oz) 1248 1222 1226 1246
Gold(Rs./10 gm) 31050 30240 31773 28742
Source: Thomson Reuters Eikon
Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.
10 December 2018
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Derivative Statistics- Nifty Options
Disclaimer:
Derivatives Market
Debt Watch
Currency Market
Commodity Prices
Nifty Dec 2018 Futures were at 10,735.15 points, a premium of 41.45
points, above the spot closing of 10,693.70. The turnover on NSE’s
Futures and Options segment declined to Rs. 4,29,275.52 crore on Dec 7
compared with Rs. 18,78,740.17 crore on Dec 6.
The Put-Call ratio stood at 0.78 compared with the previous session’s
close of 0.81.
The Nifty Put-Call ratio stood at 1.47 compared with the previous
session’s close of 1.44.
Open interest on Nifty Futures stood at 22.78 million as against the
previous session’s close at 22.06 million.
Bond yield edged up as market participants resorted to profit booking.
Besides, worries over high production cut of crude oil by OPEC and its
allies adversely impacted the market sentiment.
Yield on the 10-year benchmark paper (7.17% GS 2028) increased 4
bps to 7.46% compared with 7.42% in the previous session after trading
in the range of 7.39% to 7.48%.
Banks’ borrowings under the repo window of the Liquidity Adjustment
Facility (LAF) stood at Rs. 10,126 crore (gross) on Dec 7 compared with a
borrowing of Rs. 3,611 crore (gross) on Dec 6. Sale of securities under
Reserve Bank of India’s (RBI) reverse repo window stood at Rs. 11,499
crore on Dec 6.
Banks borrowed Rs. 105 crore under the central bank’s Marginal
Standing Facility on Dec 6 compared with borrowing of Rs. 2,225 crore
on Dec 5.
The Indian rupee rose against the greenback supported by weak crude
oil prices that remained below the $60 a barrel mark. The rupee
improved 0.14% to close at 70.80 a dollar compared with the previous
close of 70.90.
The euro inched up against the greenback on rising speculations that
the U.S. Federal Reserve may not go ahead with the multiple interest
rate hike campaign in 2019. The euro was last seen trading at 1.1376 a
dollar compared with the previous close of 1.1374.
Gold prices marginally gained following the U.S. private sector
employment report and worries over the bond market.
Brent crude prices remained below the $60 a barrel mark after OPEC
discussed the possibility of exempting Iran from production cut at the
Vienna meeting.
According to a report by the Labor Department, U.S. non-farm payroll
employment rose less than expected by 155,000 jobs in Nov 2018 after
surging up by a downwardly revised 237,000 jobs in Oct 2018.
According to a survey by the Bank of England, U.K.’s median
expectations of the rate of inflation over the coming year rose to 3.2%
from to 3% predicted in Aug 2018. The central bank also warned that a
no-deal Brexit would lead to a severe recession in the country that has
not been even seen during the global financial crisis a decade ago.
According to the Ministry of Internal Affairs and Communications,
Japan’s household spending fell 0.3% YoY to 290,396 yen in Oct 2018 as
against 1.6% decline in Sep 2018.
Markets for You
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