02 Feb 2018
Markets for You
Global Indices
Global Indices 01-Feb Prev_Day Abs. Change
% Change
#
Dow Jones 26,187 26,149 37 0.14
Nasdaq 7,386 7,411 -26 -0.35
FTSE 7,490 7,534 -43 -0.57
Nikkei 23,486 23,098 388 1.68
Hang Seng 32,642 32,887 -245 -0.75
Indian Indices 01-Feb Prev_Day Abs. Change
% Change
#
S&P BSE Sensex 35,907 35,965 -58 -0.16
Nifty 50 11,017 11,028 -11 -0.10
Nifty 100 11,385 11,394 -8 -0.07
Nifty Bank 27,221 27,379 -159 -0.58
SGX Nifty 11,030 Closed NA NA
S&P BSE Power 2,321 2,319 1 0.05
S&P BSE Small Cap 18,717 18,717 1 0.00
S&P BSE HC 14,359 14,559 -201 -1.38
Date P/E Div. Yield P/E Div. Yield
1-Feb 25.40 1.09 27.48 1.03
Month Ago 25.03 1.13 26.68 1.09
Year Ago 21.91 1.39 23.27 1.27
Nifty 50 Top 3 Gainers
Company 01-Feb Prev_Day
% Change
#
M&M 799 763 4.68
Eicher Motors 28047 26924 4.17
Bajaj Finance Limited 1729 1678 3.08
Nifty 50 Top 3 Losers Domestic News
Company 01-Feb Prev_Day
% Change
#
Sun Pharma 554 580 -4.41
ONGC 195 203 -4.20
Dr.Reddy 2158 2225 -3.03
Advance Decline Ratio
BSE NSE
Advances 1288 821
Declines 1486 982
Unchanged 149 50
Institutional Flows (Equity)
Description (Cr)
YTD
FII Flows* 13517
MF Flows** 7386
*1st Feb 2018; **30th Jan 2018
Economic Indicator
YoY(%) Current Year Ago
WPI
3.58%
(Dec-17)
2.10%
(Dec-16)
IIP
8.40%
(Nov-17)
5.10%
(Nov-16)
GDP
6.30%
(Sep-17)
7.50%
(Sep-16)
02 February 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
Nifty
4.80%
(Aug-17)
5.70%
(Jun-17)
Quarter Ago
Inflow/Outflow
1051
-265
3.14%
(Sep-17)
Indian equity markets ended in the red as proposals like long-term
capital gains tax on equities in the Union Budget FY19 weighed on
investor sentiment. Market sentiment was further dented after the
finance minister announced that the fiscal deficit target for FY18 was
raised to 3.5% of gross domestic product as against 3.2% earlier. The
target for FY19 has been fixed at 3.3%.
Key benchmark indices S&P BSE Sensex and Nifty 50 fell 0.16% and
0.10% to close at 35,906.66 and 11,016.90, respectively. S&P BSE Mid-Cap
fell 0.54%. Meanwhile, S&P BSE Small-Cap remained unchanged.
On the BSE sectoral front, S&P BSE Consumer Durables was the top loser
and was down 1.78%, followed by S&P BSE Energy (-1.55%), S&P BSE
Healthcare (-1.38%), S&P BSE Oil & Gas (-1.28%) and S&P BSE Realty (-
0.89%). Top gainers were S&P BSE Capital Goods, up 1.57%, followed by
S&P BSE Auto and S&P BSE FMCG, which rose 0.67% and 0.64%,
respectively. S&P BSE Industrials and S&P BSE Basic Materials rose 0.57%
and 0.42%, respectively.
The Nikkei India Manufacturing Purchasing Managers' Index (PMI) fell to
52.4 in Jan 2018 from 54.7 in Dec 2017. The decline reflects growth in
output, new orders and employment at slower rates. However, new
export orders grew at the sharpest rate since Sep 2016.
In the Union Budget 2018-19, government has increased its fiscal deficit
target from 3.2% of Budgeted Estimate (BE) to 3.5% for the current
financial year. For FY18-19, fiscal deficit is projected at 3.3% of BE, which
is also higher than 3% estimated in the previous budget.
Government’s net borrowings for FY18-19 has been lowered by around
Rs. 73,000 crore to Rs. 4.07 lakh crore from the market compared with the
current fiscal. However, gross borrowing for the next financial year has
been increased to Rs. 6.05 lakh crore. For the current fiscal year, net
borrowing was sharply raised to Rs. 4.79 lakh crore compared with the
Budget estimate of Rs. 3.5 lakh crore.
The budget has proposed to tax Long Term Capital Gains (LTCG) from
listed equities exceeding Rs. 1 lakh at 10%, without allowing any
indexation benefit. The finance minister also proposed to introduce a tax
on distributed income by equity-oriented mutual funds at the rate of 10%,
to provide a level field across growth-oriented funds and dividend
distributing funds.
ICICI Bank announced decline in net profit by 32% YoY to Rs. 1,650 crore
in the quarter ended Dec 2017 from Rs. 2,442 crore a year ago due to
lower income from treasury although provisions for non-performing
assets remained elevated.
Hyundai Motor India Ltd (HMIL) posted increase in total sales by 8.5%
YoY to 56,216 units in Jan 2018 from 51,834 units sold in Jan 2017.
Domestic sales and export of the company rose by 8.3% and 9.1%,
respectively.
Vedanta reported decline in net profit by 4% to Rs. 2,053 crore in the
third quarter of FY18 as compared with Rs. 2,133 crore in the same
quarter of FY17. The company witnessed decline in profit even though a
secular increase in metal prices led to rise in revenue by 19% in the period
under review.
Asian markets traded in mixed after the U.S. Federal Reserve (Fed) kept
interest rates unaltered in its policy review as per expectations, but
indicated to raise rates at its next meeting in Mar 2018. Meanwhile,
improved manufacturing data from China and Japan helped gains. Today
(As of Feb 2), Asian markets opened lower following mixed close in the
Wall Street and rise in U.S. government debt yields. Both Nikkei and Hang
Seng were trading down 1.34% and 0.52% (as at 8.a.m. IST).
As per the last close, European market ended lower following
disappointing earnings results from few companies and losses in Wall
Street. The continued rise in global bond yields made equities less
appealing to investors. Also, strengthening of Euro and the British pound
against the dollar brought additional pressure to shares of European
exporters.
As per the last close, U.S markets ended mixed. Better than expected
results of few companies that boosted investor’s sentiments. However,
downbeat U.S. economic data and cautiousness over monthly jobs report
to be released today weighed on investor’s sentiments.
Markets for You
FII Derivative Trade Statistics 01-Feb
(Rs Cr) Buy
Sell Open Int.
Index Futures 2056.62 2140.33 18486.38
Index Options 53705.01 54052.68 63266.40
Stock Futures 10264.00 11016.46 78570.05
Stock Options 6631.52 6600.25 4005.32
Total 72657.15 73809.72 164328.15
01-Feb Prev_Day
Change
Put Call Ratio (OI) 1.30 1.21 0.09
Indian Debt Market
Put Call Ratio(Vol) 0.89 0.93 -0.04
01-Feb Wk. Ago Mth. Ago
Year Ago
Call Rate 5.89% 5.91% 5.92% 6.05%
CBLO 5.84% 5.90% 5.79% 6.12%
Repo 6.00% 6.00% 6.00% 6.25%
Reverse Repo 5.75% 5.75% 5.75% 5.75%
91 Day T-Bill 6.34% 6.40% 6.12% 6.17%
364 Day T-Bill 6.54% 6.51% 6.29% 6.14%
10 Year Gilt 7.80% 7.48% 7.34% 6.43%
G-Sec Vol. (Rs.Cr) 48397 39866 21453 76088
Currency Market Update
1 Month CP Rate 6.95% 6.93% 6.80% 6.73%
3 Month CP Rate 7.76% 7.75% 7.20% 7.06%
5 Year Corp Bond 7.89% 7.78% 7.70% 7.11%
1 Month CD Rate 6.27% 6.24% 6.26% 6.22%
3 Month CD Rate 7.19% 7.21% 6.31% 6.41%
1 Year CD Rate 7.51% 7.45% 6.99% 6.55%
Commodity Market Update
Currency 01-Feb Prev_Day
Change
USD/INR 63.61 63.69 -0.08
GBP/INR 90.18 90.35 -0.18
EURO/INR 78.95 79.21 -0.27
International News
JPY/INR 0.58 0.59 -0.01
Commodity 01-Feb Wk Ago Mth. Ago
Year Ago
NYMEX Crude($/bl) 65.90 65.59 60.41 53.85
Brent Crude($/bl) 68.28 71.17 67.07 55.75
Gold( $/oz) 1349 1348 1302 1209
Gold(Rs./10 gm) 30286 30489 29363 29030
Source: ICRON Research
Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.
02 February 2018
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Derivative Statistics- Nifty Options
Disclaimer:
Derivatives Market
Debt Watch
Currency Market
Commodity Prices
Nifty Feb 2018 Futures were at 11,031.3 points, a premium of 14.40
points above the spot closing of 11,016.90. The turnover on NSE’s
Futures and Options segment went up from Rs. 4,73,999.37 crore on Jan
31 to Rs. 15,08,842.96 crore on Feb 1.
The Put-Call ratio stood at 0.80 against previous session’s close of 0.84.
The Nifty Put-Call ratio stood at 1.21 against previous session’s close of
1.30.
Open interest on Nifty Futures stood at 24.79 million as against the
previous session’s close of 25.51 million.
Bond yields rose after the government widened its fiscal deficit aim to
3.3% for FY19 as compared to previous target of 3%. Investors were also
concerned that greater rural spending will increase the inflation of the
economy. Investors are also waiting for Monetary Policy Committee’s
meeting due on Feb 6 and Feb 7.
Yield on the 10-year benchmark paper (7.17% GS 2028) rose 17 bps to
close at 7.60% as against previous session’s close of 7.43%. During the
session, bond yields traded in the range of 7.37% and 7.61%.
Yield on the old 10-year benchmark paper (6.79% GS 2027) rose 20 bps
to close at 7.80% as against previous session’s close of 7.60%. During the
session, bond yields traded in the range of 7.54% and 7.80%.
According to the Scheduled Bank's Statement of Position in India as of
Jan 19, 2018, banks’ deposit and credit growth stood at 5.10% and
10.58% YoY, respectively.
The Indian rupee plunged against the greenback after the government
widened its fiscal deficit aim to 3.3% for FY19 from the previous target
of 3.0%. Also, indication of rate hike by the U.S. Federal Reserve in the
near term boosted greenback’s demand. The rupee fell 0.68% to close at
64.02 per dollar from the previous close of 63.58 per dollar.
The euro strengthened against the greenback following release of
upbeat euro zone manufacturing data in Jan 2018. Euro grew 0.27% and
was trading at $1.2454, up from the previous close of 1.2420.
Gold prices inched down after the U.S. Federal Reserve (Fed) left
interest rates unchanged in its policy review as expected, but hinted to
raise rates at its next meeting in Mar 2018.
Brent crude prices gained after data from the EIA showed that demand
for gasoline and distillates improved in the U.S.
The U.S. Federal Reserve (Fed) voted to leave its benchmark interest
rate unchanged in a range between 1.25% and 1.50%. Meanwhile, Fed
indicated that it will increase the benchmark rate at its next meeting, in
late Mar 2018. This announcement comes on the wake of improving
economy and signs of inflation. Fed expects inflation to increase in 2018,
thereby increasing the possibility for one of three rate hikes projected
by the end of 2018.
According to the latest survey from Caixin, China’s manufacturing PMI
came in at 51.5 in Jan 2018 and remained unchanged from Dec 2017. On
an individual basis, growth was supported by further, though slightly
softer, increases in total new work and new export sales.
Markets for You
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