07 Feb 2018
Markets for You
Global Indices
Global Indices 06-Feb Prev_Day Abs. Change
% Change
#
Dow Jones 24,913 24,346 567 2.33
Nasdaq 7,116 6,968 148 2.13
FTSE 7,141 7,335 -194 -2.64
Nikkei 21,610 22,682 -1,072 -4.73
Hang Seng 30,595 32,245 -1,650 -5.12
Indian Indices 06-Feb Prev_Day Abs. Change
% Change
#
S&P BSE Sensex 34,196 34,757 -561 -1.61
Nifty 50 10,498 10,667 -168 -1.58
Nifty 100 10,852 11,024 -172 -1.56
Nifty Bank 25,811 26,099 -287 -1.10
SGX Nifty 10,486 10,663 -177 -1.66
S&P BSE Power 2,209 2,244 -35 -1.58
S&P BSE Small Cap 17,392 17,782 -390 -2.19
S&P BSE HC 13,789 14,075 -286 -2.03
Date P/E Div. Yield P/E Div. Yield
6-Feb 24.09 1.14 25.37 1.08
Month Ago 25.40 1.12 26.99 1.07
Year Ago 22.09 1.43 23.43 1.25
Nifty 50 Top 3 Gainers
Company 06-Feb Prev_Day
% Change
#
Bajaj Finance Limited 1662 1605 3.56
ICICI Bank 331 330 0.30
Indiabulls HFC 1295 1292 0.19
Nifty 50 Top 3 Losers Domestic News
Company 06-Feb Prev_Day
% Change
#
Lupin 801 849 -5.68
Tata Motors 375 396 -5.14
HCL Tech 954 993 -3.96
Advance Decline Ratio
BSE NSE
Advances 498 303
Declines 2262 1540
Unchanged 141 38
Institutional Flows (Equity)
Description (Cr)
YTD
FII Flows* 14889
MF Flows** 7802
*6
th
Feb 2018; **2
nd
Feb 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)
07 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
-957
-1083
3.14%
(Sep-17)
The Securities and Exchange Board of India (SEBI) has asked fund houses
to prominently disclose the total expense ratio (TER), on daily basis, for all
schemes under a separate head, "Total Expense ratio", on their website.
The disclosure will increase transparency in mutual fund schemes and
make them more investor-friendly.
According to the finance secretary, the government will bring down its
corporate income tax rate, once the personal income tax collections grow
up. The finance secretary has added that in most of the other countries,
personal income tax is much higher compared to corporate income tax
but in India it is much lower and needs to go up. Once it will go up, the
government will have more scope for reduction in corporate tax.
The government has budgeted for Rs. 900 billion to be paid as
compensation to states towards losses because of Goods and Services Tax
(GST) in FY19, up 47% from Rs. 613 billion it plans to distribute in FY18. As
a percentage of total 2018-19 Budget size of Rs. 24.4 trillion, GST
compensation to states come to 3.6%. According to the medium-term
fiscal policy statement, the Centre also projected compensation cess
outlay of Rs. 900 billion each for 2019-20 and 2020-21. However, these
are provisional projections and will be subject to change in future
Budgets.
The minister of state for finance stated that the government has cleared
foreign direct investment (FDI) proposals worth Rs. 11,703 crore during
the period Apr 2017-Dec 31, 2017. With this, the government has cleared
67 FDI proposals over the nine months period.
Lupin reported 65% decline in net profit to Rs. 2.22 billion and net sales
fell 11.5% to Rs. 39 billion in the quarter ended Dec 2017. The significant
decline in profit was due to lower sales in North America and foreign
exchange losses.
PNB has posted increase in net profit by 11.06% at Rs. 2.3 billion in the
quarter ended Dec 2017. The increase in profit was due to growth in other
income & operating income. However, it was capped by higher provisions.
Markets for You
Indian equity markets slumped following weak cues from Wall Street
overnight. The major U.S. market indices witnessed highest single-day loss
in multiple years amid lingering concerns over U.S. government
shutdown. The Congress is expected to pass a spending bill by Feb 8, else
the U.S. government will shut down again. A sharp rise in U.S. bond yields,
because of concern over a possible increase in inflation and speculation
over U.S. interest rates hike, also dampened the risk sentiment of
investors. Back home, caution ahead of the Monetary Policy Committee’s
meeting, scheduled later during the week, prevented market participants
from taking riskier bets.
Key benchmark indices S&P BSE Sensex and Nifty 50 fell 1.61% and
1.58% to close at 34,195.94 and 10,498.25, respectively. Additionally, S&P
BSE Mid-Cap and S&P BSE Small-Cap slumped 1.68% and 2.19%,
respectively.
On the BSE sectoral front, all the indices closed in the red. S&P BSE IT
was the major loser, down 2.80%, followed by S&P BSE Consumer
Durables and S&P BSE Teck, which fell 2.68% and 2.51%, respectively. S&P
BSE Realty and S&P BSE Industrials fell 2.08% and 2.07%, respectively.
Asian markets moved down after overnight U.S. market plunged heavily
on concerns over potential rise in interest rates in the U.S. Worries over
tighter monetary policy stance by global central banks, fall in crude oil
prices and stronger yen further dented sentiment. Today (As of Feb 7),
Asian markets opened higher as risk sentiments improved after Wall
Street closed in green. Both Nikkei and Hang Seng were trading up 3.09%
and 2.53% (as at 8.a.m. IST).
As per the last close, European market ended lower as losses extended
amid global weakness. Rising bond yields, concerns over rising inflation
and higher interest rates continued to weigh oh investor’s sentiments.
As per the last close, U.S markets ended higher as investors resorted to
value buying after witnessing heavy downfall in the previous few sessions
amid concerns of rate hike by the U.S. Federal Reserve after release of
upbeat U.S. jobs data.
FII Derivative Trade Statistics 06-Feb
(Rs Cr) Buy
Sell Open Int.
Index Futures 2555.46 3110.21 17370.94
Index Options 81053.41 80878.14 73582.04
Stock Futures 12004.94 11408.40 76947.51
Stock Options 10097.34 10124.95 6564.25
Total 105711.15 105521.70 174464.74
06-Feb Prev_Day
Change
Put Call Ratio (OI) 1.13 1.10 0.03
Indian Debt Market
Put Call Ratio(Vol) 0.99 0.85 0.14
06-Feb Wk. Ago Mth. Ago
Year Ago
Call Rate 5.86% 5.88% 5.88% 5.98%
CBLO 5.82% 5.85% 4.79% 6.08%
Repo 6.00% 6.00% 6.00% 6.25%
Reverse Repo 5.75% 5.75% 5.75% 5.75%
91 Day T-Bill 6.37% 6.40% 6.13% 6.10%
364 Day T-Bill 6.55% 6.53% 6.47% 6.13%
10 Year Gilt 7.57% 7.43% 7.17% 6.41%
G-Sec Vol. (Rs.Cr) 30961 32937 52738 40676
Currency Market Update
1 Month CP Rate 6.93% 6.93% 6.81% 6.67%
3 Month CP Rate 7.79% 7.78% 7.24% 6.99%
5 Year Corp Bond 7.92% 7.82% 7.67% 7.08%
1 Month CD Rate 6.24% 6.27% 6.20% 6.18%
3 Month CD Rate 7.24% 7.22% 6.77% 6.39%
1 Year CD Rate 7.52% 7.47% 7.10% 6.52%
Commodity Market Update
Currency 06-Feb Prev_Day
Change
USD/INR 64.27 64.03 0.24
GBP/INR 89.72 90.40 -0.69
EURO/INR 79.52 79.73 -0.21
International News
JPY/INR 0.59 0.58 0.01
Commodity 06-Feb Wk Ago Mth. Ago
Year Ago
NYMEX Crude($/bl) 63.46 64.59 61.44 52.96
Brent Crude($/bl) 66.43 67.46 68.50 54.71
Gold( $/oz) 1325 1338 1320 1235
Gold(Rs./10 gm) 30433 30305 29443 29092
Source: ICRON Research
Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.
07 February 2018
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Derivative Statistics- Nifty Options
Disclaimer:
Derivatives Market
Debt Watch
Currency Market
Commodity Prices
Bond yields fell following weakness in crude oil prices that eased
concerns about inflation gains in India. Lower than scheduled debt sale
in FY18 amid high yields also boosted sentiment.
Yield on the 10-year benchmark paper (7.17% GS 2028) fell 3 bps to
close at 7.57% as against previous session’s close of 7.60%. During the
session, bond yields traded in the range of 7.52% and 7.61%.
Banks’ borrowings under the repo window of the Liquidity Adjustment
Facility (LAF) stood at Rs. 2,420 crore (gross) on Feb 6 compared with Rs.
2,540 crore on Feb 5. Sale of securities under Reserve Bank of India’s
(RBI) reverse repo window stood at Rs. 13,814 crore on Feb 5.
Banks borrowed Rs. 20 crore under the central bank’s Marginal
Standing Facility on Feb 5 as against borrowing of Rs. 70 crore on Feb 2.
According to a survey of purchasing managers, U.S. ISM's non-
manufacturing index witnessed 59.9% in Jan 2018, up from Dec 2017’s
reading of 56% (seasonally adjusted). This marked 96 consecutive
months of growth in the non-manufacturing sector. New orders index
witnessed 62.7% in Jan, 8.2 percentage points higher than reading of
54.5% (seasonally adjusted) in Dec.
Jerome Powell has replaced Janet Yellen and has been sworn in as the
chief of U.S. Federal Reserve. Jerome Powell will now lead the U.S.
central bank and manage raising interest rates at a time when inflation
remains subdued.
Markets for You
Nifty Feb 2018 Futures were at 10,513.3 points, a premium of 15.05
points above the spot closing of 10,498.25. The turnover on NSE’s
Futures and Options segment went up from Rs. 5,89,594.95 crore on Feb
5 to Rs. 9,44,331.22 crore on Feb 6.
The Put-Call ratio stood at 0.80 against previous session’s close of 0.73.
The Nifty Put-Call ratio stood at 1.13 against previous session’s close of
1.10.
India VIX moved up 24.68% to 20.0150 from 16.0525 in the previous
trading session.
Open interest on Nifty Futures stood at 23.50 million as against the
previous session’s close of 22.86 million.
The Indian rupee fell against the U.S. dollar following increase in
demand for greenback as risk appetite for equity deteriorated. However,
greenback sales by state-run banks limited further losses. The rupee fell
0.28% to close at 64.24 per dollar from the previous close of 64.06 per
dollar.
The euro fell against the U.S. dollar as weakness in the global equity
market prompted investors to purchase greenback. Euro fell 0.09% and
was trading at $1.2356, down from the previous close of 1.2367.
Safe-haven appeal of the metal gained after global equity market
witnessed heavy sell-off due to concerns over potential rise in interest
rates in the U.S.
Brent crude prices fell heavily following negative cues in global equity
market.
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