28 Feb 2018
Markets for You
Global Indices
Global Indices 27-Feb Prev_Day Abs. Change
% Change
#
Dow Jones 25,410 25,709 -299 -1.16
Nasdaq 7,330 7,421 -91 -1.23
FTSE 7,282 7,290 -7 -0.10
Nikkei 22,390 22,154 236 1.07
Hang Seng 31,269 31,499 -230 -0.73
Indian Indices 27-Feb Prev_Day Abs. Change
% Change
#
S&P BSE Sensex 34,346 34,446 -99 -0.29
Nifty 50 10,554 10,583 -28 -0.27
Nifty 100 10,923 10,954 -31 -0.28
Nifty Bank 25,384 25,688 -304 -1.18
SGX Nifty 10,570 10,581 -11 -0.10
S&P BSE Power 2,234 2,234 0 0.00
S&P BSE Small Cap 18,090 18,154 -64 -0.35
S&P BSE HC 14,142 14,220 -78 -0.55
Date P/E Div. Yield P/E Div. Yield
27-Feb 24.06 1.14 25.87 1.12
Month Ago 26.24 1.08 27.61 1.02
Year Ago 21.92 1.42 23.21 1.25
Nifty 50 Top 3 Gainers
Company 27-Feb Prev_Day
% Change
#
Dr.Reddy 2236 2194 1.92
Bharti Airtel 431 423 1.74
NTPC 166 163 1.60
Nifty 50 Top 3 Losers Domestic News
Company 27-Feb Prev_Day
% Change
#
Ambuja Cem 251 263 -4.39
Axis Bank 538 552 -2.52
SBI 268 274 -2.50
Advance Decline Ratio
BSE NSE
Advances 994 620
Declines 1752 1177
Unchanged 139 57
Institutional Flows (Equity)
Description (Cr)
YTD
FII Flows* 3619
MF Flows** 22284
*27
th
Feb 2018; **26
th
Feb 2018
Economic Indicator
YoY(%) Current Year Ago
WPI
2.84%
(Jan-18)
4.26%
(Jan-17)
IIP
7.10%
(Dec-17)
1.90%
(Dec-16)
GDP
6.30%
(Sep-17)
7.50%
(Sep-16)
28 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
4.10%
(Sep-17)
5.70%
(Jun-17)
Quarter Ago
Inflow/Outflow
1673
-1115
3.68%
(Oct-17)
According to a major domestic credit rating agency, the gross value
added (GVA) growth of the Indian economy is expected to rise in the third
quarter of FY18 to 6.8% from 6.1% in the second quarter of FY18. The
increase in the growth can be attributed to an improvement in the
services and industrial sectors. The rating agency added that economic
activity remained subdued in the first half of FY18 due to structural
transition to GST, but also noted that signs of a rise in economic growth
has started to appear.
The Reserve Bank of India soothed concerns over mobile wallet money.
The central bank added that customers do not stand at risk of loosing
their money even if the wallet companies are not complaint to its full KYC
(Know Your Customer) guidelines. However, the central bank added that
reloading the wallets with money will resume after completing the KYC
requirement.
According to the Finance Secretary, the government is taking all
measures with the help of technology to check tax evasion. The finance
secretary added that the new taxation regime under GST is more business
friendly and cited the example of Chhattisgarh where in Jul 2017, the
revenue shortfall of the state was 49% which came down to 29% within a
time span of seven months.
According to the Finance Minister, the Indian economy has the potential
to grow at a rate of more than 7 to 8%. The minister attributed it to its
policy changes and a supportive global environment. The minister added
that the economy has become very open in the last few years and the
government has simplified the norms for making investments in the
country.
According to media reports, the government is considering raising
import duty on wheat from the current 20%. The objective of the move is
to put a check on cheap shipments and to ensure that local prices do not
come under pressure during the peak harvesting period. Additionally, the
government wants that farmers get at least the minimum support price. It
needs to be noted that harvesting of wheat crop has already started in
some states like Gujarat and Uttar Pradesh.
Markets for You
Indian equity markets closed in red amid decline in banking stocks amid
reports that a state-owned bank has disclosed that the amount of
fraudulent transactions could be approximately Rs. 13 billion, higher than
the current estimate. Meanwhile, investors preferred to remain on the
sidelines ahead of India’s gross domestic product data for quarter ended
Dec 2017 due to be released on Feb 28, 2018.
Key benchmark indices S&P BSE Sensex and Nifty 50 fell 0.29% and
0.27% to close at 34,346.39 and 10,554.30, respectively. S&P BSE Mid-Cap
and S&P BSE Small-Cap fell 0.50% and 0.35%, respectively.
The overall market breadth on BSE was weak with 1,752 scrips declining
and 994 scrips advancing. A total of 139 scrips remained unchanged.
On the BSE sectoral front, S&P BSE Realty was the top loser, down
2.03%, followed by S&P BSE Bankex and S&P BSE Finance which fell 1.43%
and 1.15%, respectively. S&P BSE Metal and S&P BSE Basic Materials fell
0.79% and 0.59%, respectively. Among the gainers, Telecom was the
major gainer, up 0.97%, followed by S&P BSE Energy and S&P BSE Teck,
that grew 0.52% and 0.31%, respectively. S&P BSE Information
Technology and Utilities each grew 0.26%.
Asian markets witnessed a mixed trend ahead of the Congressional
testimony of the new Federal Reserve Chairman, scheduled later during
the day. Investors are looking for further insights into the central bank's
view on inflation and interest rates. Easing concerns over faster than
expected rate hike by Fed further supported buying interest. Today (As of
Feb 28), Asian markets opened lower as U.S. Federal Reserve Chairman’s
testimony indicated rate hike in U.S more than the three times. Both
Nikkei and Hang Seng were trading down 0.46% and 1.06% (as at 8.a.m.
IST).
As per the last close, European market ended lower following
disappointing earning result by few corporates and U.S. Federal Reserve
Chairman’s testimony indicating rate hike in U.S.
As per the last close, U.S markets ended lower as U.S. Federal Reserve
Chairman’s testimony indicated that the central bank may raise rates
more than the three times that is currently anticipated.
FII Derivative Trade Statistics 27-Feb
(Rs Cr) Buy
Sell Open Int.
Index Futures 2233.37 1196.93 13555.41
Index Options 45227.82 43810.56 55526.72
Stock Futures 8149.02 7804.93 71718.02
Stock Options 4863.81 4833.82 2767.86
Total 60474.02 57646.24 143568.01
27-Feb Prev_Day
Change
Put Call Ratio (OI) 1.42 1.46 -0.04
Indian Debt Market
Put Call Ratio(Vol) 1.03 1.01 0.03
27-Feb Wk. Ago Mth. Ago
Year Ago
Call Rate 5.93% 5.96% 5.91% 5.93%
CBLO 5.89% 5.98% 5.90% 5.73%
Repo 6.00% 6.00% 6.00% 6.25%
Reverse Repo 5.75% 5.75% 5.75% 5.75%
91 Day T-Bill 6.26% 6.31% 6.40% 6.05%
364 Day T-Bill 6.50% 6.55% 6.51% 6.20%
10 Year Gilt 7.67% 7.67% 7.31% 6.88%
G-Sec Vol. (Rs.Cr) 24462 17498 39866 30630
Currency Market Update
1 Month CP Rate 6.89% 6.91% 6.93% 6.58%
3 Month CP Rate 7.90% 7.88% 7.75% 6.84%
5 Year Corp Bond 8.00% 7.89% 7.78% 7.45%
1 Month CD Rate 6.24% 6.24% 6.24% 5.98%
3 Month CD Rate 7.25% 7.23% 7.21% 6.32%
1 Year CD Rate 7.56% 7.48% 7.45% 6.63%
Commodity Market Update
Currency 27-Feb Prev_Day
Change
USD/INR 64.85 64.66 0.19
GBP/INR 90.58 90.65 -0.07
EURO/INR 79.97 79.70 0.27
International News
JPY/INR 0.61 0.61 0.00
Commodity 27-Feb Wk Ago Mth. Ago
Year Ago
NYMEX Crude($/bl) 62.93 61.89 66.26 53.99
Brent Crude($/bl) 68.23 63.92 69.92 54.36
Gold( $/oz) 1318 1329 1350 1253
Gold(Rs./10 gm) 30496 30567 30489 29661
Source: ICRON Research
Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.
28 February 2018
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Derivative Statistics- Nifty Options
Disclaimer:
Derivatives Market
Debt Watch
Currency Market
Commodity Prices
Bond yields rose on expectations of slower than expected India’s Gross
Domestic Product (GDP) growth for the quarter ended Dec 2017, which
may influence Monetary Policy Committee (MPC) to restrict interest rate
rise immediately. GDP data is scheduled to be released on Feb 28.
However, fresh supply due to state development auction and following
rise in international crude oil prices, weighed on sentiment.
Yield on the 10-year benchmark paper (7.17% GS 2028) fell 2 bps to
close at 7.67% as against previous session’s close of 7.69%. During the
session, bond yields traded in the range of 7.65% and 7.72%.
Banks’ borrowings under the repo window of the Liquidity Adjustment
Facility (LAF) stood at Rs. 3,585 crore (gross) on Feb 27 compared with
Rs. 3,615 crore on Feb 26. Sale of securities under Reserve Bank of
India’s (RBI) reverse repo window stood at Rs. 9,165 crore on Feb 26.
A report from the Commerce Department showed that U.S. new home
sales surprisingly fell 7.8% to an annual rate of 593,000 in Jan 2018 as
against a decline of 7.6% to upwardly revised 643,000 (625,000 originally
reported) in Dec 2017. The downside reflects decline in sales in South
and North East, by 14.2% and 33.3%, respectively. However, the decline
was offset by 15.4% and 1% gain in Midwest and West, respectively.
A report from the European Central Bank showed that broad monetary
aggregate M3 came in line with market expectations and grew 4.6% YoY
in Jan 2018 and remained unchanged against Dec 2017. Growth in credit
to the private sector grew 3.1% as against an increase of 2.9% in Dec.
Loans to private sector gained 3.3% in Jan as against a gain of 2.9% in
Dec.
Markets for You
Nifty Mar 2018 Futures were at 10564.05 points, a premium of 9.75
points, over the spot closing of 10,554.30. The turnover on NSE’s Futures
and Options segment went up from Rs. 4,29,229.27 crore on Feb 26 to
Rs. 5,55,470.88 crore on Feb 27.
The Put-Call ratio stood at 0.90 against previous session’s close of 0.88.
The Nifty Put-Call ratio stood at 1.42 against previous session’s close of
1.46.
India VIX moved up 1.66% to 13.9225 from 13.6950 in the previous
trading session.
Open interest on Nifty Futures stood at 22.47 million as against the
previous session’s close of 21.50 million.
The Indian rupee weakened against the dollar following losses in the
domestic equity market. Month end dollar demand from oil importers
also weighed on the domestic currency.
The euro inched down against the greenback as market participants
remained on the sidelines ahead of a testimony from the new U.S.
Federal Reserve chief which may determine as to what stance the U.S.
Federal Reserve may adopt moving forward.
Gold prices traded lower amid cautious stance ahead of the
congressional testimony of the new Federal Reserve Chairman.
Brent Crude prices were hurt amid concerns over supply glut after the
IEA predicted that the United States will surpass Russia as the world’s
biggest oil producer by 2019, if not sooner.
Thank you for
your time.