Dear
Trader…
Indian equities ended sharply lower on Monday for the 4th
consecutive session, with the Nifty Future closing at 23,162.10, down 346
points (1.44%). With this, Nifty future has fallen almost 5% in the last 7
trading sessions, hitting a 7-month low. The sell-off was broad-based, with all
sectoral indices in the red. Continued foreign institutional investor (FII)
selling crossed Rs. -20,000 Cr this month, contributing to the negative
sentiments.
Indian rupee touched a fresh low of 86.40 against the dollar
during the session, pressured by stronger-than-expected US non-farm payrolls
data which further dampened the sentiment, resulting in a firm dollar index.
Meanwhile, oil prices hit their highest level in over three months amid
expanded US sanctions disrupting Russian crude supplies, further adding to
global uncertainties.
India’s annual retail inflation eased to 5.22% in December,
down from 5.48% in the previous month. This moderation in inflation could
provide some downside support to the markets. However, tomorrow’s US PPI
figures are expected keep investors cautious.
Nifty futures opened at 23400.00 points against the previous
close of 23500.65 and opened at a low of 23112.10 points. Nifty Future closed
with an average movement of 296.20 points and a decline of around 338.55 points
and 23162.10 points…!!
On the NSE, the midcap 100 index will decline 4.02% and smallcap
100 index is closing
decline 4.10%. Speaking of various sectoral
indices, Realty, Consumer Durables, Media, Metal, PSU Bank, Auto, OIL & GAS
and Pharma stocks saw heavy selling on the NSE, while all other sectoral
indices also closed lower.
At the start
of intra-day trading, February gold opened at Rs.78259, fell from a high of Rs.78766
points to a low of Rs.78259 with a rise of 67 points, a trend of around Rs.78490
and March Silver opened at Rs.92329, fell from a high of Rs.92667 points to a
low of Rs.90879 with a decline of 1453 points, a trend of around Rs.91053.
Meanwhile, The
FIIs as per Monday’s data were net sellers in equity segment, while they were
net buyers in debt segment, according to data released by the NSDL. In
equity segment, the gross buying was of Rs 11362.85 crore against gross selling
of Rs 12784.25 crore. Thus, FIIs stood as net sellers of Rs 1421.40 crore in
equities.
In the debt
segment, the gross purchase was of Rs 2582.47 crore with gross sales of Rs
1982.61 crore. Thus, FIIs stood as net buyers of Rs 599.86 crore in debt. Of
the total debt, FIIs stood as net buyers in Debt-General Limit segment at Rs
103.84 crore, they stood at net buyers in Debt-VRR segment at Rs 251.73 crore,
while net buyers in Debt-FAR segment at Rs 244.29 crore.
In the
hybrid segment, the gross buying was of Rs 44.17 crore against gross selling of
Rs 14.26 crore. Thus, FIIs stood as net buyers of Rs 29.91 crore in hybrid
segment.
Technically,
the important key resistances are placed in Nifty future are at 23202 levels,
which could offer for the market on the higher side. Sustainability above this
zone would signal opens the door for a directional up move with immediate
resistances seen at 23272 – 23303 levels. Immediate support is placed at 23088
– 23008 levels.
Past Performance is not an Indicator of Future Returns. The
securities quoted are for illustration only and are not recommendatory.
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