08 Aug 2019
Markets for You
Global Indices
Global Indices 07-Aug Prev_Day Abs. Change
% Change
#
Russell 3000 1,270 1,265 5 0.40
Nasdaq 7,863 7,833 30 0.38
FTSE 7,199 7,172 27 0.38
Nikkei 20,517 20,585 -69 -0.33
Hang Seng 25,997 25,976 21 0.08
Indian Indices 07-Aug Prev_Day Abs. Change
% Change
#
S&P BSE Sensex 36,691 36,977 -286 -0.77
Nifty 50 10,856 10,948 -93 -0.85
Nifty 100 10,971 11,059 -88 -0.80
Nifty 500 8,855 8,919 -64 -0.72
Nifty Bank 27,702 28,022 -320 -1.14
S&P BSE Power 1,904 1,906 -3 -0.15
S&P BSE Small Cap 12,482 12,495 -14 -0.11
S&P BSE HC 12,570 12,506 64 0.51
Date P/E Div. Yield P/E Div. Yield
7-Aug 25.57 1.26 26.74 1.36
Month Ago 28.62 1.18 29.04 1.24
Year Ago 24.11 1.17 28.26 1.18
Nifty 50 Top 3 Gainers
Company 07-Aug Prev_Day
% Change
#
Zee Ente. 328 312 4.94
Lupin 782 751 4.14
Cipla 518 500 3.63
Nifty 50 Top 3 Losers Domestic News
Company 07-Aug Prev_Day
% Change
#
Indiabulls HFC 445 514 -13.35
M&M 518 549 -5.67
Tata Steel 382 402 -4.91
Advance Decline Ratio
BSE NSE
Advances 1114 854
Declines 1383 974
Unchanged 144 107
Institutional Flows (Equity)
Description (Cr)
YTD
FII Flows* 56671
MF Flows** 23818
*7
th
Aug 2019; **31
st
Jul 2019
Economic Indicator
YoY(%) Current Year Ago
CPI
3.18%
(Jun-19)
4.92%
(Jun-18)
IIP
3.10%
(May-19)
3.80%
(May-18)
GDP
5.80%
(Mar-19)
8.10%
(Mar-18)
08 August 2019
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
Nifty
0.20%
(Feb-19)
6.60%
(Dec-18)
Quarter Ago
Inflow/Outflow
2898
-1864
2.86%
(Mar-19)
• Indian equity markets lost because of growth concerns, even though
the Reserve Bank of India (RBI) cut interest rates by a more than expected
35 basis points. The central bank lowering GDP growth forecast for FY20
to below 7% hit sentiment.
• Key benchmark indices S&P BSE Sensex and Nifty 50 lost 0.77% and
0.85% to close at 36,690.50 and 10,855.50, respectively. S&P BSE Mid-
Cap and S&P BSE Small Cap lost 0.44% and 0.11%, respectively.
• The overall market breadth on BSE was weak with 1114 scrips
advancing and 1383 scrips declining. A total of 144 scrips remained
unchanged.
• On the BSE sectoral front, S&P BSE Capital Goods was the major gainer,
up 2.12%, followed by S&P BSE Telecom and S&P BSE Realty, which
gained 1.94% and 1.78%, respectively. S&P BSE Industrials and S&P BSE
Basic Materials gained 1.7% and 1.69%, respectively. S&P BSE Energy was
the major loser, down 0.68%, followed by S&P BSE IT and S&P BSE Teck,
down 0.2% and 0.15%, respectively. S&P BSE Oil & Gas lost 0.02%.
• The Monetary Policy Committee (MPC) lowered key policy repo rate by
35 bps from 5.75% to a more than nine-year low of 5.40% in its third bi-
monthly monetary policy review and decided to maintain its
accommodative stance on the monetary policy. This is the fourth
consecutive rate cut by the MPC in 2019 till date and the third in this
fiscal till Aug 2019. All members of the MPC unanimously voted for
reducing the key policy repo rate and maintaining the accommodative
stance of monetary policy. However, four members of the committee
advocated for a 35 bps rate cut while two members advocated for a 25
bps rate cut.
• MPC noted that private consumption which forms the basis of
aggregate demand and investment activity continued to remain subdued.
Also, the domestic economic activity has weakened and there are
concerns that it may lose momentum further on the back of rising trade
tensions and global economic slowdown. On the inflation front, MPC
expects retail inflation to remain below its medium-term target of 4% for
the next twelve months. Thus, the MPC decided to lower the key policy
repo rate to boost the growth prospects of the Indian economy as a
subdued inflation outlook gave MPC enough headroom to ease the
monetary policy.
• Cipla’s consolidated net profit rose to Rs. 447.15 crore for the quarter
ended Jun 30, 2019 compared with Rs. 445.61 crore in the year-ago
period. Total revenue from operations stood at Rs. 3,989.02 crore as
against Rs. 3,938.99 crore for the same period a year ago.
• Mahindra & Mahindra’s consolidated profit after tax declined 52.56% to
Rs. 894.11 crore in the first quarter ended Jun 30, 2019, hit by lower
vehicle sales. The company had posted a consolidated profit after tax of
Rs. 1,884.66 crore in the year-ago period.
• Lupin’s consolidated net profit rose 49.46% to Rs. 303.05 crore for the
quarter ended Jun 30, 2019, on account of robust sales in India and
overseas. The company had posted a net profit of Rs. 202.76 crore in the
year-ago period.
• Asian equity markets were mixed as investors turned cautious after
China's People's Bank set the yuan's official daily midpoint reference to a
slightly weaker point than expected. Today (as of Aug 8), Asian markets
were mixed as investors awaited the release of China’s trade data. Both
Nikkei and Hang Seng were trading up 0.62% and 1.16%, respectively (as
at 8.a.m. IST).
• European markets gained but the rise was restricted by trade war
concerns and falling bond yields. The fall in yields led to concerns over a
global economic slowdown.
• U.S. markets recovered a steep fall in the session to end flat as Chinese
yuan’s fall against the U.S. dollar was restricted. Also, bond yields
rebounded from a sharp decline, easing concerns over a slowdown in
economic growth.
Markets for You
FII Derivative Trade Statistics 07-Aug
(Rs Cr) Buy
Sell Open Int.
Index Futures 5601.34 6142.43 19902.61
Index Options 172573.48 171723.90 54414.86
Stock Futures 13532.37 12843.07 90031.56
Stock Options 5346.03 5287.72 4267.44
Total 197053.22 195997.12 168616.47
07-Aug Prev_Day
Change
Put Call Ratio (OI) 0.98 1.12 -0.14
Indian Debt Market
Put Call Ratio(Vol) 0.76 0.87 -0.11
07-Aug Wk. Ago Mth. Ago
Year Ago
Call Rate 5.50% 5.61% 5.56% 6.33%
T-Repo 5.52% 5.59% 5.58% NA
Repo 5.40% 5.75% 5.75% 6.50%
Reverse Repo 5.15% 5.50% 5.50% 6.25%
91 Day T-Bill 5.31% 5.65% 5.85% 6.77%
364 Day T-Bill 5.80% 5.93% 6.05% 7.23%
10 Year Gilt 6.37% 6.37% 6.69% 7.79%
G-Sec Vol. (Rs.Cr) 100742 59582 126281 26784
Currency Market Update
FBIL MIBOR* 5.75% 5.70% 5.69% 6.45%
3 Month CP Rate 5.85% 6.30% 6.90% 7.55%
5 Year Corp Bond 7.63% 7.70% 7.89% 8.63%
1 Month CD Rate 5.49% 5.71% 5.90% 6.60%
3 Month CD Rate 6.02% 6.21% 6.28% 7.20%
1 Year CD Rate 6.76% 6.86% 7.42% 7.95%
Commodity Market Update
Currency 07-Aug Prev_Day
Change
USD/INR 70.96 70.72 0.23
GBP/INR 86.23 85.99 0.23
EURO/INR 79.50 79.25 0.25
International News
JPY/INR 0.67 0.66 0.00
Commodity 07-Aug Wk Ago Mth. Ago
Year Ago
NYMEX Crude($/bl) 51.09 58.48 57.03 69.12
Brent Crude($/bl) 54.17 62.88 64.82 71.50
Gold( $/oz) 1501 1414 1400 1211
Gold(Rs./10 gm) 37039 34805 34655 29521
Source: Thomson Reuters Eikon
*As on previous trading day
Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.
08 August 2019
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Derivative Statistics- Nifty Options
Disclaimer:
Derivatives Market
Debt Watch
Currency Market
Commodity Prices
• Nifty Aug 2019 Futures stood at 10,874.25, a premium of 18.75 points
above the spot closing of 10,855.50. The turnover on NSE’s Futures and
Options segment rose to Rs. 15,34,441.36 crore on Aug 7, 2019,
compared with Rs. 9,66,435.49 crore on Aug 6, 2019.
• The Put-Call ratio stood at 0.83 compared with the previous session’s
close of 0.82.
• The Nifty Put-Call ratio stood at 0.98 compared with the previous
session’s close of 1.12.
• Open interest on Nifty Futures stood at 20.81 million, compared with
the previous session’s close of 20.93 million.
• Bond yields increased on account of ambiguity over future policy rate
cuts, both in terms of quantum and timing, after the rate-cutting panel
trimmed rates in the policy meet. Besides, profit booking by investors also
dampened sentiments
• Yield on the 10-year benchmark paper (7.26% GS 2029) rose 3 bps to
close at 6.37% compared with the previous close of 6.34% after trading in
a range of 6.27% to 6.40%.
• Banks borrowings under the repo window of the LAF stood at Rs. 3,504
crore (gross) on Aug 7, 2019 compared with borrowings of Rs. 6,430 crore
(gross) on Aug 6, 2019. Sale of securities under RBI's reverse repo window
stood at Rs. 19,750 crore on Aug 6, 2019.
• Banks borrowed Rs. 1,350 crore under the central bank’s Marginal
Standing Facility on Aug 6, 2019 compared with borrowings of Rs. 375
crore on Aug 5, 2019.
• The rupee weakened against the greenback for the fifth consecutive
session following losses in the domestic equity market. However, selling
of the greenback by state run banks restricted further losses.
• The euro inched down against the greenback after industrial output for
Germany fell more than expected in Jun 2019. Concerns that escalating
trade tensions between U.S. and China may lead to a slowdown in global
growth also kept the euro under pressure.
• Gold prices surged to its highest level in more than six years on
concerns over a slowdown in global growth
• Brent crude prices plummeted as demand outlook of commodity took
a hit on concerns that ongoing trade tensions between U.S. and China
may lead to global economic slowdown.
• A U.S. Federal Reserve report showed consumer credit rose by less
than expected in Jun 2019. Consumer credit rose by $14.6 billion in Jun
after climbing by $17.8 billion in May 2019.
• Destatis data showed Germany's industrial production declined more
than expected in Jun 2019. Industrial production fell 1.5% MoM in Jun,
reversing a 0.1% rise in May 2019.
• People's Bank of China data showed China's foreign exchange reserves
declined in Jul 2019 as the dollar strengthened against major currencies.
Reserves decreased to $3.104 trillion at the end of Jul from $3.119
trillion in Jun 2019.
Markets for You
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