Markets for You
Global Indices
Global Indices 06-Jun Prev_Day Abs. Change
% Change
Dow Jones 25,721 25,540 181 0.71
Nasdaq 7,616 7,575 40 0.53
FTSE 7,260 7,220 40 0.55
Nikkei 20,774 20,776 -2 -0.01
Hang Seng 26,965 26,895 70 0.26
Indian Indices 06-Jun Prev_Day Abs. Change
% Change
S&P BSE Sensex 39,530 40,084 -554 -1.38
Nifty 50 11,844 12,022 -178 -1.48
Nifty 100 11,933 12,123 -190 -1.56
Nifty Bank 30,857 31,589 -732 -2.32
SGX Nifty 11,885 12,072 -187 -1.55
S&P BSE Power 2,010 2,020 -10 -0.49
S&P BSE Small Cap 14,673 14,911 -238 -1.60
S&P BSE HC 13,108 13,293 -185 -1.39
Date P/E Div. Yield P/E Div. Yield
6-Jun 28.13 1.21 29.29 1.23
Month Ago 28.38 1.21 28.95 1.13
Year Ago 22.92 1.15 27.06 1.23
Nifty 50 Top 3 Gainers
Company 06-Jun Prev_Day
% Change
Coal India 269 263 2.18
Titan Industries 1269 1248 1.72
Hero Moto 2789 2753 1.31
Nifty 50 Top 3 Losers Domestic News
Company 06-Jun Prev_Day
% Change
GAIL 316 358 -11.71
Indiabulls HFC 736 796 -7.62
IndusInd Bank 1523 1638 -7.04
Advance Decline Ratio
Advances 740 469
Declines 1859 1382
Unchanged 132 98
Institutional Flows (Equity)
Description (Cr)
FII Flows* 79532
MF Flows** 2124
Jun 2019; **4
Jun 2019
Economic Indicator
YoY(%) Current Year Ago
Since May-17, MOSPI has revised base year of IIP & WPI from 2004-05 to 2011-12, and for CPI from
2010 to 2012
07 June 2019
Indian Equity Market
Indices Performance
P/E Dividend Yield
Indian equity markets witnessed the highest single day decline in 2019
as investors got cautious over the Reserve Bank of India cutting its
economic growth for FY20. The central bank cut repo rate by 25 basis
points at its meeting, which was along expected lines. Sentiment was also
hurt as there was no announcement by the Reserve Bank of India
regarding liquidity issues that have been bogging the non-banking
financial companies (NBFCs).
Key benchmark indices S&P BSE Sensex and Nifty 50 fell 1.38% and
1.48% to close at 39,529.72 and 11,843.75, respectively. S&P BSE Mid-Cap
and S&P BSE Small Cap fell 1.77% and 1.60%, respectively.
The overall market breadth on BSE was weak with 740 scrips advancing
and 1,859 scrips declining. A total of 133 scrips remained unchanged.
On the BSE sectoral front, all the sectors lost. S&P BSE Oil & Gas was the
major loser, down 3.04%, followed by S&P BSE Capital Goods and S&P BSE
Bankex, which fell 2.81% and 2.34%, respectively. S&P BSE Finance and
S&P BSE Industrials fell 2.27% and 2.13%, respectively. S&P BSE Utilities
and S&P BSE Basic Materials fell 1.94% and 1.89%, respectively.
The seasonally adjusted Nikkei India Services Business Activity Index fell
from 51 in Apr 2019 to 50.2 in May 2019, thereby marking a 1-year low.
The seasonally adjusted Nikkei India Composite PMI Output Index that
considers both the manufacturing sector and the services sector came in
at 51.7 in May 2019, thereby unchanged from Apr 2019. Disruptions amid
elections in the earlier part of May dampened growth of new work
intakes. New business inflows at service providers grew at the slowest
pace in eight months.
The Monetary Policy Committee (MPC) unanimously lowered key policy
repo rate by 25 bps for the third consecutive time in its second bi-monthly
monetary policy review for FY20. MPC also changed its stance on
monetary policy from neutral to accommodative. The key policy repo rate
thus stands at a near 9-year low of 5.75%. The reverse repo thus stands
adjusted at 5.50% while the bank rate and the marginal standing facility
rate stood at 6.0%.
MPC noted that the growth drivers of the Indian economy has weakened
significantly and also added that investment activity has slowed down
sharply. In addition, MPC also expressed concerns over the sustained and
continued moderation of growth in private consumption. But on the
inflation front, MPC noted that the retail inflation trajectory still remains
well below its medium-term target of 4% even after it took into
consideration the expected transmission of the past two rate cuts in the
previous two monetary policy reviews.
MPC modified its forecasts for retail inflation for the first half of FY20 to
a range of 3.0% to 3.1% from the earlier projection of 2.9% to 3.0%.
However, the retail inflation projection for the second half was lowered to
3.4% to 3.7% from the earlier projection of 3.5% to 3.8%.
MPC noted that the retail inflation will be dictated by several factors.
Such factors are uncertainties pertaining to the monsoons, unseasonal
spikes in the price of vegetables, global crude oil prices and its impact on
the domestic prices, volatility in the global financial markets and the
government’s ability to adher to the fiscal consolidation roadmap. MPC is
of the view that vegetable prices grew in Apr-19 and if the same continued
to sustain then the domestic inflationary pressures may go up.
Markets for You
Asian markets traded in the mixed as the trade tension resurfaced after
U.S. and Mexico failed to reach an agreement during their tariff talks.
Moreover, the International Monetary Fund (IMF) lowered China's growth
forecast for this year and next year, due to uncertainty related to trade
tensions. Although, higher cues from overnight U.S. markets restricted the
gains.Today (as of Jun 07), Asian markets opened higher following positive
developments overnight on U.S.-Mexico negotiations. Markets in China
and Hong Kong are closed for a holiday. Nikkei was trading up 0.23% (as at
8.a.m. IST).
As per the last close, European markets closed mixed after European
Central Bank (ECB) revised its forward guidance in its latest policy meet.
ECB announced to delay its first post-crisis interest rate hike until middle
of 2020 and announced generous terms on a new batch of long-term
loans for banks.
As per the last close, U.S markets closed higher after a media report that
U.S. is considering delaying its earlier plans of charging 5% levy on all
Mexican imports.
FII Derivative Trade Statistics 06-Jun
(Rs Cr) Buy
Sell Open Int.
Index Futures 2351.80 3504.65 20161.41
Index Options 189427.51 187823.94 52634.15
Stock Futures 12157.84 12906.56 88794.27
Stock Options 4028.42 4036.96 3874.97
Total 207965.57 208272.11 165464.80
06-Jun Prev_Day
Put Call Ratio (OI) 1.05 1.54 -0.49
Indian Debt Market
Put Call Ratio(Vol) 0.86 0.96 -0.10
06-Jun Wk. Ago Mth. Ago
Year Ago
Call Rate 5.85% 5.92% 5.94% 5.88%
T-Repo 5.73% 5.98% 5.77% 5.71%
Repo 5.75% 6.00% 6.00% 6.25%
Reverse Repo 5.50% 5.75% 5.75% 6.00%
91 Day T-Bill 5.86% 6.18% 6.42% 6.52%
364 Day T-Bill 6.02% 6.29% 6.52% 6.99%
10 Year Gilt 6.93% 7.14% 7.39% 7.92%
G-Sec Vol. (Rs.Cr) 105050 28574 25485 25056
Currency Market Update
FBIL MIBOR* 5.95% 6.00% 6.09% 5.96%
3 Month CP Rate 6.50% 6.80% 7.95% 7.80%
5 Year Corp Bond 7.90% 8.12% 8.52% 8.67%
1 Month CD Rate 6.04% 6.46% 6.93% 7.35%
3 Month CD Rate 6.26% 6.56% 7.21% 7.54%
1 Year CD Rate 7.11% 7.18% 7.60% 8.32%
Commodity Market Update
Currency 04-Jun Prev_Day
USD/INR 69.29 69.43 -0.20
GBP/INR 87.83 87.71 0.13
EURO/INR 78.00 77.56 0.57
International News
JPY/INR 0.64 0.64 0.12
Commodity 06-Jun Wk Ago Mth. Ago
Year Ago
NYMEX Crude($/bl) 52.54 56.42 62.25 64.75
Brent Crude($/bl) 64.21 70.79 72.09 72.32
Gold( $/oz) 1335 1289 1280 1296
Gold(Rs./10 gm) 32611 31674 31490 30660
Source: Thomson Reuters Eikon
*As on previous trading day
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Derivative Statistics- Nifty Options
07 June 2019
Derivatives Market
Debt Watch
Currency Market
Commodity Prices
Nifty Jun 2019 Futures were at 11,884.05, a premium of 40.30 points,
above the spot closing of 11,843.75. The turnover on NSE’s Futures and
Options segment increased to Rs. 24,74,906.96 crore on Jun 6, 2019,
compared with Rs. 9,48,525.56 crore on Jun 4, 2019.
The Put-Call ratio stood at 0.80 compared with the previous session’s
close of 0.94.
The Nifty Put-Call ratio stood at 1.05 compared with the previous
session’s close of 1.54.
Open interest on Nifty Futures stood at 20.23 million as against the
previous session’s close at 20.17 million.
Bond yields rose as the Monetary Policy Committee reduced the key
policy rate by 25 basis points to 5.75% and changed the policy stance to
accommodative. This raised speculations of further rate cuts in coming
Yield on the 10-year benchmark paper (7.26% GS 2029) declined 9 bps
to 6.93% compared with the previous close of 7.02% after trading in a
range of 6.87% to 7.03%.
Banks’ borrowings under the repo window of the Liquidity Adjustment
Facility (LAF) stood at Rs. 4,256 crore (gross) on Jun 6, 2019, compared
with Rs. 5,286 crore (gross) as on Jun 4, 2019. Sale of securities under
Reserve Bank of India’s (RBI) reverse repo window stood at Rs. 14,866
crore on Jun 4, 2019.
The Indian rupee remained steady as the key policy rate cut of 25 basis
points and change in policy stance to accommodative by the Monetary
Policy Committee came in line with expectations.
The euro continues to rise on dollar weakness following the U.S Fed
chairman’s indication of a rate cut soon in the year. The euro was last
seen trading at 1.1236, up 0.15% compared with the previous close of
Gold prices continue to edge higher against the greenback due to the
ongoing trade negotiation and rising tension between U.S. and China.
Brent crude prices recovered, supported by OPEC and its allies’ signal of
extending their production cut plan to support oil prices.
A report from the Institute for Supply Management showed that U.S.
non-manufacturing index surprisingly grew to 56.9 in May 2019 as against
55.5 in Apr 2019. The increase reflects faster rate of job growth in the
service sector, with the employment index surging up to 58.1 in May as
against 53.7 in Apr.
A report from the IHS Markit showed that U.K. service sector surpassed
market expectations and grew to 51.0 in May 2019 from 50.4 in Apr 2019.
However, overall private sector activity weakened due to the contractions
in manufacturing and construction. All sector output index fell from 50.9
in Apr 2019 to 50.7 in May 2019.
Markets for You
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