01 Nov 2018
Markets for You
Global Indices
Global Indices 31-Oct Prev_Day Abs. Change
% Change
#
Dow Jones 25,116 24,875 241 0.97
Nasdaq 7,306 7,162 144 2.01
FTSE 7,128 7,036 92 1.31
Nikkei 21,920 21,457 463 2.16
Hang Seng 24,980 24,586 394 1.60
Indian Indices 31-Oct Prev_Day Abs. Change
% Change
#
S&P BSE Sensex 34,442 33,891 551 1.63
Nifty 50 10,387 10,198 188 1.85
Nifty 100 10,605 10,414 191 1.83
Nifty Bank 25,153 24,808 346 1.39
SGX Nifty 10,391 10,203 188 1.84
S&P BSE Power 1,958 1,945 13 0.69
S&P BSE Small Cap 14,201 14,008 193 1.38
S&P BSE HC 14,727 14,436 291 2.01
Date P/E Div. Yield P/E Div. Yield
31-Oct 22.01 1.30 25.00 1.27
Month Ago 23.37 1.23 26.44 1.23
Year Ago 24.76 1.17 26.38 1.08
Nifty 50 Top 3 Gainers
Company 31-Oct Prev_Day
% Change
#
Tech Mahindra 744 685 8.58
Indiabulls HFC 835 769 8.51
United Phos 674 637 5.90
Nifty 50 Top 3 Losers Domestic News
Company 31-Oct Prev_Day
% Change
#
Coal India 266 276 -3.52
Dr.Reddy 2542 2594 -2.00
Tata Steel 554 565 -1.89
Advance Decline Ratio
BSE NSE
Advances 1619 1196
Declines 943 607
Unchanged 136 96
Institutional Flows (Equity)
Description (Cr)
YTD
FII Flows* -41751
MF Flows** 110236
*31
st
Oct 2018; **30
th
Oct 2018
Economic Indicator
YoY(%) Current Year Ago
CPI
3.77%
(Sep-18)
3.28%
(Sep-17)
IIP
4.30%
(Aug-18)
4.80%
(Aug-17)
GDP
8.20%
(Jun-18)
5.60%
(Jun-17)
01 November 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
Sensex
3.80%
(May-18)
7.70%
(Mar-18)
Quarter Ago
Inflow/Outflow
1311
-1536
4.92%
(Jun-18)
• The government is planning to carry out at least two mergers of central
public sector enterprises (CPSEs) in the power sector. This is being done
to fasten the disinvestment process and meet targets. This may lead to
NTPC acquiring hydropower firm SJVN as the former has shown interest.
The government holds 63.79% stake in SJVN. A merger of Power Finance
Corporation (PFC) and REC Ltd is also on the cards. The government’s
stake in PFC is 65.64% and REC is 57.99%.
• According to The Unique Identification Authority of India (UIDAI) chief
executive officer, the planned 'Aadhaar Seva Kendras', which will be
similar to Passport Seva Kendras, will give "hassle-free" enrolment and
update facilities. This will ensure ease in Aadhaar-related services to
residents. UIDAI is planning to set up Aadhaar Seva Kendras under a
mega project involving opening of facilitation centres for enrolment and
update services in 53 cities and towns pan India.
• The Reserve Bank of India (RBI) has announced it will inject Rs. 12,000
crore into the system through purchase of government securities on Nov
1, 2018, ahead of the Diwali festival. The central bank had announced
last week that it will inject Rs. 40,000 crore in Nov through purchase of
government securities. This is being done to meet festive season demand
for funds. The result of the auction will be announced on the same day
and successful participants will get payment the following day.
• India will need around USD 4.5 trillion till 2040 for development of
infrastructure sector in the country, Niti Aayog CEO. He further said that
there is an urgent need to restructure entire existing public private
partnership (PPP) framework as there are delays in completion of
infrastructure projects due to disputes.
Markets for You
• Asian equity markets gained on economic data and corporate earnings.
Even weak Chinese economic data didn’t sour the sentiment. The
Chinese security regulator’s steps to support the economy buoyed the
markets. Today (as of Nov 1), Asian markets opened almost higher amid
positive trade following gains in Wall Street in the last session.
Technology stocks remained in focus. Hangseng grew 1.40%, however,
Nikkei fell 0.51% (as at 8.a.m. IST).
• As per the last close, European markets closed higher amid a strong
batch of corporate earnings reports. Gains in basic resources stocks
boosted the indices. Strength in Wall Street also led to the gains.
• As per the last close, U.S markets closed higher following positive
reaction to strong earnings news from several U.S. majors. Stronger than
expected private sector job growth in Oct 2018 further improved market
sentiment.
• Domestic equity markets gained after the government cleared air over
the differences with the Reserve Bank of India (RBI), saying RBI’s
independence was “an essential and accepted governance requirement”.
This calmed investors worried over the exchange of strong words
between the government and the central bank in the past few days. The
government has been trying to change certain rules that come under
RBI’s purview, which hasn’t gone down well with the central bank’s
officials.
• Key benchmark indices S&P BSE Sensex and Nifty 50 gained 1.63% and
1.85% to close at 34,444.05 and 10,386.60, respectively. S&P BSE Mid-
Cap gained 1.56%, while S&P BSE Small Cap increased 1.38%.
• The overall market breadth on BSE was strong with 1619 scrips
advancing and 943 scrips declining. A total of 136 scrips remained
unchanged.
• On the BSE sectoral front, all the sectors but one gained. S&P BSE
Information Technology was the major gainer, up 3.53%, followed by S&P
BSE Teck and S&P BSE Consumer Durables, up 3.18% and 2.32%,
respectively. S&P BSE Finance and S&P BSE Healthcare gained 2.23% and
2.01%, respectively. S&P BSE Metal was the loser, down 1.4%.
FII Derivative Trade Statistics 31-Oct
(Rs Cr) Buy
Sell Open Int.
Index Futures 3355.18 3154.42 24136.73
Index Options 102477.59 101973.62 55116.90
Stock Futures 15535.84 15401.63 79409.70
Stock Options 6379.86 6211.58 5103.46
Total 127748.47 126741.25 163766.79
31-Oct Prev_Day
Change
Put Call Ratio (OI) 1.56 1.49 0.06
Indian Debt Market
Put Call Ratio(Vol) 0.93 0.73 0.19
31-Oct Wk. Ago Mth. Ago
Year Ago
Call Rate 6.43% 6.50% 6.51% 5.88%
CBLO 6.42% 6.47% 4.36% 5.97%
Repo 6.50% 6.50% 6.50% 6.00%
Reverse Repo 6.25% 6.25% 6.25% 5.75%
91 Day T-Bill 6.93% 6.94% 6.95% 6.10%
364 Day T-Bill 7.47% 7.45% 7.64% 6.20%
10 Year Gilt 7.85% 7.87% 8.02% 6.86%
G-Sec Vol. (Rs.Cr) 31470 41414 30033 38712
Currency Market Update
FBIL MIBOR 6.60% 6.60% 6.60% 6.00%
3 Month CP Rate 8.65% 8.25% 8.15% 6.79%
5 Year Corp Bond 8.75% 8.81% 9.02% 7.55%
1 Month CD Rate 6.99% 7.20% 6.62% 6.06%
3 Month CD Rate 7.51% 8.38% 7.43% 6.20%
1 Year CD Rate 8.39% 8.37% 8.40% 6.57%
Commodity Market Update
Currency 31-Oct Prev_Day
Change
USD/INR 73.99 73.57 0.42
GBP/INR 94.10 94.18 -0.08
EURO/INR 83.93 83.71 0.21
International News
JPY/INR 0.65 0.65 0.00
Commodity 31-Oct Wk Ago Mth. Ago
Year Ago
NYMEX Crude($/bl) 65.26 66.46 73.11 54.31
Brent Crude($/bl) 74.98 78.23 83.21 61.79
Gold( $/oz) 1214 1234 1192 1271
Gold(Rs./10 gm) 31735 31692 30296 29333
Source: Thomson Reuters Eikon
Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.
01 November 2018
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Derivative Statistics- Nifty Options
Disclaimer:
Derivatives Market
Debt Watch
Currency Market
Commodity Prices
• Bond yield increased following news that the RBI’s governor is
considering various options including stepping down from his position
after the government’s reported intervention under the RBI Act.
• Yield on the 10-year benchmark paper (7.17% GS 2028) rose 2 bps to
7.85% compared with the previous close of 7.83% after trading in the
range of 7.84% to 7.89%.
• Banks’ borrowings under the repo window of the Liquidity Adjustment
Facility (LAF) stood at Rs. 3,976 crore (gross) on Oct 31 compared with a
borrowing of Rs. 3,876 crore (gross) on Oct 30. Sale of securities under
the Reserve Bank of India’s (RBI) reverse repo window stood at Rs.
13,918 crore on Oct 30.
• Banks did not borrow under the central bank’s Marginal Standing
Facility on Oct 30 compared with borrowing of Rs. 4 crore on Oct 29.
• National Bureau of Statistics data showed manufacturing sector in
China continued to expand in Oct 2018 with a manufacturing PMI score
of 50.2. This missed expectations for 50.6 and was lower than 50.8 in
Sep 2018.
• According to payroll processor ADP’s report, employment in the U.S.
private sector grew significantly in Oct 2018. ADP said private
employment increased by 227,000 jobs in Oct after rising by 218,000
jobs in Sep 2018.
Markets for You
• Nifty Nov 2018 Futures settled at 10,398.4, a premium of 11.80 points,
above the spot closing of 10,386.60. The turnover on NSE’s Futures and
Options segment increased to Rs. 10,53,926.14 on Oct 31 compared with
Rs. 7,19,557.92 on Oct 30.
• The Put-Call ratio stood at 0.88, compared with previous close of 0.80.
• The Nifty Put-Call ratio stood at 1.56 compared with previous close of
1.49.
• India VIX declined 2.81% to 19.9250 from 20.5025 in previous trading
session.
• Open interest on Nifty Futures stood at 23.98 million as against
previous close at 22.75 million.
• The Indian rupee declined on reports that the central bank chief is
considering various options including stepping down from his position
following the finance minister’s critical comments and intervention under
the RBI Act on the RBI’s functioning. The rupee closed at 73.95 down
0.40% compared with the previous close of 73.68.
• The euro edged down against dollar as the latter strengthened from
strong U.S. consumer confidence data, which added to its safe-haven
appeal. The euro was last seen trading at 1.1338, down 0.05% compared
with the previous close of 1.1344.
• Gold prices edged lower with the rebound in the global equity market.
• Brent Crude prices marginally moved up with the impending U.S.
sanction on Iran which kicks in Nov.
Thank you for
your time.