Markets For You of 18 September 2020 – Nippon India Mutual Fund

Global Indices

Global Indices 18-Sep Prev_Day Abs. Change

% Change

Russell 3000 1,682 1,699 -17 -1.01

Nasdaq 10,793 10,910 -117 -1.07

FTSE 6,007 6,050 -43 -0.71

Nikkei 23,360 23,319 41 0.18

Hang Seng 24,455 24,341 115 0.47

Indian Indices 18-Sep Prev_Day Abs. Change

% Change

S&P BSE Sensex 38,846 38,980 -134 -0.34

Nifty 50 11,505 11,516 -11 -0.10

Nifty 100 11,640 11,646 -6 -0.05

Nifty 500 9,560 9,567 -7 -0.08

Nifty Bank 22,031 22,320 -289 -1.30

S&P BSE Power 1,708 1,694 14 0.82

S&P BSE Small Cap 15,300 15,350 -50 -0.32

S&P BSE HC 20,405 19,715 690 3.50

Date P/E Div. Yield P/E Div. Yield

18-Sep 28.56 0.99 32.98 1.42

Month Ago 27.75 1.00 32.03 1.45

Year Ago 25.85 1.26 26.66 1.42

Nifty 50 Top 3 Gainers

Company 18-Sep Prev_Day

% Change

Dr.Reddy 5333 4827 10.48

Cipla 806 752 7.29

Adani Ports & SEZ 358 346 3.40

Nifty 50 Top 3 Losers Domestic News

Company 18-Sep Prev_Day

% Change

HDFC Bank 1057 1084 -2.43

Kotak Bank 1277 1305 -2.15

Bajaj Finserv Limited 5888 6007 -1.97

Advance Decline Ratio

BSE NSE

Advances 1267 798

Declines 1471 1050

Unchanged 172 114

Institutional Flows (Equity)

Description (Cr)

YTD

FII Flows* 37895

MF Flows** 16109

*18

Sep 2020; **16

Sep 2020

Economic Indicator

YoY(%) Current Year Ago

CPI

6.69%

(Aug-20)

3.28%

(Aug-19)

IIP

-10.40%

(Jul-20)

4.90%

(Jul-19)

GDP

-23.90%

(Jun-20)

5.20%

(Jun-19)

[1]

Data as on 17 Sep, 2020

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

21 September 2020

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

-57.30%

(Apr-20)

3.10%

(Mar-20)

Quarter Ago

Inflow/Outflow

-393

-131

6.27%

(May-20)

• Indian equity markets closed in the red as worries about a resurgence in

coronavirus cases and lingering disappointment that U.S. Fed merely

affirmed its monetary support, without promising any new stimulus, kept

investors wary.

• Key benchmark indices S&P BSE Sensex and Nifty 50 lost 0.34% and 0.76%

to close at 38,845.82 and 11,516.10 respectively.

• The overall market breadth on BSE was weak with 1,267 scrips advancing

and 1,471 scrips declining. A total of 172 scrips remained unchanged.

• On the BSE sectoral front, S&P BSE Healthcare was the major gainer, up

3.5% followed by S&P BSE Telecom, up 2.69% and S&P BSE Realty, up

1.96%. S&P BSE Finance was the major loser, down 1.16% followed by S&P

BSE Bankex, down 1.13% and S&P BSE Consumer Durables, down 0.69%.

• According to the Labor Ministry, retail inflation for farm workers and rural

labourers fell to 6.32% and 6.28%, respectively, in Aug 2020 compared

6.39% and 6.23% year ago period mainly due to ease in prices of some food

items.

• For 2HFY21, a major credit rating agency has revised its banking sector

outlook to 'negative' from 'stable.' In view of an anticipated increase in

stressed assets, higher credit costs, weaker earnings due to interest

reversals and lower fee income, and subdued growth prospects, the ratings

agency said this revision was done. Even for most public-sector banks (PSBs)

the capital buffers remain modest. As per the agency, the increase in

stressed assets attributable to the pandemic is projected to double the

banking system 's credit costs relative to FY21 's current pre-Covid-19

levels.

• According to the Ministry of Commerce and Industry, the central

government raised the foreign direct investment (FDI) cap in defence

sector from 49% to 74% on the automatic route and over 74% on the

government route. This will boost Ease of Doing Business and contribute to

growth of investment, income and employment.

• The Lok Sabha passed two bills that would allow farmers to directly market

their produce and obtain better prices. Union Minister of Agriculture &

Farmers’ Welfare introduced the Farmers' Produce Trade and Commerce

(Promotion and Facilitation) Bill, 2020 and The Farmers (Empowerment and

Protection) Agreement of Price Assurance and Farm Services Bill, 2020 in

Lok Sabha. The bills will replace ordinances that were passed in June 2020.

• Most of the Asian markets closed higher amid waning coronavirus concerns

and expectations that new Prime Minister's administration will ensure

political stability in Japan. Chinese markets rose on hopes of fresh

supportive measures to boost the coronavirus-ravaged economy. Today (as

on Sep 21), Asian markets were trading mixed as investors await the release

of China’s benchmark lending rate. While Nikkei is closed on holiday, Hang

Seng was trading higher 0.12% (as at 8 a.m. IST).

• European markets fell amid rising worries about a surge in coronavirus

cases across Europe and several other parts of the world, and growing

uncertainty about the pace of economic recovery.

• U.S. markets fell partially due to a continued sharp fall in technology stocks.

Market participants also continued to express renewed concerns about the

economic outlook following the U.S. Federal Reserve's monetary policy

announcement on Wednesday.

Markets for You

FII Derivative Trade Statistics 18-Sep

(Rs Cr) Buy

Sell Open Int.

Index Futures 3643.78 4316.71 11330.26

Index Options 299683.57 297101.84 58057.66

Stock Futures 13088.67 14247.27 86655.28

Stock Options 6259.20 6187.49 8444.88

Total 322675.22 321853.31 164488.08

18-Sep Prev_Day

Change

Put Call Ratio (OI) 1.37 1.30 0.06

Put Call Ratio(Vol) 1.02 1.01 0.00

18-Sep Wk. Ago Mth. Ago

Year Ago

Call Rate 3.41% 3.41% 3.42% 5.36%

T-Repo 3.22% 3.20% 3.20% 5.30%

Repo 4.00% 4.00% 4.00% 5.40%

Reverse Repo 3.35% 3.35% 3.35% 5.15%

91 Day T-Bill 3.31% 3.28% 3.25% 5.26%

364 Day T-Bill 3.63% 3.59% 3.48% 5.60%

10 Year Gilt 6.03% 6.00% 5.99% 6.62%

G-Sec Vol. (Rs.Cr) 37427 30587 22729 50530

FBIL MIBOR

[1]

3.67% 3.77% 3.79% 5.45%

3 Month CP Rate 3.55% 3.50% 3.50% 5.70%

5 Year Corp Bond 6.76% 6.75% 6.68% 7.54%

1 Month CD Rate 3.34% 3.35% 3.09% 5.35%

3 Month CD Rate 3.28% 3.44% 3.27% 5.63%

1 Year CD Rate 3.90% 3.88% 3.80% 6.41%

Currency 18-Sep Prev_Day

Change

USD/INR 73.30 73.70 -0.41

GBP/INR 95.06 95.45 -0.38

EURO/INR 86.88 86.76 0.12

JPY/INR 0.70 0.70 0.00

Commodity 18-Sep Wk Ago Mth. Ago

Year Ago

NYMEX Crude($/bl) 41.04 37.28 42.84 58.14

Brent Crude($/bl) 41.97 38.92 45.91 65.18

Gold( $/oz) 1950 1942 2001 1494

Gold(Rs./10 gm) 51619 51350 53752 37542

Source: Refinitiv

[1]

Data as on 17 Sep, 2020

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

Readers are requested to click here for ICRA Analytics Ltd disclaimer

21 September 2020

Derivative Statistics- Nifty Options

Disclaimer:

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Debt Watch

Currency Market

Commodity Prices

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Currency Market Update

Commodity Market Update

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The information herein is meant only for general reading purposes and contains all factual and statistical information pertaining to Industry and markets which have been obtained from independent third party sources

and which are deemed to be reliable. The information provided cannot be considered as guidelines, recommendations or as a professional guide for the readers. It may be noted that since Nippon Life India Asset

Management Limited (NAM India) has not independently verified the accuracy or authenticity of such information or data, or for that matter the reasonableness of the assumptions upon which such data and

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information contained in this material.

• Nifty Sep 2020 Futures stood at 11,515.25, a premium of 10.30 points

above the spot closing of 11,504.95. The turnover on NSE’s Futures and

Options segment fell to Rs. 13,24,093.29 crore on September 18, 2020,

compared with Rs. 39,07,881.84 crore on September 17, 2020.

• The Put-Call ratio stood at 0.91 compared with the previous session’s close

of 0.85.

• The Nifty Put-Call ratio stood at 1.37 compared with the previous session’s

close of 1.3.

• Open interest on Nifty Futures stood at 11.71 million, compared with the

previous session’s close of 13.06 million.

• Bond yields fell after Reserve Bank of India (RBI) announced the auction of

second open market operations (OMO) purchase on Thursday.

• Yield on the 10-year benchmark paper (5.77% GS 2030) fell 2 bps to 6.01%

from the previous close of 6.03% after moving in a range of 5.99% to 6.02%.

• RBI conducted the auction of government securities-5.22% GS 2025, 6.19%

GS 2034 and 7.16% GS 2050 for the notified of Rs. 30,000 crore, which was

oversubscribed. Cut-off stood at 99.05/5.45%, 98.22/6.38% and

105.28/6.75%, respectively. Green shoe of Rs. 2000 crore has been

exercised in 6.19% GS 2034.

• Data from Reserve Bank of India showed that India's foreign exchange

reserves fell to $541.66 billion as of the week ended Sep 11, against $

542.01 billion in the previous week.

• The Indian rupee rose against the U.S. dollar on anticipation of a foreign

portfolio inflows. The rupee went up 0.26% to close at 73.45 per dollar from

the previous close of 73.65.

• Euro rose against the U.S. dollar as risk appetite dampened due to U.S.

monetary policy, U.S. election uncertainty and the latest U.S.-China political

tensions.

• Gold prices rose as persisting concerns over the COVID-19 pandemic

boosted its safe haven appeal.

• Brent crude prices rose after Hurricane Sally cut U.S. production and OPEC

and its allies adopted measures to address the weakness in the oil market.

• The Bank of Russia kept interest rates unchanged in its monetary policy

review as expected as it decided to retain the benchmark rate to 4.25%.

The Bank of Russia has lowered interest rates by 200 bps so far this year.

• Data from the statistical office Istat showed that on a monthly basis,

industrial orders in Italy grew 3.7% in Jul 2020 following a 23.7% increase in

the previous month. On a yearly basis, industrial orders fell at a slower pace

of 7.2% following a drop of 11.6% in the previous month.

• Data from the Ministry of Internal Affairs and Communications showed that

overall inflation in Japan grew 0.2% on a yearly basis in Aug 2020.

Markets for You