Tuesday 13 November 2018

SGX Nifty Indicates Negative Opening Tracking Asian Peers

Posted by suhani varma on Tuesday, November 13, 2018 with No comments

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SGX Nifty is at 10,460, down 41 points. For today, we expect the equity markets to be under selling pressure as global equities tumble.

Yesterday, Nifty had a rough day as after a firm opening, selling dominated the day with mid-caps also seeing pressure on the downside. Market participants were weary of the pullback in oil and lower than expected earnings growth from corporates. However, inflation and IIP numbers released in the evening were much better than expected. This should make the bond market react positively today.

Global markets: Asian indices opened in the red, led by a sharp fall in the Japanese “Nikkei," which traded lower by over 750 points in early trade. This movement was after the US indices fell sharply amid doubts over the sustainability of Apple sales; incidentally, Apple, which is regarded as the most revered technology stock, lost over 5%. Oil continued its downward momentum as early advances met with selling, which dragged Brent crude prices below $69.

US markets: US indices had yet another rough session as Apple shares fell over 5%, dragging the markets lower. Nasdaq index fell nearly 3% as FAANG stocks lost their charm with "sell on rise" being the adage followed by traders. Oil fell further into a bearish territory with WTI crude hitting $58.

FII/DII Data: In yesterday’s trading session, FIIs bought 832cr stock in the cash market whereas DIIs sold 1073cr worth of stock. In the derivative market, FIIs sold 168cr of index futures and bought 8cr worth of index options. In the Stock futures segment, FIIs sold 146cr worth of stock futures and bought 17cr stock options.

FII View: Marginal bullish positions were created by FIIs in yesterday’s trading session, which is deduced by the fact that they created 283 net long contracts in Index Futures; however, considering the volatility in the markets they also purchased 13,262 long contracts in Index Put options to hedge their positions.

FIIOI
(in000's)
% Chg% Chg
Since Expiry
Long/
Short Ratio
Long/Short
 Since Expiry
Index Long1574780.61.5
Index Short251218
Index Call Long289(1)773.21.1
Index Call Short91662
Index Put Long4083732.10.8
Index Put Short1900104

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