Tuesday 4 December 2018

SGX Nifty Indicating A Mildly Negative Opening In Line With Asian Peers

Posted by suhani varma on Tuesday, December 04, 2018 with No comments

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SGX Nifty is at 10,923, down 15 points. For today, we expect the positive outcome of the recent US-China tariff talks to lead to rising equities as most Asian markets trade at very attractive valuations.

Yesterday, Nifty saw a sharp turn in mid-session after opening higher, as profit booking by local funds saw the index trade in the red & finally close flat for the session.This came in as global cues were extremely positive, however higher oil prices & weakness in rupee led to profit booking. Metals, Realty & FMCG led the gainers, while Pharma & Banks saw selling as midcaps outperformed the broader markets.

Global markets: Asian indices opened in the red as profit booking was on the cards after Monday's smart rally, which saw all Asian indices jump close to 2%. The positive outcome of the recent US/China tariff talks will see equities rising as most Asian markets trade at very attractive valuations. Bonds, currencies & equities could be in a sweet spot this December as markets celebrate an early Christmas.

US markets: Positive outcome of US/China trade talks see global rally in equities; US stocks clock smart gains as Christmas rally fervor is back. Oil sees sharp pull back with OPEC expected to cut output as both Russia & Saudi Arabia agree in principle.

FII/DII Data: In yesterday’s trading session FIIs bought 293cr stock in the cash market whereas DIIs sold 806cr worth of stock. In the derivative market, FIIs bought 401cr of Index futures and sold 1170cr worth of Index options. In the Stock futures segment, FIIs bought 350cr worth of stock futures and bought 116cr stock options.

FII View: Bullish positions were built by FIIs in the derivative segment in yesterday’s trading session which is deduced by the fact that they built 4065 net long contracts in Index Futures while simultaneously adding 12665 short contracts in Index Put Options.

FIIOI
(in000's)
% Chg% Chg
Since Expiry
Long/
Short Ratio
Long/Short
 Since Expiry
Index Long150671.11.0
Index Short13744
Index Call Long2171132.30.8
Index Call Short95950
Index Put Long299(0)192.30.9
Index Put Short1281128

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