In a volatile session, Indian
equity benchmarks ended in green with gains of over half percent each on
Friday, tracking gains in index-heavyweights Bajaj Finserv, Titan Company and
Bajaj Finance amid largely positive cues from global markets and sustained
foreign fund inflow. Benchmarks made positive start, as traders got
encouragement with report that investments through participatory notes
(P-notes) in the Indian capital market surged to Rs 78,686 crore at
October-end, making it the highest level in 14 months, on enhanced global
liquidity and measures taken by the government back home. Some support also
came as the Reserve Bank announced to conduct simultaneous purchase and sale of
government securities under open market operations (OMOs) for Rs 10,000 crore
each on November 26. The decision was taken after a review of the current
liquidity and financial conditions. However, key gauges cut all of their gains
to turn negative in late morning deals, as Global forecasting firm Oxford
Economics revised downwards its India growth forecast over the medium term to
an average 4.5 per cent over 2020-25, from its pre-pandemic projection of 6.5
per cent. In a research note, it said India's post-COVID-19 scars could be
among the worst in the world. But, market indices once again turned bullish in
the last hour of trade, as some optimism remained among traders with Rating
agency ICRA's report stated that the Year-on-Year (YoY) contraction in India's
Gross Domestic Product (GDP) (at constant 2011-12 prices) is expected to narrow
appreciably to 9.5 percent in the second quarter of the current fiscal (Q2FY21)
from 23.9 percent in Q1FY21, as the economy recovered from the lows of the
pandemic-induced lockdown. Some support also came with Prime Minister Narendra
Modi's statement that the belief in democracy, rule of law and freedom is the
strength of the partnership between India and Luxembourg. He also said
India-Luxembourg's partnership amid the COVID-19 pandemic can be beneficial for
the recovery of both the countries. Market participants also took a note of
Union IT and Communications Minister Ravi Shankar Prasad's statement that the
government was very keen to promote India as a very big centre of the data
economy and would finalise a data protection law very soon. Finally, the BSE
Sensex rose 282.29 points or 0.65% to 43,882.25, while the CNX Nifty was up by
87.35 points or 0.68% to 12,859.05.
The US markets ended lower on
Friday on concerns about the near-term economic outlook amid a continued spike
in new coronavirus cases in the US. The latest data from John Hopkins
University showed nearly 188,000 new coronavirus cases on Thursday, while the
daily death toll topped 2,000 for the first time. The continued surge in new
cases, hospitalizations and deaths in the US has raised concerns new
restrictions and lockdowns will dampen the economy recovery. While there
continues to be upbeat news on the vaccine front, traders seem worried about an
economic downturn the months leading up to the widespread distribution of a
vaccine. Adding to the economic uncertainty, Treasury Secretary Steven Mnuchin
announced a decision to allow five of the Federal Reserve's nine emergency
lending programs to expire at the end of the year. The Fed responded to the
decision in a rare public statement, saying it would prefer that the full suite
of emergency facilities established during the coronavirus pandemic continue to
serve their important role as a backstop for the still-strained and vulnerable
economy.
Crude oil futures settled higher
on Friday, lifted by optimism about a Covid-19 vaccine and a likely pick-up in
energy demand once the vaccines get the nod from drug regulators. Oil was also
supported by expectations that the Organization of the Petroleum Exporting
Countries (OPEC) and its allies will eventually agree to defer relaxing output
curbs so as to balance the oil market. OPEC and its allies are scheduled to
meet on November 30 and December 1 to consider options to delay tapering their
output cuts by around 2 million barrels per day. Higher crude output from Libya
raised concerns about likely excess supply in the market and limited oil's
uptick. Crude oil futures for December
rose $0.41 or about 1 percent to settle at $42.15 a barrel on the New York
Mercantile Exchange, on the expiration day. January Brent crude gained $0.60 or
1.3 percent to settle at $44.80 a barrel on London's Intercontinental Exchange.
Indian rupee ended significantly
higher against dollar on Friday, on persistent selling of the American currency
by exporters. Sentiments were upbeat as Rating agency ICRA's report stated that
the Year-on-Year (YoY) contraction in India's Gross Domestic Product (GDP) (at
constant 2011-12 prices) is expected to narrow appreciably to 9.5 percent in
the second quarter of the current fiscal (Q2FY21) from 23.9 percent in Q1FY21,
as the economy recovered from the lows of the pandemic-induced lockdown. On the
global front, dollar edged up against a basket of currencies, its downward
trend was interrupted when US Treasury Secretary Steven Mnuchin called an end
to some of the Federal Reserve's pandemic lending. Finally, the rupee ended at 74.16, 11 paise
stronger from its previous close of 74.27 on Thursday.
The FIIs as per Friday's data
were net buyer in equity segment and net seller in debt segment. In equity
segment, the gross buying was of Rs 11693.80 crore against gross selling of Rs
9505.64 crore, while in the debt segment, the gross purchase was of Rs 347.36
crore with gross sales of Rs 1113.67 crore. Besides, in the hybrid segment, the
gross buying was of Rs 5.71 crore against gross selling of Rs 9.99 crore.
The US markets ended lower on
Friday on a combination of dwindling aid for the US economy and rising novel
coronavirus infection rates. Asian markets are trading mostly in green on
Monday as hopes for imminent coronavirus vaccines buoyed investor sentiment,
but worries over the impact of economic lockdowns and uncertainty over US stimulus
capped gains. Indian markets ended higher Friday led by gains in banking and IT
stocks amid mixed global cues. Today, the start of the crucial F&O series
expiry week is likely to be positive tailing the Asian cues and as investors
continued to follow positive vaccine developments. Traders will be taking
encouragement with Industry body FICCI's latest quarterly survey on
manufacturing showing that India's manufacturing sector is poised to witness
recovery in the July-September quarter, even as hiring outlook for the segment
remains bleak. The proportion of respondents reporting higher output during
July-September rose to 24 per cent, as compared to 10 per cent in the previous
quarter. Some support will come with report that Foreign Portfolio Investors
(FPI) have continued to buy domestic equities and debt instruments. So far in
November FPIs have bought Rs 44,378 crore worth of stocks and Rs 5,175 crore
worth of debt. Also, the RBI's data
showed that bank credit grew by 5.67 per cent to Rs 104.04 lakh crore, while
deposits increased by 10.63 per cent to Rs 143.80 lakh crore in the fortnight
ended November 6. Meanwhile, Terming the COVID-19 pandemic an important turning
point in the history of humanity and the biggest challenge the world is facing
since World War II, Prime Minister Narendra Modi at the G20 summit called for a
new global index based on talent, technology, transparency and trusteeship
towards the planet in the post-corona world. Though, there may be some
cautiousness as the total confirmed case count in India has now crossed 9.1
million. On Sunday, India reported 44,404 fresh Covid-19 cases, taking its
tally to 9,140,312. The country's death toll has mounted to 133,773.
Banking-related stocks and financials will be in focus, after the RBI panel recommended
several changes in the banking industry which includes proposals to raise
promoters cap to 26 per cent from current 15 per cent in 15-year period and to
allow large corporate houses as promoters of banks or take a significant stake
in banks. Infrastructure industry related stocks will be in limelight with
report that as many as 437 infrastructure projects, each worth Rs 150 crore or
more, have been hit by cost overruns of over Rs 4.37 lakh crore. The Ministry
of Statistics and Programme Implementation monitors infrastructure projects
worth Rs 150 crore and above.
Support and
Resistance: NSE (Nifty) and BSE (Sensex)
Index
|
Previous close
|
Support
|
Resistance
|
NSE
Nifty
|
12,859.05
|
12,762.05
|
12,924.25
|
BSE
Sensex
|
43,882.25
|
43,553.00
|
44,112.27
|
Nifty Top volumes
Stock
|
Volume
|
Previous close (Rs)
|
Support (Rs)
|
Resistance (Rs)
|
(in Lacs)
|
State
Bank of India
|
844.11
|
242.75
|
236.00
|
247.45
|
Tata
Motors
|
669.36
|
169.10
|
165.91
|
171.91
|
NTPC
|
476.71
|
91.80
|
90.44
|
92.64
|
ITC
|
453.07
|
191.70
|
187.84
|
193.79
|
ICICI
Bank
|
300.89
|
480.20
|
471.05
|
486.40
|
Simplus, an Infosys company has collaborated with Salesforce for a vaccine management cloud solution built on the Salesforce Platform in support of Salesforce Work.com for Vaccines.
SBI has signed a MoU with the Luxembourg Stock Exchange for setting up a long-term cooperation mechanism and promoting ESG and green finance.
Reliance Industries and its subsidiary company -- Reliance Retail Ventures have completed the current phase of partner induction and fund raise exercise for RRVL.
HDFC is planning to raise Rs 3000 crore through secured redeemable Non-Convertible Debentures with option to retain oversubscription upto Rs 2000 crore.