PRE MARKET REPORT SEPTEMBER 10 - 2020

     

1.  US markets closed higher.

2.  But right now US futures are lower.

3.  Asian markets are mixed.

4.  SGX Nifty is down slightly.

5.  So markets are expected to open flat.

6.  That is a good new for Option writers who wrote options on both sides.

7.  Global markets came in to correction mode and we fell more due to some     local problems.

8.  Bank Nifty fell more than 3000 points from last Monday to this Wednesday.

9.  That is almost 15%, while people talking so big about 11% fall in Nasdaq.

10. Today, the talk of the town is 'Supreme Court case on interest on     interest'

11. That is only a hearing, I do not think the verdict will be out today.

12. Bank Nifty will be sensitive to this news.

13. It was surprising that both FIIs and DIIs were net sellers in Cash market.

14. So we have to be very careful at higher levels.

15. Expiry day volatility will be there.

16. Despite falling market, India VIX has come down.

17. That shows the downside risk is not very big from here.

18. Only big concern is that the addition of Open Interest in weaker stocks     like SBI and Axis Bank.

19. India-China border tension is another big problem for markets.

20. Markets may consolidate and may see a sharp move towards the end of the     day.

21. SGX Nifty now below 11300.

22. Nifty future may trade between 11200 and 11400.


The BSE Sensex was down 171.43 points at 38,193.92, while the Nifty50 declined 39.40 points to 11,278 but formed a bullish candle on the daily charts as closing was higher than opening levels

The selling was led by banking and financials, and select FMCG and IT stocks. The broader markets underperformed frontliners, with the Nifty Midcap index falling half a percent and Smallcap down 1.5 percent.

Key support and resistance levels on the Nifty

According to pivot charts, the key support levels for the Nifty are placed at 11,209.4, followed by 11,140.8. If the index moves up, the key resistance levels to watch out for are 11,322.4 and 11,366.8.


Nifty Bank

The Bank Nifty corrected for the fifth consecutive session, down 477.40 points or 2.10 percent at 22,267. The important pivot level, which will act as crucial support for the index, is placed at 22,046.73, followed by 21,826.47. On the upside, key resistance levels are placed at 22,520.93 and 22,774.87.

FII and DII data


Foreign institutional investors (FIIs) net sold shares worth Rs 959.09 crore, while domestic institutional investors (DIIs) net offloaded shares worth Rs 263.97 crore in the Indian equity market on September 9, as per provisional data available on the NSE.


Stock under F&O ban on NSE

Seven stocks -- Bank of Baroda, BHEL, Canara Bank, Indiabulls Housing Finance, Vodafone Idea, Jindal Steel & Power and Punjab National Bank -- are under the F&O ban for September 10. Securities in the ban period under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.

NEWS : SEPT 9

Economic Times
Business Standard


Ø  PSB performance on EASE Index improves 37% over March 2019-20


Ø  I-T Dept issues refunds worth Rs 1.01 lakh cr to 27.55 lakh taxpayers till Sep 8


Ø  Food ministry seeks Rs 5,600 crore to pay export subsidy dues of sugar mills


Ø  Five to eight percent of overall loans will get restructured under new framework, says Icra


Ø  Disbursements in the housing finance sector at 60–70% of YoY levels: Report


Ø  PGCIL commissions first leg of Raigarh-Pugalur HVDC transmission project


 


Ø  Sebi steps up oversight of MII boards, seeking to protect shareholders


Ø  Fitch affirms Bharat Petroleum at BBB-minus with negative outlook


Ø  EPFO to pay 8.5% interest for FY20 in two instalments, cites Covid impact


Ø  Happiest Minds IPO subscribed 151 times, sees bids worth Rs 58,000 cr


Ø  Data consumption, gentle price hikes to drive telecom sector growth: Report


Ø  Silver Lake picks 1.75% stake in Reliance Retail for Rs 7,500 crore


Business Line

Mint

Ø  Reliance Industries doing a Jio with Retail


Ø  Direct tax refunds from April till date exceed ₹1-lakh crore


Ø  Everady Industries’ Q1 net jumps to ₹24 crore


Ø  KKR in advanced talks for $1-billion Reliance Retail stake


Ø  Embassy REIT places ₹750-crore NCDs


Ø  Sobha Ltd picks stake in CVS Techzone LLP


 


Ø  Indiabulls Housing Finance launches ₹735 crore QIP


Ø  Weak demand a challenge, need a bold stimulus package, says industry


Ø  India to achieve carbon emissions reducing goal by 35% in 10 yrs: Javadekar


Ø  IMF chief Georgieva warns global economic crisis 'far from over'


Financial Express


 


Deccan Chronicle


Ø  US-based First Solar mulls setting up manufacturing plant in India


Ø  Need for further stimulus to revive demand in economy: Industry survey


Ø  TRAI chief advocates robust broadband, open systems, local manufacturing


 


Ø  Dr. Reddy’s releases Remdesivir for COVID-19 treatment under brand name Redyx


Ø  Braithwaite eligible for Miniratna Category II tag


Ø  India to begin Phase-3 human trials of Russian coronavirus vaccine soon






MARKET CLOSING SEPT  8- 2020 :

Indian market declined on back of a global sell-off and on worries that a Covid-19 vaccine could be delayed.


 However, equity markets recovered from the day's low but ended lower for the second straight day.


 Nifty declined 39 points (0.35%) to close at 11278 while recovered 1% from the intra low of 11185. 


The recovery was led by the heavyweight Reliance Industries along with Metal and Pharma stocks. 


Among the sectoral indices, the Nifty Bank ended 477 points or 2.1% lower and were among the top sectoral laggards along with the PSU bank index which ended with losses of 2.9%. 


Pharma stocks were the top sectoral gainer, ending 1.9% higher while the Media index ended with gains of 1.2%. 


India- China border tension and overnight fall in the US market (Nasdaq slipped 5%) have a negative impact in the market. 


Asian stocks looked set to resume declines 1-2% after heavy losses on Wall Street and worries that a Covid-19 vaccine could be delayed and concern of US-China trade relation.


 However, we witnessed partial recovery in the market after European market opened on a positive note and US Future bounced back into positive territory. 


Reliance witnessed biggest gainer today after the news that the KKR Said in advanced talks for $1bn Reliance Retail stake and also Silver Lake invested over Rs7,500 crore in Reliance Retail over 1.7% stake. It has gained 2.6% to close at Rs2161 amid 2.5 cr shares traded on NSE. 


Dr Reddy gained 2% to close at Rs4429 after the news that the company announced the launch of Remdesivir in India. Aurobindo Pharma, Cipla, Cadila and Divi’s Labs gained 2-3%. 


Banking and Finance stocks like Axis Bank slipped 3% to close at Rs431. 


Kotak Bank, ICICI Bank, SBI, Shriram Transport Finance, Bajaj Finance and HDFC Bank slipped 1-4%. 


Metal stocks like Tata Steel and JSW Steel gained 3% and 2% respectively.