Pre Session-Bullish opening on the cards for D-Street as OPEC deal fuels global rally
29/09/2016 08:30
F&O Expiry Day : 29.09.2016
NIFTY Fut : BUY ZONE
BANKNIFTY FUT : BUY ZONE
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Indian equity benchmarks are likely to witness a gap up opening on Thursday tracking a bullish trend across markets in Asia and a strong finish at Wall Street overnight after the OPEC’s decision to cut output for the first time since 2008 fueled a rally in oil prices, bolstering risk taking appetite. Gains in the Nifty Index Futures for September delivery which were trading at 8,803, up by 0.47 per cent or 41.5 points at 10:38 AM Singapore time, signal that the Sensex may open higher on the day of the expiry of the September derivative contracts. Volatility may remain high at the local bourses today as traders roll over their positions amid the September futures & options (F&O) contracts expiry. The OPEC, a cartel which accounts for about 40 per cent of global crude supplies, at an informal meeting in Algiers on Wednesday, agreed in a preliminary deal to cut output to a range of 32.5 million to 33 million barrels per day, easing fears of a supply glut in global markets. On the domestic front, all eyes are on the RBI’s monetary policy review on Tuesday with speculation of a 25 basis points cut in key interest rates amid receding consumer inflation. Snapping a three-day losing streak, the 30-share Sensex on Wednesday rallied 69.11 points or by 0.24 per cent to 28,292.81 amid value buying in select blue chip stocks.
Asian stocks rose as oil prices hit a three-week high after the OPEC agreed to cut production for the first time in eight years. Shanghai Composite & Hang Seng rallied while Japan’s Nikkei 225 jumped as a weaker yen bolstered the lure for exporter stocks. US stocks rose on Wednesday as energy shares climbed the most in eight months as news of the OPEC deal boosted oil prices. Meanwhile, Fed Chair Janet Yellen said that there was no fixed timetable for US interest rate tightening and that continued solid job growth may prompt the central bank to gradually remove accommodative monetary policy. Investors cast aside tepid US manufacturing data as orders for durable goods were flat in August from July.
Top traded Volumes on NSE Nifty – State Bank of India 17277539.00, ICICI Bank Ltd. 16256169.00, Hindalco Industries Ltd. 12785618.00, Axis Bank Ltd. 10240083.00 and Idea Cellular Ltd. 10044087.00.
On BSE, total number of shares traded was 30.93 Crore and total turnover stood at Rs. 2932.59 Crore.
On NSE Future and Options, total number of contracts traded in index futures was 346340 with a total turnover of Rs. 24153.62 Crore. Along with this total number of contracts traded in stock futures were 1316873 with a total turnover of Rs. 91869.09 Crore. Total numbers of contracts for index options were 6300473 with a total turnover of Rs. 440722.51 Crore and total numbers of contracts for stock options were 470534 with a total turnover of Rs. 34877.77 Crore.
The FIIs on 28/09/2016 stood as net buyer in equity and debt. Gross equity purchased stood at Rs. 4607.60 Crore and gross debt purchased stood at Rs. 3119.32 Crore, while the gross equity sold stood at Rs. 3802.01 Crore and gross debt sold stood at Rs. 1394.74 Crore. Therefore, the net investment of equity and debt reported were Rs. 805.59 Crore and Rs. 1724.58 Crore.