Despite weakening in most other Asian markets, Indian equity indexes completed a tumultuous session around intraday highs on Monday, extending gains to a second straight day, as investors remained cautious on news flow on the Russia-Ukraine crisis.
The Nifty50 has formed a long bullish candle on the daily chart in a broadly positive sign, but it will be interesting to see if it can hold above 16,750, according to Shrikant Chouhan, Head of Equity Research (Retail) at Kotak Securities.
“For traders, 16,600 would be the immediate support to watch out for, above which, the index could continue its momentum till 16,850-16,950 levels. However, dismissal of 16,600 could possibly trigger one more correction wave till the 16,500-16,350 zone,” he said.
Sensex surged 388.76 points or 0.70% to 56,247.28 and Nifty was up by 135.50 points or 0.81% to 16,793.90 in the previous session. Sensex touched high and low of 56,324.54 and 54,833.50, respectively. There were 17 stocks advancing against 13 stocks declining on the index. Nifty traded in a range of 16,815.90 and 16,356.30. There were 33 stocks advancing against 16 stocks declining, while 1 stock remained unchanged on the index.
The broader indices ended in green with the BSE Midcap index rising 0.83%, while the Small cap index was up by 0.80%. The top gaining sectoral indices on the BSE were Metal up by 5.47%, Energy up by 2.90%, Basic Materials up by 2.71%, Oil & Gas up by 2.48% and Utilities up by 2.11%, while Auto down by 0.60%, Bankex down by 0.59% and Finance down by 0.43% were the top losing indices on BSE.
Support and Resistance levels
Key support levels for the Nifty are placed at 16,495, followed by 16,196. If the index moves up, key resistance levels to watch out for are 16,954 and 17,115, according to pivot charts.
The trends on SGX Nifty indicate a positive opening for the index in India with a 79-points gain. The Nifty futures were trading at 16,581.00 on the Singaporean Exchange around 06:40 hours IST.
Asian markets finished broadly higher on Tuesday with shares in Japan leading the region. The Nikkei 225 was up 1.20% while China’s Shanghai Composite was up 0.77% and Hong Kong’s Hang Seng was up 0.27%.
The S&P 500 fell 67.68 points, or 1.5%, to 4,306.26.
The Dow Jones Industrial Average fell 597.65 points, or 1.8%, to 33,294.95.
The Nasdaq fell 218.94 points, or 1.6%, to 13,532.46.
The Russell 2000 index of smaller companies fell 39.58 points, or 1.9%, to 2,008.51.
European markets finished sharply lower yesterday with shares in France leading the region. The CAC 40 was down 3.94% while Germany’s DAX was off 3.85% and London’s FTSE 100 was lower by 1.72%.
OPEC+ to meet on March 2 amid concerns over oil supply disruptions
The Organization of the Petroleum Exporting Countries (OPEC) and other producers including Russia, a group known as OPEC+ will hold a meeting on March 2. The group is likely to maintain steady growth in supply. It is expected to stick to its plans to add 400,000 barrels per day (bpd) of supply in April, according to a Reuters report. OPEC+ revised down its projection for the oil market’s surplus for 2022 by approximately 200,000 bpd to 1.1 million bpd, ahead of the meeting citing market tightness. News of a coordinated global release of crude reserves was overshadowed by concerns about a possible supply disruption due to the Russian invasion of Ukraine. And, on account of this crude oil prices climbed on March 1.
Reliance Retail has acquired a majority stake in the designer brand Abraham & Thakore
Reliance Retail Ventures Ltd, the retail arm of the Mukesh Ambani-led conglomerate RIL, on March 1 announced an investment in 30-year-old designer brand Abraham & Thakore (A&T) for a “majority stake”. The purpose of the investment is to build the brand’s global appeal in the fashion and lifestyle market, Reliance Retail said. Reliance Retail “seeks to leverage its subsidiary Reliance Brands Ltd’s (RBL) deep understanding of the affluent Indian customer and their heft across digital, retail operations, marketing, and supply chain platforms, to build brand Abraham & Thakore’s global appeal in the fashion and lifestyle category,” it said in a press release. Currently led by the design trio of David Abraham, Rakesh Thakore and Kevin Nigli, A&T was launched back in 1992. Its interpretation of Indian textiles started with loungewear and home collections that were first sold at The Conran Shop in London and later in global stores such as Liberty, Browns, Harrods, and Selfridges.
SBI to stop handling trade with sanctioned Russian entities: Report
SBI will not process any transactions involving Russian entities subject to international sanctions imposed on Russia after its invasion of Ukraine, according to a letter seen by Reuters and people familiar with the matter. “No transactions involving entities, banks, ports or vessels appearing” on a US, European Union or United Nations sanctions list shall be processed irrespective of the currency of the transaction, said a letter sent by State Bank of India (SBI) to certain clients. “We have a significant international presence and we need to comply with US and EU regulations as we are present in those jurisdictions and we cannot be seen as not adhering to these rules,” said a senior SBI executive. The invasion, which Moscow calls a “special operation” and which is the biggest assault on a European state since World War Two, was met with widespread condemnation and an array of sanctions. SBI in the letter to clients also urged “extra precautions” while handling any transactions related to sanctioned countries.
GST receipts in February was Rs 1.33 lakh crore, a 5.6% decrease from January
Goods and Services Tax (GST) collections for February declined to Rs 1.33 lakh crore, down 5.6% from the first month of 2022, data released on March 1 by the finance ministry showed. Of the total, Central GST was Rs 24,435 crore, State GST was Rs 30,779 crore, Integrated GST was Rs 67,471 crore, and compensation cess was Rs 10,340 crore. In February, the government settled Rs 26,347 crore to Central GST and Rs 21,909 crore to State GST from Integrated GST. As such, the total revenue for the month post-settlement was Rs 50,782 crore for the Centre and Rs 52,688 crore for State GST. “February, being a 28-day month, normally witnesses revenues lower than that in January. This high growth during February 2022 should also be seen in the context of partial lockdowns, weekend and night curfews and various restrictions that were put in place by various States due to the omicron wave, which peaked around January 20,” the finance ministry said in a statement. While total GST collections declined sequentially last month, they were up 17.6% from February 2021. This is also the eighth month in a row that total GST mop-up has come in above the Rs 1-lakh-crore mark.
Commercial LPG cylinder prices hiked by Rs 105
The prices of 19 kg commercial LPG cylinders have been increased by Rs 105 in Delhi from March 1, news agency ANI reported. Following the price hike, the 19 kg commercial cylinder will cost Rs 2,012 in the national capital from Tuesday. The price of a 5 kg cylinder has also been increased by Rs 27. Now a 5 kg cylinder will cost Rs 569 in Delhi. Following the given hike, commercial gas cylinders in Kolkata will now cost Rs 2,089. In Mumbai, commercial gas will now cost Rs 1,962 with a hike of Rs 105. Chennai also saw a hike of Rs 105 with the price of a 19-kg commercial gas cylinder rising to Rs 2,185.5. On the other hand, there has been no change in domestic LPG cylinder prices. LPG Cylinder rates are revised monthly across all the states and union territories in India. Notably, the National Oil Marketing companies slashed the prices of 19 kg commercial LPG cylinder by Rs 91.50 on February 1, ahead of the Union Budget 2022. On January 1, oil marketing companies had slashed the price of 19 kg commercial LPG cylinder by Rs 102.50. On December 1, the Commercial cooking gas price was increased by Rs 100, taking the cost of a 19 kg commercial LPG cylinder to Rs 2,101 in Delhi. This was the second-highest price of the commercial cylinder after 2012-13 when it cost around Rs 2,200 per cylinder.
Bulk Deal data
SHRIPAL KANTILAL SHAH bought 25,200 shares in Giriraj Civil Devp Ltd at Rs 99.00 per share on the NSE.
PIYUSH KUMAR THUMAR sold 2,58,000 shares in Bright Solar Limited at Rs 6.06 per share on the NSE.
MAHABIR TRADEVENTURES LLP bought 1,86,000 shares of Jalan Transolu. India Ltd at Rs 13.86 per share on NSE.
BEELINE MERCHANT BANKING PRIVATE LIMITED sold 80,000 shares of Kotyark Industries Ltd at Rs 255.63 per share on NSE.
ANSU INVESTMENT bought 44,000 shares in Richa Info Systems Ltd at Rs 92.05 per share on the NSE.
BHIMANI MANSUKHBHAI LIMBABHAI sold 5,71,500 equity shares in Shree Ram Proteins Ltd at Rs 118.90 per share on the NSE, the bulk deals data showed.
VIKRAM KUMAR KARANRAJ SAKARIA HUF DAKSH CORPORATION sold 1,09,000 equity shares in Vaishali Pharma Limited at Rs 58.40 per share respectively on the NSE.
RAMESH BHANDAPPA MUNNOLI sold 9,55,402 shares in Vishwaraj Sugar Ind Ltd at Rs 20.98 per share on the NSE.
DII and FII data
Foreign institutional investors (FIIs) sold shares worth a net Rs 3,948.47 crore, while domestic institutional investors (DIIs) bought shares worth a net Rs 4,142.82 crore in the Indian equity market on February 28, as per provisional data available on the NSE.
NSE F&O Ban
No stock or security has been put under the F&O ban for March 2. Securities in the ban period under the F&O segment include companies in which the security has crossed 95% of the market-wide position limit.