Nifty saw another volatile session with the index seeing huge volatility & giving up almost 190 points from the highs to the lows of the day. This came in after the Pakistan Air force entered Indian air space & there was exchange of fire. Private banks, media, IT & financial services stocks saw selling as markets gave up gains with TV channels adding to volatility.
Global Markets: Asian indices saw profit booking in early trade as most markets consolidated the recent sharp gains. Oil prices remained unchanged while US$ saw mild weakness. Expect more data from China on manufacturing to dictate the short term trend as the economy struggles to get back the momentum.
US Markets: US stocks close lower second day running as profit booking emerges. Crude oil also consolidated as China data disappointed, while bond yields remained range bound. President Trump & North Korean leader end day one of denuclearize meet in Hanoi amidst positive rhetoric.
FII/DII Data: In yesterday’s trading session FIIs bought 423cr stock in the cash market whereas DIIs bought 66cr worth of stock. In the derivative market, FIIs bought 456cr of Index futures and bought 635cr worth of Index options. In the Stock futures segment, FIIs bought 386cr worth of stock futures and sold 91cr stock options.
FII View: FIIs created bullish positions in the derivative segment which is deduced by the fact that they built 5091 net long contracts in the Index Futures while simultaneously creating 2,966 net long contracts in Index Call Options. The long-short ratio in Index Futures currently stands at 1.4x