SGX Nifty indicates a negative opening for Indian markets

For today, expect more color from earnings as markets digest the budget positives & move ahead.

Jul 16, 2019 02:07 IST India Infoline News Service

IT Stocks Up
SGX Nifty is at 11,577, down 10 points.  For today, expect more color from earnings as markets digest the budget positives & move ahead.

Nifty saw a smart rally in the second half of the trading day as weakness in banks was compensated by rally in IT stocks with Infy leading from the front. Auto, IT and pharma led the gainers, while PSU banks saw huge bout of profit booking after very weak numbers from select shadow banks dampened sentiment.

Global Market: Asian indices opened mixed with the Japanese Nikkei seeing profit booking in early trade as it traded down 100 points.The other Asian indices were seeing positive trade with the Hang Seng & the Shanghai markets both trading in the green. Further, China recorded its slowest growth in 27 years. The markets digested the weakness and traded with a positive bias as earnings growth could see further upside.

US Market: US markets close with gains as technology stocks see huge buying. Oil edges lower as inventories to rise in the US, while bond yields stay near 2.10%. US stocks see strong ETF flows even as global markets remain muted. Earnings to drive growth with expectations of second half outlook for stocks extremely positive.

FII/DII Data: In yesterday’s trading session FIIs sold 216 crores worth of stock in cash whereas DIIs bought 592 crores worth of stock. In the derivative market, FIIs bought 263 crores of Index futures and bought 705 crores worth of Index options. In the Stock futures segment, FIIs bought 678 crores worth of stock futures and sold 57 crores stock options.

FII View: In Index future segment, FIIs index future long/short ratio stood at 1x with marginal unwinding of short positions. Moreover, on the Index option’s front, net long positions were formed in index call option, indicating a possibility of a recovery in the indices. 
FII OI(000's) % Chg % Chg Since Expiry Long/Short Ratio Long/Short Since Expiry
Future Index Long 121 1.0 0.6
Future Index Short 122 (3) 76 
Option Index Call Long 179 42  3.2 0.8
Option Index Call Short 56 (1) 87 
Option Index Put Long 247 60  3.0 1.0
Option Index Put Short 83 54 

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