Nifty50: ONGC posts loss of Rs 3098Cr against Rs 4226Cr profit

Nifty50 Sensex July 1 Pre-Market Update: 

• India Current Account post Surplus 0.1% of GDP.
• Vodafone ARPU rises in Q4FY20 Mutual Fund Purchases will attract Stamp Duty from today.
• Auto Sales Numbers are expected to be out and we expect a modest figure.
• Carlyle Group to invest $235Mn in Nxtra Data Ltd
• Data business arm of Airtel
• Nifty has Key Support placed at 10118 and Resistance at 10532.

International Key Triggers: Nifty opened above 10380 but kept trading in narrow range between 10320 to 10380 multiple times before testing day low of 10267.35 to finally close at 10302.1. SGX Nifty as of 08:15 am is trading at around 10240. Key world indices Futures are trading in green led by DJIA Futures which currently around that 25600 mark while Nikkei225 at 22160 and Hang-Seng at 24150.

US June CCI beat at 98.1 vs poll of 91.5. British PM announces 5Bn pound plan to fuel economic recovery. Fed Chairman Jerome Powell and Treasury Secretary Steven Mnuchin pledged to do more for this Covid-19 pandemic.

Domestic News: Fiscal deficit target is likely to be revised higher with GDP set to fall. Bad loans in banking system could rise 13% - 14% projects SandP, RBI data suggests all time high of 14.7% in 1999. Vodafone Revenue up 6% and EBITA up 28%, Q420 Loss at Rs 11643.8Cr. Bharti’s Mittal to bid for UK’s satellite firm OneWeb.

ONGC posts loss of Rs 3098Cr against Rs 4226Cr profit. Bank credit growth fall to 7% in May RBI data. Mutual Fund Purchases in Equity and Debt will attract Stamp Duty from today. Carlyle to acquire 25% stake in Airtel’s data centre biz Nxtra Data Ltd for $235Bn, valuations stand at $1.2bn for Nxtra.

Except Wholesale numbers Auto Sales number are expected to be modest. As many as 65 stocks hit fresh 52week high and AstraZeneca, Escorts, GujaratGas, IDBI, Renuka, FDC, TataComm. Omaxe and RajeshExports hit 52 week low from Nifty200. Emami, JindalStel, IDBI, MFSL and Edelweiss were top5 gainers and Trent, Quess, FRetail, IDEA and IBhousing were top5 losers. AartiInd, ICRA, IngersolRand, TataStlBSL and HFCL saw 4x jump in volumes. 112 Stocks ended in Red from Nifty200 with Trent losing >5% while 88 stocks closed in Green with Emami and JindalStel gaining >5%. Among Sectoral Indices Auto, FMCG, FinService, Metal and Bank was sole positive while PSUBank, Media, Realty, Metal and Energt dragged below 1%. FIIs net sell Rs 2000.8 Cr, DIIs net Buy Rs 2051.31Cr in equity market.

Nifty is expected to open Mixed today, VIX still under 30 at 29.12% . Long Buildup is seen in MFSL, JindalStel, BEL, BalkrishInd, SBILife, Dabur while Short Buildup seen in ITC, Petronet, IBHousing, HPCL, AshokLey and RBLBank “Trades in August series witnessed in UPL and Petronet” Highest Call OI in Nifty seen at 10500CE and 10300CE strikes of July while 10300PE and 10200PE had max OI.

Nifty Watch for the day: We again reiterate that Too Much Of News Flowing around, Traders to exercise caution Nifty is likely to open positive around 10350-10380 and expected to continue positive momentum till 10450. Nifty range for the day is between 10052 - 10535 while we may see some wild movements in the markets post Noon BankNifty will be in limelight with select NBFCs , 20916-21925 is the broader range.

Nifty key Supports is at 10242, 10174, 10116 and 10085. Resistances are at 10405, 10474, 10532 and 10568. Key Stocks to watch are Escorts, Nestle, Britannia, MFSL, Page, Maruti, Cipla, IndusInd and Ultracemco. For more share market tips, ideas, updates and stock recommendations follow our BullsEyeCue App, Twitter, FB, Telegram and Website.