ICICI Bank, RIL Help Sensex, Nifty Extend Record Run On F&O Expiry

Indian equity benchmarks ended higher on F&O expiry day, led by the gains in Reliance Industries Ltd. and ICICI Bank Ltd.

The S&P BSE Sensex and the NSE Nifty 50 closed at all-time high levels for second day in a row. The 31-share index rose 0.27 percent to end at 41,130 and the NSE Nifty 50 rose 0.42 percent to close at 12,151.15. The broader markets represented by the NSE Nifty 500 Index rose 0.55 percent.

The Nifty index’s futures and options series gained for the third straight month in November. In November series, Nifty rose 2.3 percent and Nifty Bank rose 6.8 percent.

The market breadth was tilted in favour of buyers. About 972 stocks advanced and 810 shares declined on National Stock Exchange.

Nine out of 11 sectoral gauges compiled by NSE ended higher, led by the NSE Nifty PSU Bank Index’s 3.5 percent gain. On the flipside, the NSE Nifty Auto Index was the top sectoral loser, down 0.28 percent.

Tata Communications

• Stock rose as much as 12.8 percent to Rs 464.80.
• Trading volume was 30 times its 20-day average.

Phoenix Mills

• Stock fell as much as 2.3 percent to Rs 733.60.
• Trading volume was six times its 20-day average.

TTK Prestige

• Stock rose as much as 1.4 percent to Rs 5,891.
• Trading volume was more than three times its 20-day average.

Adani Gas

• Stock rose as much as 3.6 percent to Rs 151.95.
• Trading volume was five times its 20-day average.

• Nalco: About 10 lakh shares changed hands in a large trade.
• Hatsun Agro: About 13 lakh shares of the company changed hands in a large trade.

Buyers and sellers were not known immediately.
Source: Bloomberg

Stocks slipped along with U.S. equity futures after President Donald Trump signed a bill backing Hong Kong protesters, raising concerns about the prospects for an interim trade deal between the world’s two largest economies.

• Futures on the S&P 500 Index dipped 0.3 percent.
• The Stoxx Europe 600 Index decreased 0.3 percent.
• The MSCI Asia Pacific Index declined 0.2 percent.
• The MSCI Emerging Market Index fell 0.2 percent.

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Source: Bloomberg

Shares of Bharti Infratel rose as much as 10.9 percent, the most since Nov. 19, 2019.

Trading in the company's call options totalled 3,216 contracts, compared with the average of 1,327 over the past 20 days, according to Bloomberg data. Trading in the company's put options totalled 1,291 contracts, compared with the average of 702 over the same period.

Shares of Coffee Day Enterprises hit their lower circuit of 5 percent for the fifth consecutive trading session.

The stock declined 84 percent in the past 12 months compared to a 15 percent advance in the Sensex. The scrip traded 7.6 times its estimated earnings per share for the coming year, Bloomberg data showed.

Shares of Indiabulls Housing Finance rose as much as 18 percent, the most since Nov. 07, 2019, to Rs 216.50, the highest since Sept. 30.

“The government and Reserve Bank of India are discussing a proposal to unburden stressed assets from top 25 NBFCs,” ET Now reported quoting unidentified people.

Of the shares traded, 44 percent were at the ask price and 39 percent were at the bid, Bloomberg data showed.

Shares of IIFL Finance extended gains for the third consecutive trading session.

The stock rose as much as 17.8 percent to Rs 178.90, the highest since June 3, 2019. The scrip surpassed its 200-day moving average of Rs 156.21.

Trading volume was nine times its 20-day average, Bloomberg data showed. The Relative Strength Index was above 70, indicating that the stock may be overbought.

Indian equity benchmarks continued to hover around their lifetime highs driven by gains in private lenders such as ICICI Bank and Yes Bank.

The S&P BSE Sensex rose as much as 0.11 percent to 41,063.70 and the NSE Nifty 50 rose as much as 0.21 percent to hit a record high at 12,125.60. The broader markets represented by the NSE Nifty 500 Index rose 0.32 percent.

The market breadth was tilted in favour of buyers. About 915 stocks advanced and 819 shares declined on National Stock Exchange.

Nine out of 11 sectoral gauges compiled by NSE traded higher, led by the NSE Nifty PSU Bank Index’s 3.22 percent. On the flipside, the NSE Nifty Auto Index was the top sectoral loser, down 0.28 percent.

Six out of 11 sectoral gauges compiled by NSE traded higher, led by the NSE Nifty PSU Bank Index’s 2.12 percent advance. On the flipside, the NSE Nifty Media Index was the top sectoral loser, down 0.65 percent.

Nifty’s 12,000 put option contract was among the most active Nifty option contracts on National Stock Exchange.

Premium on the weekly contract, which is set to expire today, fell 73.08 percent to Rs 1.75. Over 15.26 lakh shares were added to the open interest which stood at over 60.33 lakh shares.

Shares of Magma Fincorp hit their upper circuit of 5 percent for the sixth consecutive trading session.

The stock is set for its longest gaining streak since September 2017. The scrip returned 54 percent so far this year compared to 15.2 percent rally in the Sensex.

Magma Fincorp traded at 5.1 times its estimated forward earnings per share compared to a 9.9 times for the two-year historical average, Bloomberg data showed.

Shares of Zee Entertainment extended declines for the fourth consecutive trading session. The stock fell as much as 3.2 percent to Rs 309.40.

Days after promoters lost control, three directors of the company resigned, with two citing related-party loans and film advances, among other issues, as the reasons. (Read the full story here)

Trading volume was almost seven times its 20-day average, Bloomberg data showed. The stock traded 16 times its estimated earnings per share for the coming year.

• Star Cement: About 10.6 lakh shares changed hands in a large trade.
• Tata Power: About 31.2 lakh shares changed hands in a large trade.

Buyers and sellers were not known immediately.
Source: Bloomberg

Shares of Yes Bank extended gains for the second consecutive trading session. The stock rose as much as 2.3 percent to Rs 69.80.

The Mumbai-based lender plans to consider raising funds on Nov. 29. Bank approved as accredited entity by Green Climate Fund to help mobilise Climate Finance in India.

Of the shares traded, 59 percent were at the ask price and 36 percent were at the bid, Bloomberg data showed.

Indian equity benchmarks opened at record highs after extending gains for the second consecutive trading session.

The S&P BSE Sensex rose as much as 0.35 percent to hit an all-time high at 41,163.79 and the NSE Nifty 50 rose as much as 0.31 percent to hit a record high at 12,138.30. The broader markets represented by the NSE Nifty 500 Index rose 0.1 percent.

The market breadth was tilted in favour of buyers. About 830 stocks advanced and 582 shares declined on National Stock Exchange.

Nine out of 11 sectoral gauges compiled by NSE traded higher, led by the NSE Nifty PSU Bank Index’s 0.54 percent. On the flipside, the NSE Nifty FMCG Index was the only sectoral loser, down 0.07 percent.

Index Futures

• Nifty November futures closed at 12,123.8, premium of 23 points versus 37 points.
• Nifty Futures across series OI down 1.7 percent sheds 3.5 lakh shares in OI.
• Nifty Bank November futures closed at 31,891.
• Nifty Bank futures across series OI flat sheds 660 shares in OI.
• Rollover-Nifty 62 percent, Nifty Bank 49 percent.

Options

• Nifty PCR at 1.63 versus 1.59 (across all series)

Nifty Monthly Expiry: Nov 28

• Max OI on call side at 12,200 (25 lakh shares)
• Max OI on put side at 12,000 (45 lakh shares)
• OI addition seen at 12,200C (+3.8 lakh shares) 12,100C (+5.4 lakh shares), 12.100P (+13 lakh shares)

Stocks In F&O Ban

• Yes Bank

• Shriram City Union Finance to meet Enam Holdings on Nov. 28.
• Mahindra Logistics to meet Elara Capital on Nov. 28.

The Indian rupee opened higher against the U.S. dollar. The home currency appreciated as much as 0.07 percent to 71.30 against the greenback.

Indian equity benchmarks are set to open higher.

The S&P BSE Sensex rose 0.15 percent to 41,095 and the NSE Nifty 50 rose 0.4 percent to 12,150

• DB Realty, HCC, MEP Infrastructure Developers, Reliance Communications to move into short term ASM Framework.
• Shree Digvijay Cement, Tanla Solutions, Vakrangee, Eveready Industries, Patel Engineering to move out of short term ASM Framework.
• Adani Green Energy price band revised to 5 percent.
• Swiss Glascoat Equipments to move into ASM Framework.

• Zee Entertainment Enterprises: Days after promoters lost control, three directors of the company resigned, with two citing related-party loans and film advances, among other issues, as the reasons.
• JSW Group: JSW Cement has raised capacity target to 25 million tonne per annum by 2023 with a capex investment of Rs 2,875 crore. The company may look at initial public offering by December 2021.
• Shiva Cement declared preferred bidder for new mine block and has planned clinker and grinding units of 1 MTPA each, and setting up of 3,000 TPD Clinker Unit. The board of Shiva Cement approved terms and conditions mentioned in LOI received from Odisha Government relating to granting of mining lease in the State.
• BSE approved sale of 41.8 lakh shares (4 percent stake) in CDSL via OFS worth up to Rs 85.69 crore. Floor Price set at Rs 205 per share, which is at a discount of 8.2 percent to closing prices on Nov. 27. The offer-for-sale starts today and ends tomorrow.
• Enkei Wheels has revised its proposed expansion plan at its land beside existing plant in Pune. Proposed plan’s investment has increased from Rs 125 crore to Rs 230 crore. Plan to be completed by November 2020. One MAC line to be operational till then end of 2021. Company has planned fully automatic painting facility instead of earlier plan of semiautomatic setup. Has entered into an agreement to form JV with Nikkei MC Aluminium (Japan), Century Metal Recycling and Enkei Corporation (Japan) for metal scarp recycling and selling of aluminum alloys.
• Schneider Electric Infra has announced the launch of its Bengaluru factory for manufacture of industrial UPS systems and variable speed drives, according to its media statement.
• Balaji Amines is setting up organic and specialty chemicals manufacturing unit of capacity 874.2 tonne per day in Maharashtra. It has also received the environmental clearance for the same from the government for the aforementioned unit.
• Jet Airways to extend last date submission of resolution plan to Dec. 16 and file an application for extension of the insolvency process by another 90 days.
• Cipla’s arm Cipla (EU) has increased its stake in its Sri Lanka arm from 60 percent to 100 percent.
• Indian Overseas Bank: The Reserve Bank of India has levied penalty of Rs 3.3 lakh under the FEMA Act.
• Manappuram Finance mulling to undertake issue of foreign currency denominated bonds under MTN program on Dec. 3 or later.
• Bayer CropScience: Monsanto (U.S.) acquired 3.44 percent stake in the company via share allotment on Nov. 25. Bayer AG stake reduced from 10.41 percent to 8.43 percent in the company. Monsanto Investments acquired 15.04 percent stake in the company. Transactions occurring due to amalgamation of Monsanto India with Bayer CropScience.
• Bajaj Electricals: HDFC MF increased stake from 5.16 percent to 7.18 percent in the company.
• Ceat has signed a share subscription agreement with Greenzest Solar and Cleantech for acquiring up to 26 percent stake aggregating to Rs 5 crore, in Greenzest Solar.
• Thomas Cook to be available for trading in trade to trade segment with effect from Dec. 5.

• The S&P 500, Nasdaq Composite and Dow Jones Industrial Average closed at all-time levels for a third straight day on Wednesday. Data on U.S. gross domestic product and claims for unemployment beat analysts’ expectations.
• The pound rose after a poll suggested the U.K. election could deliver a large majority for the Conservative Party.
• Oil fell as U.S. production hit a record high and refinery demand slipped, pushing stockpiles higher across the nation.

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Good Morning!

The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, fell 0.15 percent to 12,107 as of 8:25 a.m.

Asian stocks and U.S. futures slid after U.S. President Donald Trump signed a bill backing Hong Kong protesters, spurring another threat of retaliation from China and raising concerns about the prospect for an interim trade deal.

Hong Kong shares were among the worst performers, though declines were still modest at the open. Japanese stocks were mostly flat.

Short on time? Well, then listen to this podcast for a quick summary of All You Need To Know before the opening bell.