FIIs/FPIs have bought Indian equity shares worth Rs. 172 billion and Rs. 339 billion in February 2019 and March 2019 respectively.
The Nifty Index futures witnessed sharp rise in open interest by 191% for the April series and rise in open interest by 53% for the May series. Implied volatility (IV) rose for call option and put option in the last week. Rise in IV for call option and put option shows unsteady support for Nifty at present levels.
The current account gap in the United States widened to USD 134.4 billion in Q4 2018 from an upwardly revised USD 126 billion gap in Q3, above forecasts of USD -130 billion. It is the highest current account gap in ten years as deficits on goods and on secondary income rose and surplus on services decreased.
The trade deficit in the United States narrowed to USD 51 billion in January 2019 from an upwardly revised USD 60 billion in the previous month, which was the largest since 2008. It compares with market expectations of a USD 57 billion shortfall.
China’s current account surplus was confirmed at USD 54.6 billion in Q$ 2018, smaller than last year’s surplus of USD 62.3 billion.
The gross domestic product in the United Kingdom expanded 1.4% (Y-o-Y) in Q4 2018, compared to a preliminary estimate of 1.3% and the previous period’s figure of 1.6%.
Industrial production in Japan declined 1% in February 2019 following a 0.3% climb in the previous month and compared to market expectations of a 0.1% dip, preliminary data showed.
Profits earned by China’s largest industrial firms dropped 14% (Y-o-Y) to CNY 708 billion in January-February 2019, the steepest decline since late 2011, due mostly to price declines in key industrial sectors such as auto, oil processing, steel and chemical industries.
Wallstreet closed in green on Friday as the market participants renewed hopes that a trade deal could be reached between the US and China after optimistic comments from Treasury Secretary Steven Mnuchin. During the week, Dow Jones gained by 1.70%, Nasdaq rose by 0.14% and S&P 500 rose by 1.40%.
Major European shares closed higher on Friday even though the British Parliament rejected the Prime Minister’s May Brexit deal for the third time, raising the possibility of a ‘no deal’ exit on 12th April 2019. During the week, DAX gained by 1.43% and FTSE gained by 1%.
Sensex and Nifty gained by 1.33% and 1.50% during last week.
India’s current account deficit widened to USD 16.9 billion, or 2.5% of the GDP in the last three months of 2018 from USD 13.7 billion or 2.1% of the GDP a year earlier. The goods deficit increased to USD 49.5 billion from USD 44 billion a year ago as imports rose 9% while exports went up at a softer 7.2% rate.
India’s fiscal deficit widened to Rs. 8.52 trillion in April 2018-February 2019 from Rs. 7.16 trillion in the same period of the previous fiscal year. Total expenditures jumped 9.5% to Rs. 21.89 trillion and revenues rose at a slower 4.2% to Rs. 13.37 trillion. The budget gap is equivalent to 134.2% of the government’s target for the whole financial year, compared with 120.3% a year ago.
Power Finance Corporation announced the acquisition of the Centre’s 52.63% paid-up share capital in Rural Electrification Corporation (REC). The board of directors approved the acquisition cost of about Rs 145 billion.
Sectoral Indices Trends:
The sectoral indices closed positive territory during last week. The S&P BSE Oil & Gas, Auto , PSU, IT and Bankex indices had gained by 3%, 0.14%, 4%, 0.26% and 3% respectively.
SBI Witnesses highest rise in turnover in Stock Derivatives
SBI Witness rise in turnover in Stock Derivatives
SBI has witnessed rise in open interest in the stock future segment in the last week. Share price of SBI gained by 10% in the last week. SBI had proposed to fund Rs. 15 billion into debt heavy Jet Airways as a temporary cashflows to run operations. However, bank is keen on tapping global airline companies for the stake sale in Jet Airways.
Last week, SBI has signed a memorandum of understanding (MoU) with Bank of China, third-largest bank in the world by capital size and one of the major players in the Chinese banking sector, to enhance business synergies between both the banks. State Bank of India has raised Rs 12.5 billion in bonds on Friday to boost its additional tier 1 capital ratio while its board has extended the deadline to raise Rs 200 billion till March next year.
Foreign Institutional Investors (FIIs) Derivative Statistics have shown fall in the open interest across Stock Options, Index futures, Index options and Stock futures on a week on week basis.
Indian rupee depreciated by 0.4% against USD, USD/INR pair closed at Rs. 69.40 in the last week.