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Daily Report 14-Feb-23

Indian market recovered from early losses ahead of India’s inflation data. ADANI group stocks & IT stocks were under pressure.

Wall Street rallied ahead of US CPI & Core CPI inflation data due to be released today. NASDAQ was up 1.48%, tech stocks seen some value buying at lower level.

SGX Nifty @ 17807.50 up 18.50 points at 8:35 AM

India’s inflation @ 6.52% Vs expectation of 6.1%.  High inflation could put some pressure on India’s 10-year bond yield & Banking stocks.

F&O data: FII long: short exposure at 17.94%:82.06%.  Nifty PCR @ 0.83 Vs previous 1.05.  Banknifty PCR @ 0.66 Vs 0.87 previous.  F&O data do indicate oversold zone and any positive trigger could lead to short covering.

VIX @ 13.68: could move above 14.

Approach on Indices: Indices continue to face resistance around 20-DMA on Nifty @ 17862 & Banknifty @ 41588.  Major rally could be expected once this level is cleared convincingly.  Indices expected to be in narrow range ahead of US CPI & Core CPI inflation data.

Market View: Going into trade today, SGX Nifty indicate flat opening ahead of key data from US tonight.  We believe inflation trend would continue to come lower, but market trend remains weak.  Market trend remain mix and F&O data indicate in oversold zone.

SGX Nifty @ 17807.50 up 18.50 points at 8:35 AM

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