Weekly Trading Diary: 30th May to 3rd June 2022

Tradingqna · May 29, 2022, 12:58pm

A thread for discussing all your trades, strategies, ideas, news, stories, etc.

Recap of what the markets were up to in the week gone by;

Sensex and Nifty recovered after posting losses on the first three days of trading to close the week on a positive note. Sensex rising by almost 1%, while Nifty by half-a-percent.

On the sectoral front only Nifty Bank, Auto and PSU Bank indexes managed to end the week with gains. Nifty Metal index was the top loser, down by 8.7%.

Here’s what the FIIs and DIIs were up to;

US markets rebounded sharply in the week ended May 27, snapping seven week losing streak. Here’s how the major markets around the world fared;

Things to watch out for in the coming week

Listings

While IPO markets hits a pause in the comping week. Shares of three companies will be listing on the exchanges, that of Ethos, eMudhra and Aether Industries.

Shares of Ethos will list on the exchanges on Monday, 30th May. eMudhra on Wednesday, 1st June. While Aether Industries on Friday, 3rd June.

Earnings to watch out for:

On the earnings front, most notable names will be reporting their earnings on Monday, 30th May, with nothing much to look forward to for the remaining week.


LIC
Sun Pharma
IRCTC
Varun Beverages
Delhivery Ltd.
Jubilant Foodworks
Aurobindo Pharma
Trident Ltd.
Dixon Technologies
Natco Pharma
Dish TV India

Key macroeconomic events around the world:

	31st May		1st June		2nd June		3rd May
India	GDP Estimates (Q4)	UK	Manufacturing PMI (MAY)	US	Nonfarm Employment Change (MAY)	Japan	Services PMI (MAY)
Japan	Retail Sales (APR)	US	ISM Manufacturing PMI (MAY)		Crude Oil Inventories	Eurozone	Services PMI (MAY)
	Industrial Production (APR)						Markit Composite PMI (MAY)
China	Manufacturing PMI (MAR)					US	Nonfarm Payrolls
	Non-Manufacturing PMI (MAR)						Unemployment Rate
Eurozone	CPI Inflation (MAY)

So, what are you looking forward to in the coming week? Join the discussion below

Prakashsingh · May 30, 2022, 3:36am

Good morning all

We are opening above key resistance levels of 16400-420 in nifty.

With bank nifty breaking out and nifty IT recovering smartly from it needs to be seen how much can the mrkt go up.

With 16420 - 16200 - 16080 - 15900 as supports on the downside. Anything below that should result in nifty testing 15000 levels…as mrkt already held the support two times near 15700 zones.

I would personally not go long at these levels and book my positional setups and look for shorting opportunity near 16550-750 zones…

Tradingqna · May 30, 2022, 12:20pm

Nifty and Senxes extended their gains for third straight session, surging around 1.9% for the day. US futures too are trading higher, indicating a positive opening for US markets.

Brent Crude: 120.06 0.72%
USD INR Spot: 77.5375 -0.04%
India 10Y Bond yield: 7.41 0.82%

All sectoral indices ended the day in green. With Nifty Realty topping the tables, up by over 4%. Followed by Nifty IT, Media and PSU Bank indexes, each surging over 3%.

Amongst the F&O stocks

Dixon Technologies India was the top gainer.

Dr Lal Path Labs was the top loser.

Earnings Update:

Sun Pharma: Net Loss: Rs. 2,277 cr against profit of Rs. 894 cr YoY; Revenue: Rs. 9,446.7 cr 10.8% YoY.

Jubilant Food: Net Profit: Rs. 116.1 c r:arrow_up: 11.3% YoY; Revenue: Rs. 1,158 cr 12.9% YoY.

In the news

Tata Motors’ subsidiary Tata Passenger Electric Mobility Limited signed a tripartite MoU with Ford India and the Government of Gujarat for takeover of Ford’s passenger vehicle manufacturing plant at Sanand.

Larsen & Toubro received contract order for the Chennai Metro Rail Project. According to the company’s project classification, the value of a significant order ranges from Rs 1,000 crore to Rs 2,500 crore.

India’s foreign exchange reserve rose over $4 billion in the week that ended on May 20, the first increase after declining for ten consecutive weeks as the dollar drifted towards its first monthly loss in five months.

State-owned Gail India will invest Rs. 6,000 crore in the next three years in renewables. The investment can go up by an additional Rs 20,000 crore by 2030, GAIL India chairman and managing director Manoj Jain told reporters.

Around the World

Spanish inflation soared to 8.5%, denting hopes that the Eurozone’s record price surge is peaking and piling more pressure on the European Central Bank to act.

Brent crude tops $120 a barrel as China eased lockdowns and the EU worked on a plan to ban imports of Russian crude.

Ashutosh_Ghuley · May 31, 2022, 10:47am

Today Nifty forms a Doji and this is dangerous.

hitesh_modi · May 31, 2022, 12:20pm

Nifty is not in a danger zone till its trade above 16400-16500 …Below this bears are back again

Tradingqna · May 31, 2022, 12:32pm

Benchmark indices drifted off day’s highs to close the day lower, snapping a three-day winning streak. Dow and Nasdaq futures are trading lower as well.

Brent Crude: 119.2 -2.03%
USD INR Spot: 77.64 0.13%
India 10Y Bond yield: 7.417 0.11%

Nifty Realty was the best-performing sector, rising more than 2%, followed by Nifty Media and Metal, gaining more than 1.3% each. While Nifty Energy and PSU Bank indexes were the biggest losers, falling more than 1%.

Amongst the F&O stocks

Info Edge India was the top gainer.

Aarti Industries was the top loser.

Earnings Update:

LIC: Net Profit: Rs 2,409 cr 17.41% YoY; Revenue: Rs. 211,471 cr 11.64 % YoY.

IRCTC: Net Profit: Rs. 213.78 cr 105.7% YoY; Revenue: Rs. 690.9 cr 103.9% YoY.

Aurobindo Pharma: Net Profit: Rs. 576.14 cr 28% YoY; Revenue: Rs. 5,809 cr 3.2% YoY.

In the news

The central government’s fiscal deficit for FY22 has come in at 6.7%, undershooting the revised target by 20 basis points, as per the data released by the CGA.

India’s meteorological agency has said that the country will experience normal or above-average monsoon rainfall for the fourth straight year. IMD director general Mrutyunjay Mohapatra predicted that the country will receive 103% of its long-term average rainfall this year.

The Defense Ministry signed a contract worth Rs. 2,971 crores with Bharat Dynamics for the supply of ASTRA MK-I BVR Air to Air Missile and associated equipment for the Indian Air Force & Indian Navy.

Around the World

Eurozone inflation rose to yet another record high in May. Inflation in the 19 countries sharing the Euro accelerated to 8.1% in May from 7.4% in April, beating expectations for 7.7% as price growth continued to broaden.

China will cut the purchase tax levied on some low-emission passenger vehicles by half, according to a statement on the finance ministry’s website, as Covid outbreaks and lockdowns crush consumer confidence and the government pulls out all stops to spur economic growth.

EU leaders reached a compromise to impose a partial oil embargo on Russia. The watered-down embargo covers only Russian oil brought in by sea, allowing a temporary exemption for imports delivered by pipeline.

Tradingqna · June 1, 2022, 12:22pm

Benchmark indices failed to hold gains in a choppy session, falling for the second day in a row. US futures indicate a flat opening for US markets.

Brent Crude: 117.28 0.92%
USD INR Spot: 77.52 -0.15%
India 10Y Bond yield: 7.416 0.01%

Majority of sectoral indices finished negative. Nifty PSU Bank was the best performing sector, rising 0.7%, while Nifty IT was the worst, falling 1.41%, followed by Nifty Pharma and Realty, both dropping more than 1% each.

Amongst the F&O stocks

ICICI Prudential Life Insurance was the top gainer.

Syngene International was the top loser.

In the news

India’s factory activity grew more than predicted, indicating overall demand remained resilient despite high inflation. Manufacturing PMI, compiled by S&P Global, came in at 54.6 in May, lower than April’s 54.7 but above the 50-level separating growth from contraction.

The GST collections for April stood at Rs 1,40,885 crore, according to a statement by the finance ministry. That is an increase of 37.16% over the year earlier but a decline of 15.9% from the previous month.

Country’s largest mortgage lender HDFC Limited has hiked retail prime lending rate (RPLR) by 5 basis points or 0.05% on housing loans, effective from June 1.

The demand for FMCG in rural areas slowed down for the third consecutive quarter, with the volume slipping to 5.3% in the January-March period, according to NielsenIQ’s FMCG snapshot for Q1 2022.

Tata Motors sales jumped nearly three folds in May to 76,210 units compared to 26,661 units in May 2021. The company’s domestic sales increased three folds to 74,755 units from 24,552 units in May 2021.

Tradingqna · June 2, 2022, 12:27pm

Nifty and Sensex recovered from day’s lows to close the session on a positive note. Dow and Nasdaq futures indicate a positive opening for US markets.

Brent Crude: 113.36 -2.13%
USD INR Spot: 77.605 0.11%
India 10Y Bond yield: 7.436 0.30%

On the sectoral front, all indices except Nifty Auto and Bank ended in green. Nifty Energy index being the top gainer, surging by around 2%, followed by Nifty IT, up 1.82%.

Amongst the F&O stocks

L&T Technology Services was the top gainer.

Apollo Hospitals was the top loser.

In the news

Bank credit to NBFCs grew in double digits in FY22 with outstanding bank credit rising by 10.4% to Rs. 10.5 lakh cr on the back of improvement in overall economic activities and banks renewed focus on the NBFC sector following improvement in their balance sheets, says a report.

Reliance Brands Ltd. and Plastic Legno have signed a joint venture arrangement through which RBL will acquire a 40% stake in Plastic Legno’s toy manufacturing business in India.

The Indian digital payments ecosystem will nearly triple to $10 trillion by 2026 from the current $3 trillion led by growth in merchant payments, according to a joint report by PhonePe and the Boston Consulting Group.

ITC Infotech said it has paid an amount of $33mn to PTC as part of an agreement to acquire a substantial portion of the American company’s product lifecycle management implementation services.

Around the World

Sheryl Sandberg, the No. 2 executive at Facebook owner Meta, is stepping down. Sandberg has served as chief operating officer at the social media giant for 14 years. She joined Meta from Google in 2008, four years before Facebook went public.

China’s cooling economy is going to be the biggest drag on worldwide smartphone shipments this year, according to the latest IDC forecast, which points to a 3.5% global decline in 2022.

Tradingqna · June 3, 2022, 1:57pm

Benchmark indices fell from the days highs to close the session in red. US markets too are staring at negative opening as futures trade lower.

Brent Crude: 116.72 -1.14%
USD INR Spot: 77.6225 0.02%
India 10Y Bond yield: 7.46 0.35%

Nifty IT index was the sole gainer today, while all other sectors ended in red. Nifty Auto, Media, Bank and Metals were the top draggers, falling more than 1% each.

Amongst the F&O stocks

Metropolis Healthcare was the top gainer.

Ramco Cement was the was the top loser.

In the news

India’s merchandise import in May 2022 was $60.62bn, an increase of 56.14% over $38.83 bn in May 2021. The main reason behind the huge rise in imports during the period can be attributed to 92% and 760% jump in purchase of crude oil and gold on a YoY basis.

Shares of Deepak Nitrite dipped 4% after the company’s manufacturing facility in the Nandesari GIDC in Gujarat caught a massive fire following five chemical blasts on Thursday. After the accident, the company released a statement saying it was monitoring the situation and that the loss of property was insured.

Activity in India’s services sector improved to its highest level in eleven years. The S&P Global India Purchasing Managers Index for services rose to 58.9 in May from 57.9 in April, making it the best reading since April 2011.

Shares of cement companies were under pressure as they fell after the sector major UltraTech approved a new capital expenditure plan of Rs. 12,886 crore to tide increased competition in the sector.

Turkey’s inflation soared 73% in May, the fastest pace since 1998 as it came under more pressure from the rising cost of food and energy while ultra-loose monetary policy contributed to currency weakness.

World food prices dipped in May for a second consecutive month after hitting a record high in March. The FAO food price index, which tracks the most globally traded food commodities, averaged 157.4 points last month versus 158.3 for April.