Pre-market cues: Gift Nifty hints gap-down; Quant MF, GPEco listing, 6 IPOs

All you need to know before the market opens on Monday, June 24, 2024: Gift Nifty quotes around 23,430 levels; Kospi, Taiwan deep in red in Asian trades; GP Eco Solutions to debut today.

Stock markets are likely to start Monday’s trading session on a dismal note, amid gloomy mood in global peers, and a likely technical correction post the recent sharp gains.

At 07:00 AM, Gift Nifty futures quoted around 23,428, indicating a likely gap-down of over 75 points on the Nifty 50 index.

Further, reports of alleged irregularities in investment-related activities by fund managers at Quant Mutual Fund are likely to weigh on the trading sentiment. As per sources, Sebi officials last week conducted searches at Quant MF office, which has around Rs 80,000 crore in assets under management (AUM). READ MORE

 

Global mood

Markets, in the Asia-Pacific region, traded in a sea of red this morning. Taiwan was down over 1 per cent, and Kospi 0.6 per cent. Japan’s Nikkei traded flat, while the Australian benchmark indices – the ASX 200 and All Ordinaries declined 0.6 per cent each.

On Friday, the US market ended mixed amid profit-taking in tech shares, mainly Nvidia. Dow Jones was unmoved, while the S&P 500 and NASDAQ slipped 0.2 per cent each.

The US 10-year bond yield remained steady amid reports that US business activity was stronger than expected, and inflation remained muted. The bond yield quoted at 4.257 per cent. Among commodities, Gold futures fell to $2,335 levels, while Brent Crude Oil hovered around $85 per barrel.

Fund flow action

Foreign institutional investors (FIIs) net sold stocks to the tune of Rs 1,790 crore on June 21; whereas, domestic institutional investors (DIIs) were net bought shares worth Rs 1,237 crore.

In the derivatives segment, FIIs net bought index futures to the tune of Rs 1,526 crore. FIIs, mainly, bought Nifty futures worth Rs 498.28 crore (OI up by 8,355 contracts) on June 21. FIIs net sold Bank Nifty futures worth Rs 654.07 crore (OI down by 8466 contracts).

As a result, FIIs index futures long-short ratio edged up to 1.32, with 56.96 per cent index longs versus 43.04 per cent short positions. 

On the other hand, DIIs (Domestic Institutional Investors) and retail investors raised their bets on the short side in index futures to 58.97 per cent and 53.80 per cent.

Stocks in F&O ban period

Balrampur Chini, Chambal Fertilizers, GNFC, Granules India, Hindustan Aeronautics (HAL), Hindustan Copper, Indus Towers and Piramal Enterprises are the eight stocks in F&O ban period on Monday. 

The Future & Options (F&O) contract of a particular stock enters the ban period when the open interest (OI) on it crosses 95 per cent of the market-wide positions limits (MWPL).  Only squaring off positions is allowed in all such stocks, any fresh position in these counters shall attract a penalty from the exchange.

New listing

GP Eco Solutions to be listed on the SME platform on Monday. The IPO had received a strong demand and was subscribed over 850 times. Grey Market Premium indicates a likely over 100 per cent listing premium to the stock.

Primary Market Update

Four SME IPOs will be opening for subscription today – Mason Infratech, Sylvan Plyboard (India), Visaman Global Sales and Shivalic Power Control. 

That apart, another two SME IPOs too are open for subscription, of which Winny Immigration and Education Services issue closes today, while Medicamen Organics public share sale ends tomorrow.