Barometers hit record peaks; India VIX spurts over 8%

The domestic equity benchmarks hit fresh record high in mid-afternoon trade. At 14:25 IST, the barometer index, the S&P BSE Sensex, jumped 372.88 points or 0.76% at 49,155.39. The Nifty 50 index gained 105.10 points or 0.73% to 14,452.35.

The Sensex hit a record high of 49,269.02 and the Nifty hit a record high of 14,479.70 in the mid-afternoon trade. Positive Asian cues and robust FII inflows boosted sentiment.

The broader market was trading lower. The S&P BSE Mid-Cap index fell 0.39%. The S&P BSE Small-Cap index lost 0.18%.

Sellers outpaced buyers. On the BSE, 1385 shares rose and 1701 shares fell. A total of 155 shares were unchanged.

Derivatives:

The NSE's India VIX, a gauge of market's expectation of volatility over the near term, surged 8.21% to 22.34. The Nifty 28 January 2021 futures were trading at 14,464.40, at a premium of 12.05 points compared with the spot at 14,452.35.

The Nifty option chain for 28 January 2021 expiry showed maximum Call OI of 16.6 lakh contracts at the 14,500 strike price. Maximum Put OI of 26.5 lakh contracts was seen at 13,000 strike price.

Stocks in Spotlight:

Bharat Heavy Electricals (BHEL) were down 0.64% at Rs 39.10. BHEL on Monday (11 January) announced that it has secured an order for a steam and power plant from National Aluminium Company (NALCO). The order is valued at Rs 450 crore and is a part of NALCO's 5th Stream Alumina Refinery Expansion Project at Damanjodi, Odisha.

Tata Steel BSL fell 2.60% at Rs 43.15. The steel maker's crude steel production decreased marginally by 3%QoQ (quarter-on-quarter) and 4%YoY (year-on-year) to 1,109 thousand tons in 3Q FY21, primarily due to maintenance shutdowns.

The company saw strong sales momentum in 3Q FY21 but sales volumes were constrained by lower production and lower opening inventory post very strong sales in 2QFY21. As a result, deliveries were 1,149 thousand tons in 3Q FY21, lower by 10% on QoQ and 8% on YoY basis.

Numbers To Track:

In the foreign exchange market, the partially convertible rupee fell to 73.41 compared with its previous closing of 73.245.

The yield on 10-year benchmark federal paper rose to 5.922% as compared to its previous close of 5.892%.

MCX Gold futures for 5 February 2021 settlement rose 0.54% to Rs 49,231.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, rose 0.21% to 89.980.

In the commodities market, Brent crude for March 2021 settlement fell 58 cents to $55.99 a barrel. The contract rose 2.96% or $1.61 to settle at $55.99 in the previous trading session.

Powered by Capital Market - Live News