Pre-Market Snap: Global and Indian Market Updates for October 8, 2024

Indian markets are set to open lower today, with Gift Nifty trading well below the previous close. Global markets have seen a sell-off, led by Wall Street and major Asian indices. Here’s a detailed pre-market report with key updates on global and Indian indices, stocks in the news, and technical analysis.

Global Indices Update (As of 7:13 AM)

• Gift Nifty: 24,854.5 (-93.5, -0.37%)
• Dow Jones (US): 41,954.24 (-398.51, -0.94%)
• Nasdaq (US): 17,923.9 (-213.95, -1.18%)
• S&P 500 (US): 5,695.94 (-55.13, -0.96%)
• Hang Seng (Asia): 22,225.83 (-873.95, -3.78%)
• Nikkei 225 (Asia): 39,029.55 (-303.19, -0.77%)
• Kospi (Asia): 2,586.7 (-23.68, -0.91%)
• FTSE 100 (Europe): 8,303.62 (+22.99, +0.28%)

Indian Indices (As of the Previous Market Close)

• Sensex: 81,050 (-638.45, -0.78%)
• Nifty 50: 24,795.75 (-218.85, -0.87%)
• Nifty Bank: 50,478.9 (-983.15, -1.91%)
• India VIX: 15.08 (+0.95, +6.74%)

Market Bulletin

1. Indian markets are likely to open lower as Gift Nifty indicates a negative start, trading 130 points below the previous close.
2. Sensex and Nifty have declined for six consecutive sessions; FIIs pulled out ₹30,700 crore in the first three days of October.
3. Asian markets are mostly in the red, with Japan and South Korea indices falling, while Chinese markets rally post-holiday.
4. Wall Street ended sharply lower, driven by tech stock sell-offs; Dow Jones, S&P 500, and Nasdaq all declined.
5. US Treasury yields surged, reducing market expectations for a large Fed rate cut; the 10-year yield tops 4%.
6. Samsung reported a 274% rise in Q3 operating profit but missed market estimates.
7. Oil prices slightly dropped after a recent rally; Brent crude stands at $80.70 per barrel.
8. Gold prices remain steady as investors await the release of the US Fed’s meeting minutes.
9. Ola Electric received a show-cause notice after thousands of customer complaints.
10. FIIs have cumulatively sold nearly ₹50,000 crore in the cash market over the last six trading sessions.
11. India VIX surged almost 7%, crossing 15, signaling increased market volatility.
12. Securities in ban period include Bandhan Bank, Birlasoft, Gujarat Narmada Valley Fertilizers & Chemicals, Granules India, Hindustan Copper, IDFC First Bank, Manappuram Finance, Punjab National Bank, and RBL Bank.

Technical Analysis

Nifty 50

1. Nifty closed below key support levels, ending just below 24,800.
2. The index slipped below the September swing low of 24,750 but recovered slightly.
3. A break below 24,750 could trigger a drop to 24,500.
4. Key resistance levels: 25,049, 25,155, 25,326.
5. Key support levels: 24,706, 24,600, 24,429.
6. Oversold conditions might lead to a pullback toward 25,200 or 25,350, but the overall trend remains bearish (Aditya Agarwal, Sanctum Wealth).

Bank Nifty

1. Bank Nifty experienced significant volatility, with swings of 1,000 points throughout the session.
2. The index is down 4,000 points from its all-time highs.
3. Key resistance levels: 51,427, 51,802, 52,410 (pivot points); 51,196, 51,826 (Fibonacci retracement).
4. Key support levels: 50,212, 49,836, 49,229 (pivot points); 49,648, 48,351 (Fibonacci retracement).
5. The index broke below its previous swing low of 50,370, highlighting a continuing bearish trend (Om Mehra, SAMCO Securities).
6. Bank Nifty closed 1.91% lower with the highest trading volume since August 30, forming a large red candle.

Nifty Call Options Data

• Maximum open interest at the 26,000 strike (1.01 crore contracts), indicating potential resistance.
• The 25,500 strike (68.57 lakh contracts) and 25,700 strike (46.7 lakh contracts) also show significant open interest.
• Maximum call writing at 25,000 strike (27.33 lakh contracts) — potential resistance level.
• Maximum unwinding at 25,400 strike (7.94 lakh contracts).

Nifty Put Options Data

• Maximum open interest at the 24,000 strike (55.06 lakh contracts), signaling potential support.
• The 24,500 strike (33.36 lakh contracts) and 25,000 strike (23.92 lakh contracts) are also important support levels.
• Maximum put writing at 24,000 strike (9.02 lakh contracts) — strong support level.
• Maximum unwinding at the 25,000 strike (8.77 lakh contracts).

Stocks in the Positive News

1. HDFC Bank: Board approved the sale of a 100% stake in HDFC Education to Vama Sundari for ₹192 crore.
2. Mahanagar Gas: Signed a term sheet for an investment of up to ₹385 crore in International Battery Company Pvt. Ltd., acquiring at least a 40% stake.
3. Bharat Electronics: Received orders worth ₹500 crore since September 11, with total FY25 orders reaching ₹7,689 crore. Aims for ₹25,000 crore in FY25 order inflows.
4. MOIL: Recorded the best production and sales figures in September, with production up 7% to 8.7 lakh tonnes in H1 FY25. September sales hit a record of 1.59 lakh tonnes.
5. Eraya Lifespaces: Subsidiary Ebix Cash won a ₹138.75 crore contract to provide network integration services to Punjab National Bank for three years.
6. Swelect Energy Systems: Subsidiary SWELECT Clean Energy commissioned an additional 7 MW solar power plant in Tamil Nadu.
7. Cholamandalam Investment and Finance: Ravindra Kumar Kundu took office as Managing Director on October 7, 2024.
8. Lemon Tree Hotels: Signed a license agreement for a 54-room hotel in Udaipur, Rajasthan, expected to open in FY27.
9. Zodiac Energy: Received an order worth ₹154.27 crore from Ahmedabad Municipal Corporation for a 30MW ground-mounted solar project in Gujarat.

Stocks in the Negative News

1. Godrej Consumer Products: Consolidated EBITDA growth is expected to be lower due to challenging operating conditions in India and rising palm oil input costs. Standalone EBITDA growth might be flat.
2. Sobha: Q2 total sales value fell by 37% sequentially and 32% year-on-year to ₹1,178.5 crore. Average price realization dropped by 20% compared to June.
3. Nykaa: Q2 net revenue growth is projected in the mid-20s, with weak demand for fashion products during the first half of the financial year.
4. IRCON: Apex Buildsys has filed claims of ₹38.7 crore against IRCON; the case is currently under arbitration.
5. HEG: HEG has acquired an 8.23% stake in GrafTech International for ₹248.62 crore.
6. Tata Motors: Jaguar Land Rover’s Q2 retail sales dropped by 3% year-on-year to 1.03 lakh units. Production fell by 7% due to aluminum supply chain issues, while wholesales were down 10% year-on-year to 87,303 units.

FII and DII Data

• FIIs: Net sellers worth ₹8,293.4 crore (October 7, 2024, Cash).
• DIIs: Net buyers worth ₹13,245.1 crore (October 7, 2024, Cash).

PCR of Indices (Weekly Expiry)

• Nifty: 0.4567
• Bank Nifty: 0.5087
• Fin Nifty: 0.5435
• Midcap Nifty: 0.8046
• Sensex: 0.7871

A Put-Call Ratio (PCR) above 1 signals bearish sentiment, while a PCR below 1 suggests bullish market conditions.

Tags: Indian stock market, pre-market update, global markets, Nifty technical analysis, Bank Nifty technical analysis, FIIs data, stocks in the news, Nifty call options, Nifty put options.