Post Market Report, February 23, 2016 | Stocks and Commodities

February 23, 2016
Time: 5.15 pm

Post Market Report:

1. What a disappointing day of trade?
2. There are many reasons for such a big fall.
3. First, global cues, Asian markets were trading in Red in the morning.
4. Second, PNB was thrown out of Nifty and hence all PSU Banks came under severe selling pressure.
5. Second largest PSU Bank is out of Nifty. What a pity?
6. Third, Moody's Investor Services announcement that India's Fiscal Metrices will be under pressure.
7. Fourth, Govt. decision to offload shares of NTPC at the current market conditions.
8. If the Govt. has felt that there is some good news in Budget which will help the markets to improve, then why should they sell NTPC at such a low rate desperately?
9. Is it that Govt. feels that market weakness will continue even after budget?
10. Another thing is that anyway FIIs keep exiting our markets and who is going to buy these shares?
11. Once again LIC has to buy almost the entire stake and in that case LIC will not be able to support the markets at lower levels.
12. Fifth, continued FII selling, yesterday's sell figure of more than 500 crores has rattled the bulls.
13. Just look at HDFC, a high quality share, everyday 20% of its free float market cap is coming for sale of which 15% or more is for delivery based selling.
14. Same is the case for HDFC Bank.
15. Today's 25% fall was due to HDFC Bank, ICICI Bank, ITC and TCS. All FII heavy counters.
16. Sixth, Crude started falling again.
17. Seventh, last but not least, when markets fall drastically after being bullish for 4 days, trader's stop loss gets triggered, those who sold Nifty 7200 Put have to go short in the Nifty, and so on. So markets go for free fall.
18. All these mayhem happened despite not so much negative cues globally.
19. Other markets have fallen anywhere between 0.2% to 1%.
20. Even Dow future was down just 50 points, after rising 200 points yesterday, falling by 50 points is not a big deal.
21. Big sellers have actually know all these and that is why by placing fake orders, they created an impression that markets will be good in "Pre Market Session"
22. But at the end of the day, the FII selling was not as much as we thought, FIIs have sold only for Rs 290 crores.
23. DIIs have bought for Rs 258 crores. Markets can fall nearly 2% when there is a net sell figure of less than Rs 50 crores in Cash market?
24. After seeing the FII figure and marginal improvement in US futures and European indices, SGX Nifty is trading higher by about 25 points.
25. An interesting thing to note today is that though Nifty future closed at 7010, the last punch was at 7090.
26. Even in the last second, somebody sold Nifty futures at 7090.