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EuExpress

EuExpress|IndiaSeptember 24, 2016

www.eurekasec.com

Weekly Market Bulletin

INDIAN MARKET AT A GLANCE

Indian equities closed with modest gains this week after rallying on Thursday amid profit booking in banking, power and FMCG stocks. The markets gained in two out of five trading sessions during the week. The market gained on Thursday led by gains in index heavyweights tracking firm global cues as US Federal Reserve kept key short‐term interest rate steady. Sustained inflows from foreign investors and across‐the‐board buying by the investors also helped market sentiments. However, markets fell on Friday a day after the Federal Reserve's decision to stand pat on US interest rates sparked a rally as investors booked profits tracking weakness in European and Asian stocks. Banking stocks, which witnessed heavy buying on Thursday fell sharply on Friday as investors cut down their exposure.

INTERNATIONAL MARKETS

US: US stocks closed closed higher thsi week with Nasdaq finishing at record close following the Federal Reserve's decision to keep interest rates low. Further, rally in crude oil futures helped sentiments. Moreover, fall in US dollar gave a boost to US exporters and commodities that are priced in the U.S. currency. Europe: European stocks marched higher this week boosted by the Bank of Japan's decision to tweak its monetary stimulus programmes and the U.S. Federal Reserve decision to leave interest rates steady.

Asian: Asian market rose as sentiments boosted by central banks’ decision to stick with easy‐money policies. While, Bank of Japan in the policy outcome on 21st September announced an overhaul of its massive monetary stimulus program, the US Federal Reserve stood pat on borrowing costs and scaled back the number of rate increases expected in the years ahead

MAJOR EVENTS

Vodafone pumps Rs 47,700 crore in Indian arm Ahead of a spectrum auction starting next month, Vodafone Group announced capital infusion of Rs 48,000 crore in to its Indian arm to beef up its capital base amid growing competition in the telecom space. This equity infusion will enable Vodafone India to continue its investments in spectrum and expansion of networks across various technology layers the company said. NTPC gets shareholders' nod to raise up to Rs 15k crore via bonds State‐run NTPC has received shareholders' approval to raise up to Rs 15,000 crore through issuance of debentures/bonds on private placement basis. The funds would be raised in one or more tranches/series not exceeding 30, through private placement, in domestic market for capex, working capital and general corporate purpose as per the special resolution passed by its shareholders in its Annual General Meeting, NTPC Ltd said. Govt extends support for exports under MEIS Given the continued challenging global environment being faced by Indian exporters, Department of Commerce has extended support to certain new products and enhanced the rate of incentives for certain other specified products under the Merchandise Exports from India Scheme (MEIS). According to statement released by the ministry of commerce & industry, 2901 additional products falling under different product categories have been added. Besides, rates of 575 product items falling under 11 products categories have been increased. Cabinet okays raising Rs 31,300 crore to boost infra spending The Union Cabinet has given its approval for raising a total of Rs 31,300 crore in the financial year 2016‐17 and to service the principal and interest against the Extra Budgetary Resources (EBR) of Rs 16,300 crore by Government of India to augment infrastructure spending.

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EuExpress | EquitySeptember 24, 2016

EQUITY MARKET SUMMARY

Monday: The Indian equities ended higher for the fourth straight session on Monday with benchmarks NSE Nifty breaching 8,800 level, helped by gains in the index heavyweights such as TCS, ONGC, ICICI Bank, Adani Port, and Tata Steel, tracking firm cues from Asian peers as rebound in oil prices bolstered market sentiment. However, investors stuck to a cautious approach ahead of key central bank meetings this week which may offer cues over the outlook for the global economy, restricting further gains. On the sectoral front, realty and metal stocks emerged as top gainers, adding as much as 1.6% and 1.3% respectively. Tuesday: Snapping four day gaining streak, the Indian equities ended lower on Tuesday as investors resorted to profit booking ahead of key central bank meetings this week which may offer cues over the outlook for the global economy, curbing risk taking appetite. The focus is on the US Federal Reserve and

the Bank of Japan meet and their outcome on 21st September. The chances of a US Fed rate hike this week remain slim in the wake of recent soft US economic data while analysts are divided over the possibility of further Bank of Japan action. On the sectoral front, realty and power stocks emerged as top losers, falling as much as 1.94% and 0.75% respectively. Wednesday: The Indian equities ended marginally lower on Wednesday, paring early gains, as investors resorted to profit booking ahead of the US Federal Reserve policy decision due later in the day. In another major development, Bank of Japan in its policy review kept rates unchanged and adopted a target for long‐term interest rates in an overhaul of its massive monetary stimulus programme. However, the chances of a US Fed rate hike remain slim in the wake of recent soft US economic data. A decision by the Fed to refrain from tightening may boost foreign capital flows to emerging markets including India. On the sectoral front, FMCG and PSU stocks emerged as top losers, falling as much as 0.58% and 0.3% respectively. Thursday: The Indian equities ended on robust note on Thursday, led by gains in index heavyweights such as ICICI Bank, Tata Steel, SBI, Hero MotoCorp, Maruti Suzuki, HDFC, Tata Motors, GAIL, ONGC and RIL, tracking firm cues from Asian peers after US Federal Reserve kept key short‐term interest rate steady. Sustained inflows from foreign investors and across‐the‐board buying by the investors also helped market sentiments. On the sectoral front, oil& gas and bankex stocks emerged as top gainers, adding as much as 1.51% and 1.49% respectively. Friday: The Indian equities ended on bearish note on Friday amid profit booking in banking, power and FMCG stocks, tracking weak cues from Asian and European markets. Outperforming the benchmark indices, the broader markets ended higher with the BSE mid‐cap index ended 0.28 per cent higher and small‐cap index settled 0.08 per cent higher. On the sectoral front, bankex and power stocks emerged as top losers, falling as much as 1.23 per cent and 0.61 per cent respectively.

MAJOR INDICES PERFORMANCE

Indices Close

Sep 23, 16 Close

Sep 16, 16 % Change

BSE Sensex 28,668 28,599 0.24

NSE Nifty 8,832 8,780 0.58

BSE Midcap 13,332 13,051 2.15

BSE Smallcap 12,959 12,765 1.52

BSE 200 3,800 3,768 0.84

BSE 500 11,948 11,841 0.90

FIIS MOVEMENT ( CRORE)

Date Gross purchase Gross sales Net Investment

Eq Debt Eq Debt Eq Debt

Sep 23, 16 4,812 1,535 4,410 1,618 402 (83)

Sep 22, 16 4,538 609 4,030 1,389 508 (780)

Sep 21, 16 4,551 1,281 3,445 1,215 1,106 66

Sep 20, 16 4,784 1,243 3,820 720 964 523

MUTUAL FUND MOVEMENT ( CRORE)

Date Gross purchase Gross sales Net Investment

Eq Debt Eq Debt Eq Debt

Sep 22, 16 1,679 10,824 1,352 7,361 327 3,464

Sep 21, 16 1,272 7,758 1,040 4,999 233 2,759

Sep 20, 16 2,089 11,026 1,079 6,900 1,010 4,126

Sep 19, 16 1,067 7,181 1,054 5,866 12 1,315

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SECTOR OVERVIEW

Indices Close (Sep 16, 16) Weekly high Weekly low Close (Sep 23, 16) %Change

BSE Auto 22,419 22,770 22,234 22,642 0.99

BSE Bankex 22,735 23,215 22,610 22,753 0.07

BSE CDS 12,569 12,895 12,492 12,747 1.41

BSE CGS 14,990 15,253 14,908 15,119 0.86

BSE FMCG 8,875 8,929 8,717 8,746 (1.45)

BSE HCS 16,475 16,735 16,437 16,614 0.84

BSE IT 10,326 10,449 10,191 10,299 (0.26)

BSE Metal 9,509 9,915 9,464 9,838 3.45

BSE Midcap 13,051 13,399 13,028 13,332 2.15

BSE Oil&Gas 11,092 11,488 11,021 11,434 3.08

BSE Power 2,058 2,091 2,050 2,069 0.53

BSE PSU 7,461 7,657 7,433 7,594 1.78

BSE Realty 1,541 1,592 1,526 1,571 1.92

BSE Sensex 28,599 28,872 28,462 28,668 0.24

BSE Smallcap 12,765 13,043 12,710 12,959 1.52

BSE Teck 5,667 5,737 5,610 5,673 0.09

BSE Metal ended higher by 3.5% The Metal index was the highest gainer on the Indian bourses this week. The index kept the investors in a jubilant mood after Coal Minister – Piyush Goyal stated that the government is working on a plan to end dependency on coal imports by any state government or state discom in the next 3‐4 months in order to facilitate consumption of the surplus fossil fuel produced by Coal India. Moreover, the index also gathered strength as the copper prices edged lower in the global commodity markets. Besides, expectations of a significant increase in output and capacity by the index majors – SAIL, Tata Steel, JSW Steel etc. as the PM embarks on huge investments in new railroads, highways and ports (including USD44 billion pledged for this year) also boosted market sentiments. Major gainers were Hindalco 6.06%, Hindustan Zinc 3.73%, Vedanta 2.60% and NMDC 2.38%. BSE Oil & Gas inclined by 3.1% The Oil & Gas index remained the second highest gainer this week in line with the overall Indian market. Investor sentiments were upbeat on the street after BPCL announced its plans of an initial public offering (IPO) for its Bina refinery joint venture (JV) company in the next financial year. Additionally, the signing of an MoU by Indian Oil Corporation (IOC) and GAIL (India) Limited for taking equity stake in the upcoming Dharma LNG Terminal also uplifted the market sentiments. Major gainers were Castrol India 7.36%, BPCL 5.85%, HPCL 5.51% and ONGC 5.10%. BSE Auto rose by 1.0% The Auto index also emerged as a gainer this week. Sentiments got boosted for the index trailing the overall optimism in the Indian markets. The index gathered strength after the country’s largest carmaker ‐ Maruti Suzuki India announced on Friday that it has crossed the milestone of 15 lakh vehicles in its cumulative exports. Moreover, the US Federal Reserve’s decision to keep the interest rates unchanged at its policy meet on Wednesday also cheered the index as a majority of auto companies depend heavily on exports for their revenue. Major gainers were MRF 11.57%, Eicher Motors 10.55%, Bharat Forge 8.75% and Maruti Suzuki 2.92%. BSE HC ended higher by 0.8% The Healthcare index also remained a gainer this week, in‐line with the overall market sentiments. The index witnessed positivity this week after drug major ‐ Aurobindo Pharma reported on 22 September 2016, that it had received tentative approval of Dolutegravir (50mg) from US Food & Drug Administration (USFDA) for the treatment of HIV. Further, a report by PwC that the pharma companies have gained during Q1F17 from the adoption of the new accounting standards, Ind AS, as there was a jump in net income also boosted the market sentiments. Major gainers were Aurobindo Pharma 7.74%, Glenmark Pharma 6.48%, Wockhardt 5.34% and Cipla 4.57%.

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TOP GAINERS TOP LOSERS

Shares of Hindalco surged after media reports that the company showed free cash flow for the first time in several years after a heavy capital expenditure to more than double its capacity amidst a global commodity downturn. Shares of Auropharma Ltd surged after the company said private equity firm KKR is likely to pick up stake in Aurobindo Pharma . The size of the deal is said to be anywhere between Rs 1500‐2000 crore. Even though the KKR is buying promoters stake but it boost the confidence of other shareholders. Shares of Eicher Motors hit an all time high during the week after company said that Royal Enfield is a big hit with the Indian market. Further, an improved monsoon along with seventh pay commission will also have an effect on consumer demand.

Shares of Axis BAnk fell after media reports that Specified Undertaking of Unit Trust of India (SUUTI) may announce the sale of its stake in the bank. Prices also fell after Goldman Sachs downgraded Axis Bank stock to 'neutral' from 'buy', amid valuation concerns. Shares of ITC, fell due to objection raised RSS affiliated body to the proposed sale of government stake in ITC held through SUUTI.

BSE (GROUP A) ‐ TOP GAINERS

Scrip Close

Sep 16, 16 High Low

Close Sep 23, 16

%Chg

Alok Ind 03 04 03 04 33.33

Bajaj Finser 2,909 3,420 2,872 3,318 14.05

Amtek Auto 43 50 42 49 13.95

MRF 40,503 46,355 40,250 45,816 13.11

Raymonds 477 544 465 536 12.36

BSE (GROUP A) ‐ TOP LOSERS

Scrip Close

Sep 16, 16 High Low

Close Sep 23, 16

%Chg

Axis bank 601 612 556 557 (7.32)

GMDC 92 94 86 86 (6.52)

Intel.Design 200 207 186 187 (6.50)

Natco Pharma 660 670 610 620 (6.06)

GodrejConsum 1,685 1,710 1,563 1,583 (6.05)

NSE (NIFTY) ‐ TOP GAINERS

Scrip Close

Sep 16, 16 High Low

Close Sep 23, 16

%Chg

Hindalco 143 157 142 154 7.69

EicherMotors 23,135 25,000 22,501 24,853 7.42

AurobndoPhrm 785 863 783 841 7.13

Bharti Infra 352 388 345 371 5.39

Yes Bank 1,170 1,259 1,156 1,233 5.38

NSE (NIFTY) ‐ TOP LOSERS

Scrip Close

Sep 16, 16 High Low

Close Sep 23, 16

%Chg

Axis bank 602 612 556 557 (7.47)

Lupin 1,537 1,562 1,484 1,489 (3.12)

ITC 260 263 252 253 (2.69)

Idea 85 86 82 83 (2.35)

Tech Mahindr 465 475 453 455 (2.15)

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INTERNATIONAL MARKETS

ASIAN MARKET

Asian market rose as sentiments boosted by central banks’ decision to stick with

easy‐money policies. While, Bank of Japan in the policy outcome on 21st

September announced an overhaul of its massive monetary stimulus program, the US Federal Reserve stood pat on borrowing costs and scaled back the number of rate increases expected in the years ahead. Japanese central bank kept the key interest rate steady and said the central bank will continue to buy assets such as government bonds, at the rate of 80tn yen a year. The bank introduced interest‐rate target for 10‐year government bonds in order to achieve 2% inflation target as soon as possible. Further, rise in crude oil and metal prices on the back of a softer dollar also boosted sentiments. However, a stronger Yen weighed on Japanese stocks on the last trading day of the wee on Friday following the Federal Reserve decision to keep U.S. rates unchanged. Still, the Nikkei 225 index gained around 1.4% for the week.

US MARKET

Scrip Close

Sep 17, 16 High Low

Close Sep 23, 16

%Chg

DJIA 18,261 18,450 18,093 18,120 0.77

Nasdaq Comp 5,306 5,343 5,223 5,235 1.35

S&P 500 2,165 2,180 2,136 2,139 1.19

EUROPEAN MARKET

Scrip Close

Sep 17, 16 High Low

Close Sep 23, 16

%Chg

DAX 10,627 10,705 10,327 10,374 2.43

ASIA PACIFIC

Scrip Close

Sep 17, 16 High Low

Close Sep 23, 16

%Chg

Hang Seng 23,686 24,059 23,395 23,550 0.57

Kospi Comp 2,054 2,060 1,997 2,016 1.89

Nikkei 225 16,754 16,824 16,400 16,492 1.58

Shang Comp 3,034 3,054 3,005 3,026 0.25

US MARKET

Monday: US stocks closed volatile session on a flat note on Monday as the investors turned cautious ahead of the policy meet of US Federal Reserve and the Bank of Japan. Investors mostly focused on the Federal Reserve’s two‐day policy meeting starting Tuesday. The markets traded firmly higher in the initial session driven by gains in crude oil futures and a report showing a surge in home‐builder confidence in September. The National Association of Home Builders’ index jumped six points to 65 in September. Tuesday: US stocks closed flat on Tuesday pairing most of the initial gains at the close of trading ahead of outcomes of meetings from the Federal Reserve and the Bank of Japan on Wednesday. Further, volatile crude oil prices limited the gains. On the data front, the Commerce Department said the pace of home construction slowed down in August as home‐builder construction fell 5.8% to 1.14 million annual pace in the month. Wednesday: US stocks closed higher on Wednesday as the sentiments boosted after the US Federal Reserve kept interest rates unchanged. However, the Central bank hinted at the possibility of one rate hike later this year. The stocks had started the day on a positive note as the Bank of Japan overhauled its monetary‐policy framework and didn’t cut interest rates further into negative territory. The BOJ kept its deposit rate unchanged at negative 0.1%. Further, rise in crude oil prices also helped boosted investors’ sentiment. WTI crude futures gained 3.5% amid hopes that major oil producers could reach an agreement to cap output. Moreover, oil prices were also lifted after a surprise weekly drop in U.S. crude stockpiles that helped assuage fears over a global glut. The American Petroleum Institute on Tuesday reported a 7.5 million barrel decrease in U.S. crude oil supplies, instead of the build that many expected. Thursday: US stocks closed near session high on Thursday with Nasdaq finishing at record close following the Federal Reserve's decision to keep interest rates low. The Federal Reserve kept interest rates unchanged on Wednesday, as was largely expected, but hinted at a possible rate hike before year's end. Further, rally in crude oil futures, which settled up by 2.2% at $46.32 a barrel, helped sentiments. Moreover, better‐than‐expected weekly jobless claims data in US boosted sentiments. Data showed weekly jobless claims fell to the lowest tally since July, indicating a strong labor market condition. Moreover, fall in US dollar gave a boost to US exporters and commodities that are priced in the U.S. currency.

EUROPEAN MARKET

European stocks marched higher this week boosted by the Bank of Japan's decision to tweak its monetary stimulus programmes and the U.S. Federal Reserve decision to leave interest rates steady. Further, US Fed indicated that it will keep monetary policy loose for at least another few months. Moreover, a weaker dollar in the aftermath of the Fed decision helped boosted commodities’ prices, which in turn led to increased buying in equities with exposure to these sectors. Mining and oil firms were among the biggest advancers, supported by a weaker dollar. However, disappointing Euro Region PMI data on Friday capped gains. The flash composite purchasing managers index (PMI) for the euro region, measuring the combined output across the manufacturing and service sectors, fell to 52.6 in September, the lowest since January 2015 from 52.9 in August.

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TECHNICAL VIEW AND OUTLOOK

Nifty ended the volatile week higher after US Federal Reserve announced to hold its key short‐term interest rate steady. In another boost to market sentiments, the Bank of Japan also unveiled a plan to overhaul monetary policy to support the economy. On the weekly charts, Nifty made a bullish candle moving in a higher high‐ higher low formation which failed to hit new swing high. This indicates that traders’ covering their short position but market is still in the bears grip. However, with any weakness below previous week’s low (8680) index could witness aggressive profit booking in the coming sessions. At the same time, the possibility of sideways consolidation cannot be ruled out as strength indicator RSI has entered in a highly overbought zone. On the higher side, the index is facing stiff resistance near its earmarked resistance zone of 8960‐8980. Follow through strength above 8980 would help the index to remain in a positive trajectory and heads towards its next target of 9100, which is its previous pivotal high. NSE Nifty (Technical View) S&P CNX Nifty has moved in a range of136pts during the week’s trade, touched an intra‐day low of8757 on Sep 21 and an intra‐day high of 8893 on Sep 22. Nifty closed the week at 8832 with gains of over 0.59%. On the week ahead, Nifty might test 8500 levels and below, if market failed to sustain above 8650 on closing basis. If, index managed to sustain above 8650, it may initiate a pullback rally leading the index towards 9100 and above. BSE Sensex (Technical View) Technically, the BSE Sensex has moved in a range of 409pts during the week’s trading, touching an intra‐day low at 28462 on Sep 22 and an intra‐day high of 28871 on Sep 24. It closed the week at 28669 with gains of over 0.24%. On the week ahead, Sensex might test 27,450 levels and below, if market failed sustain above 28,300 on closing basis. If, index managed to sustain above 28,300, it may initiate a pullback rally leading the index towards 29,400 and above.

OUTLOOK FOR THE NEXT WEEK

Indian equity market is expected to remain volatile next week ahead of futures & options expiry on Thursday. Traders roll over positions in the futures & options (F&O) segment from the near month September 2016 series to October 2016 series. Focus will be on Interest rate sensitive sector stocks ahead of the Reserve Bank of India ‘s fourth bi‐monthly monetary policy statement for the year ending March 2017 on 4 October 2016. Further, movement in crude oil prices will give further direction to the domestic equity market. Investors’ focus will be on meeting of the members of the Organization of Petroleum Exporting Countries next week. Moreover, progress of the monsoon rains in the Country will also remain on investors’ radar. On the global front, Bank of Japan Governor Haruhiko Kuroda will hold a press conference about monetary policies in Tokyo on Monday, 26, September 2016. US new home sales data for August is due on Monday. Further, US Markit PMI Composite and Services PMI data for September is due on Tuesday next week. Moreover, US consumer confidence data for September is also due on the same day. US Q2 GDP data is due on Thursday, 29 September 2016 along with pending home sales data for August on the same day. China’s Caixin Manufacturing and Services PMI data for September is due on Friday, 30 September 2016.

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RECORD DATES

Current Week Forthcoming week

Company name Purpose Date

Bal Pharma Ltd Final Dividend 18/09/2016

Coral India Housing Final Dividend 18/09/2016

Indo Thai Securities Final Dividend 18/09/2016

Orient Press Ltd Final Dividend 18/09/2016

Sakthi Finance Final Dividend 18/09/2016

Company name Purpose Date

DS Kulkarni Develope Final Dividend 25/09/2016

India Tourism De Final Dividend 26/09/2016

IndiaNivesh Final Dividend 26/09/2016

Kanpur Plasti. Bonus 26/09/2016

Nivedita Mer&Fin Final Dividend 26/09/2016

EX DIVIDEND DATE


Company name CMP (Rs.) Dividend (%) Date

Arcotech Ltd. 368.6 15.00 19/09/2016

Asian Star Co 766.0 15.00 19/09/2016

Balkrishna Ind. 851.2 75.00 19/09/2016

Basant Agro Tech 7.6 5.00 19/09/2016

Blue Blends (I) 57.0 5.00 19/09/2016

Company name CMP (Rs) Dividend (%) Date

Accelya Kale Solut 1,460.0 300.00 26/09/2016

National Alumini 46.0 15.00 27/09/2016

West Leisure Resorts 59.4 1.00 27/09/2016

EX SPLIT


Company name Ratio Date

JMT Auto Ltd. 2:1 21/09/2016


NO Data Found

EX BONUS



Kanpur Plasti. 1:2 23/09/2016


Arnold Holdings 5:1 27/09/2016

EVENTS

Event Date Particulars / Remarks

Initial Jobless Claims (Sep 23) (US) 29 Sep 2016 The Initial Jobless Claims released by the US Department of Labor is a measure of the number of people filing firsttime claims for state unemployment insurance. In other words, it provides a measure of strength in the labor market.

ECB President Draghi's Speech (Eurozone) 28 Sep 2016 The European Central Bank's president Mario Draghi gives press conferences in the back of how the ECB observes the current European economy.

Consumer Confidence (Sep) (US) 27 SeP 2016

The Consumer Confidence released by the Conference Board captures the level of confidence that individuals have in economic activity. A high level of consumer confidence stimulates economic expansion while a low level drives to economic downturn.

7

EuExpress | CommoditySeptember 24, 2016

COMMODITY MARKET OVERVIEW

Most of the domestic commodity indices ended the week higher as

participants widened their positions in the industrial metal on uptick in spot

demand in the domestic markets. Prices also rose after data showed that

unemployment assistance in the U.S. last week unexpectedly fell last week.

The U.S. Department of Labor said the number of individuals filing for initial

jobless benefits in the week ending September 17 decreased by 8,000 to a

seasonally adjusted 252,000 from the previous week’s total of 260,000. This

was its lowest level since July. However, gains were restricted after official

data showed that U.S. existing home sales unexpectedly fell in August

dampening optimism over the health of the housing market. The industry data

showed that home resales decreased 0.9% in August to a seasonally

adjusted 5.33 million units from the 5.38 million units in July. The prior

month’s data was revised from an initial reading of 5.39 million units.

Out of the four indices at the Multi Commodity Exchange (MCX), three ended

in the positive terrain during the week. MCXCOMDEX closed at 3132 (grew by

0.90 percent), while MCXMETAL closed at 4651 (grew by 1.70 percent),

MCXENERGY closed at 22342 (up by 1.7 percent) and MCXAGRI ended at

2502 (down by 0.2 per cent).

MCXENERGY ended the week higher as Crude oil futures closed higher in the

domestic market due to a third consecutive weekly decline in domestic

inventories and a weaker dollar. The crude prices rallied after data released by

the U.S. Energy Information Administration showed a biggerthanexpected

6.2million barrel fall in domestic crude stockpiles for the week ended Sept.

16. Further, Oil prices gained more ground following reports Saudi Arabia has

offered to reduce oil production if Iran agrees to cap its own output this year,

in a major compromise ahead of talks in Algeria next week. Hopes for a

potential deal to freeze output to support the market have been mounting

ahead of a meeting between OPEC and nonOPEC members scheduled from

September 26 to 28. At the same time, Natural Gas futures also rose amid

forecasts for warmer than normal temperatures across most parts of the

continental U.S. in the days ahead. Demand for natural gas tends to rise in

the summer months as warmer temperatures increase the need for gas fired

electricity to power air conditioning.

Zinc futures rose by more than 2% in the domestic market as metal traders

booked fresh positions in the industrial metal amid strong physical demand

for zinc in the domestic spot market. Sentiments strengthen further after The

National Association of Home Builders/Wells Fargo housing market index

rose unexpectedly last month, official data showed on Monday. In a report,

NAHB said that NAHB Housing Market Index rose to 65, from 59 in the

preceding month whose figure was revised down from 60. Analysts had

expected NAHB Housing Market Index to remain unchanged at 60 last

month.

COMMODITY INDEX AT MCX

Indices Close Sep 23, 16 PCP Sep 19, 16 %Chg

MCX Agri 2,502 2,580 (3.0)

MCX Comdex 3,132 3,104 0.9

MCX Energy 2,242 2,207 1.6

MCX Metal 4,651 4,572 1.7

TOP WEEKLY GAINERS AT MCX

Commodities Expiry Close ( ) Sep 23, 16 %Chg

Nickel Nov, 16 719 5.3

Nickel Mini MUM Nov, 16 717 4.5

Nickel Jan, 17 727 4.2

Nickel Sep, 16 706 4.1

Nickel Mini MUM Sep, 16 706 4.1

TOP WEEKLY LOSERS AT MCX


Cardamom VAND Oct, 16 1,129 (4.5)

Cardamom VAND Nov, 16 1,159 (4.1)

Cardamom VAND Dec, 16 1,183 (3.3)

Kapas Mar, 17 966 (3.0)

Cotton(29mm) RJKT Oct, 16 20,230 (2.9)

TOP WEEKLY GAINERS AT NCDEX


LS Crude Oil JNP Oct, 16 3,177 7.2

LS Crude Oil JNP Nov, 16 3,196 7.2

LS Crude Oil JNP Dec, 16 3,213 6.9

Silver Hedge AHM Nov, 16 42,947 3.1

Maize FIG Kharif NZM Oct, 16 1,554 2.7

TOP WEEKLY LOSERS AT NCDEX


Guar Seed 2MT JDPR Jan, 17 3,754 (3.5)

Coriander KOT Nov, 16 7,464 (3.3)

Kapas V797 SRNR Apr, 17 891 (3.2)

Cot.Oilseed Cake AKL Feb, 17 2,015 (3.1)

Guar Seed 2MT JDPR Dec, 16 3,714 (3.1)

8


DOMESTIC STATISTICS (MCX)

Commodities Expiry Close * PCP** %Chg

Gold ( /10 grams) OCT, 16 31,281 30,813 1.5

Silver ( /kg) DEC, 16 46,817 45,273 3.4

Crude Oil ( /barrel) OCT, 16 2,978 2,943 1.2

Natural Gas ( /Mmbtu) SEP, 16 196 198 (0.9)

Copper ( /kg) NOV, 16 328 324 1.2

Zinc ( /kg) SEP, 16 151 148 2.1

Aluminum ( /kg) SEP, 16 109 105 3.4

Barley ( /MT) OCT, 16 1,582 1,615 (2.1)

Jeera ( /MT) OCT, 16 17,145 17,755 (3.4)

*As on Sep 23, 2016 **As on Sep 16, 2016

GLOBAL STATISTICS

Commodities Exchange Close * PCP ** %Chg

GOLD($/OUNCE) COMEX 1,341.55 1,305.80 2.74

SILVER($/OUNCE) COMEX 19.81 18.86 5.03

CRUDE OIL ($/BARREL) NYMEX 44.48 43.03 3.37

NATURAL GAS ($/MMBTU) NYMEX 2.96 2.95 0.24

COPPER ($/POUND) COMEX 2.19 2.15 1.91

*As on Sep 23, 2016 **As on Sep 16, 2016

CURRENCY STATISTICS

Commodities Exchange Close * PCP ** %Chg

Dollar Index Spot 95.39 96.11 (0.75)

EURUSD($/€) Spot 1.12 1.12 0.64

USDINR ( /$) Spot 66.71 67.08 (0.55)

*As on Sep 23, 2016 **As on Sep 16, 2016

WEEKLY FUNDAMENTAL OVERVIEW

Gold Gold futures closed higher in the domestic market after the August Fed

meeting in which the U.S. Federal Reserve kept rates unchanged. Earlier, gold had

already edged higher after the Bank of Japan adopted a target for long term interest

rates. Gold climbed along with stock markets after the Bank of Japan overhauled

its monetary policy framework, switching to targeting interest rates and sidelining

more than three years of massive money printing.

Crude Oil – Crude oil futures surged in the domestic market as investors and

speculators widened their bets after a drawdown in the US crude inventories in a

third consecutive week. The crude oil prices soared after the data released by the

US Energy Information Administration showed a bigger than expected 6.2million

barrels drop in domestic crude stockpiles for the week ended September 16, 2016.

At 504.6 million barrels, crude inventories were the lowest since February 12,

2016, but still 11 per cent above year ago levels, said EIA.

Copper Copper futures ended higher in the domestic market as participants

widened their bets in the industrial metal on rising demand from domestic markets

amid tracking a firm trend overseas as China's property boom lent support to

prices. A real estate boom and stronger than expected factory activity over

summer has brightened the outlook for metals, with copper also finding support

from earlier than expected consumer restocking. A JP Morgan report said that,

with summer coming to a close, copper demand conditions in China have improved

markedly.

Natural Gas Natural Gas futures ended lower in the domestic market after data

showed that natural gas supplies in storage in the U.S. rose broadly in line with

market expectations last week. The U.S. Energy Information Administration said in

its weekly report that natural gas storage in the U.S. rose by 52 billion cubic feet in

the week ended September 16, matching expectations.

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MCX‐SPOT

Commodities Close * PCP %Chg

Gold 31,316 30,920 1.3

Nickel 708 645 9.7

Silver 46,541 44,923 3.6

* As on Sep 23, 2016

INTERNATIONAL‐SPOT

Commodities Close * PCP %Chg

Gold ($/ounce) 1,341.55 1,305.80 2.74

Silver ($/ounce) 19.81 18.86 5.03

Platinum 1,057.10 1,017.60 3.88

Copper (LME) 4,815.00 4,733.50 1.72

Zinc (LME) 2,271.50 2,203.00 3.11

Lead (LME) 1,912.00 1,936.00 (1.24)

Nickel (LME) 10,625.00 9,650.00 10.10

* As on Sep 23, 2016

ECONOMIC CALENDAR TO BE RELEASE DURING THE WEEK ENDED

Time (IST) Economic Data/Events Country Forecast Prior

26/09/2016 07:30 PM New Home Sales US 598K 654K

27/09/2016 07:30 PM CB Consumer Confidence US 98.6 101.1

28/09/2016 07:30 PM Fed Chair Yellen Testifies US

28/09/2016 08:00 PM ECB President Draghi Speaks Eurozone

29/09/2016 01:30 PM German Unemployment Change Germany 5K 7K

29/09/2016 06:00 PM Unemployment Claims US 260K 252K

30/09/2016 01:00 PM Current Account Eurozone 30.5B 32.6B

WEEKLY LME INVENTORY (IN TONS)

Lead Aluminum Copper Nickel Tin Zinc

Stock as on Sep 23, 2016 191000 2146725 356875 363216 3715 442650

Stock as on Sep 16, 2016 187850 2166925 349000 366966 3835 444450

LME INDEX VALUE AS ON SEP 23, 2016 : 2433*

*last updated value available

EIA WEEKLY INVENTORIES REPORT

Commodities Actual Prior

Crude Oil 6.2M barrels 0.6M barrels

Gasoline 3.2M barrels 0.6M barrels

Distillates 2.2M barrels 4.6M barrels

Natural Gas 52B 62B

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TECHNICAL OUTLOOK

MCX GOLD (OCT,2016)

The prices of Gold are moving in bearish pattern of lower swing high, indicating the build –up of bearish sentiments in the precious metal and profit booking could emerge at higher levels. So, traders are advised to use every rise to build fresh short positions.

MCX SILVER (DEC,2016)

The prices of Silver futures are moving in a negative channel. Further, is had also formed a ‘double top’ formation, indicating that short bias is still negative and silver could witness more profit booking in the coming sessions.

MCX CRUDE OIL (OCT, 2016)

The prices of Crude oil futures had formed a bearish engulfing candle on the last trading session of the week, indicating that crude could witness profit booking in the near term.

MCX NATURAL GAS (OCT, 2016)

The prices of Natural Gas oil futures closed at its breakout zone after some profit booking. If, Natural gas managed to stay above its breakout zone then it could extend its pullback rally.

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WEEKLY MAJOR SUPPORT & RESISTANCE LEVELS AT MCX

Commodities Expiry Close * R2 R1 Pivot S1 S2

Gold Oct, 16 31,281 31,706 31,494 31,167 30,955 30,628

Silver Dec, 16 46,817 48,706 47,761 46,691 45,746 44,676

Crude Oil Oct, 16 2,978 3,207 3,092 3,000 2,885 2,793

Copper Nov, 16 328 333 330 326 323 319

Natural Gas Sep, 16 196 213 205 199 191 186

Nickel Sep, 16 706 749 728 690 669 632

Lead Sep, 16 127 135 131 129 125 123

Zinc Sep, 16 151 157 154 151 148 145

*Closing value as on Sep 23, 2016 (Friday).

Disclaimer :

All rights are reserved by Eureka Stock & Share Broking Services Ltd (ESSBL). Any re‐production of any part of this report is prohibited for any purpose without our written permission. The data and content contained herein has been obtained from public sources believed to be reliable, and are not guaranteed to be accurate, complete or timely. ESSBL or its affiliates will not have any liability for use or distribution of any of this information. To the extent that any of the content above constitutes advice, it is general advice without reference to your objectives, financial situation or needs. Persons involved with the content of this report may have positions in instruments mentioned herein.

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