• 04 MAY
  • Knight Snippet
  • 04/05/2021

Transcript

Good Morning Treasurers,

This is your host Parthesh Shah, Co-Founder of Knight Fintech and you are listening to Knight Snippets.

Here is all what you need to know before going into trade for 04-May-2021.

International Market:
- US ISM Manufacturing PMI for April came in at 60.7 Vs expectations of 65
- With no other news, US 10-year closed at 1.63% and 30-year closed at 2.30% on Monday
- German 10-year bunds are at -0.16% which was last seen at March-2020

Crude Oil Market:
- Crude is trading at $67.69/bbl
- Crude short term range: $66-69

Currency Market:
- Dollar index (DXY) is at: 91.07, DXY is directionless
- DXY today's range: 90.66 - 91.34
- USDCNY or Chinese yuan is at 6.47
- USDINR with a low of 73.91, closed at 74.95
- USDINR range: 73.65 - 74.11
- Knight's Trade range success:

As we had mentioned you that  USDINR resistance is at 73.90-95 range, and USDINR indeed made a low of 73.91

- We had also mentioned that, USDINR will hover around 74.25, and it did touch an intra-day high of 74.33

But, we did not anticipate a close below 74.00

Domestic Market:
- As we said yesterday, Rs. 1.41 Lakh Cr GST news took the markets higher
- All eyes are now on Thursday's Operation Twist and till then, we expect the market to trade between 5.95-6.05 narrow range

5.63 GS 2026 closed at 5.57% Vs 5.59% the previous trading day;

5.85 GS 2030 closed at 6.00% Vs 6.03% the previous trading day;  
- There were 2 big trades which happened yesterday
- One with Rs. 2,500 Cr @ 5.99%
- Another one was Rs. 515 Cr @ 6.00%
- Market participants believe that, this is purely because of RBI intervention, but we will have to wait for RBI official data to confirm the same

For yesterday's trading data:
- Public Sector Banks sold net Rs. 5,001 Cr G-Sec
- It seems, in the net Rs. 3,015 Cr reported deals, public sector banks would have been one of the counter-parties. But, the other counter-party remains a mystery or may be RBI
- Few of the participants are also guessing whether it is a part of Govt's G-SAP program apart from the scheduled auctions
- Questions remain unanswered, but the heavy selling comes @ 6.00% by the public sector banks and we have repeatedly seen the same in the recent past
- The mood of the market remains upbeat and we expect the market to trade positively, but many of the participants are now booking profits

That's it for today.  You were listening to Knight Snippets with Parthesh Shah from Knight Fintech.

See you tomorrow with a new episode of Knight Snippets.

Macro Economic Events

Indicator Last Expected AsOn Next
Retail Sales YoY MAR   [SG] -6.10 5.20 30/04/21 05/05/21
ISM Manufacturing Employment APR   [US] 60.8 64.7 30/04/21 03/05/21
Balance Of Trade MAR   [AU] 9,616 7,529 30/04/21 04/05/21
Markit composite PMI APR   [BR] 49.6 45.1 30/04/21 05/05/21
ISM Manufacturing APR   [US] 60.8 64.7 30/04/21 03/05/21
Initial Jobless Claims   [US] 566.0 553.0 01/05/21 06/05/21
Markit Manufacturing PMI APR   [US] 59.1 60.6 30/04/21 03/05/21
Export MoM MAR   [AU] 39,452 38,926 30/04/21 04/05/21
Markit Manufacturing PMI APR   [AU] 56.8 59.7 30/04/21 03/05/21
Markit composite PMI APR   [RU] 52.6 54.6 01/05/21 06/05/21
Markit Services PMI APR   [IN] 55.3 54.6 30/04/21 05/05/21
Inflation Rate MoM APR   [KR] 0.50 0.10 30/04/21 04/05/21
Retail Sales MoM MAR   [SG] -1.70 -1.60 30/04/21 05/05/21
Markit Manufacturing PMI APR   [TH] 47.8 48.8 30/04/21 05/05/21
Industrial Production YoY MAR   [BR] 2.30 0.40 30/04/21 05/05/21
Foreign Exchange Reserves   [RU] 586,266 573,322 01/05/21 06/05/21
Monetary Policy Report   [GB] 0.1000 0.1000 01/05/21 06/05/21
Markit Manufacturing PMI APR   [IN] 55.5 55.3 30/04/21 03/05/21
MPC Meetings Minutes   [GB] 0.1000 0.1000 01/05/21 06/05/21
Foreign Exchange Reserves   [KR] 446,130 447,560 01/05/21 06/05/21
Markit Services PMI APR   [RU] 55.8 55.2 01/05/21 06/05/21
IMPORTS MAR   [US] 260,055 258,329 30/04/21 04/05/21
Export MAR   [US] 192,232 187,250 30/04/21 04/05/21
Inflation Rate YoY Apr   [KR] 1.10 1.50 30/04/21 04/05/21
ISM Manufacturing Price APR   [US] 60.8 64.7 30/04/21 03/05/21
Industrial Production MoM MAR   [BR] 0.40 -0.70 30/04/21 05/05/21
Jobless Claims 4 Week Average   [US] 655.8 611.8 01/05/21 06/05/21
Interest Rate Decision   [BR] 2.75 3.50 01/05/21 06/05/21
Import MoM MAR   [AU] 29,835 31,398 30/04/21 04/05/21
Markit Services PMI APR   [BR] 47.1 44.1 30/04/21 05/05/21
Construction Spending MoM MAR   [US] 1.20 -0.80 30/04/21 03/05/21
Balance Of Trade MAR   [US] -67,823 -71,078 30/04/21 04/05/21

Auctions

Knight Statistical Poll vs. Actual Results
Security Name Tenure Notified Amount Expected
Cut-Off
Recommended At Actual-Cut-Off Amount Accepted Auction Type Announcement date Auction Date Settlement Date Source
6.64% GS 2035 15 Y 10000 100.44 - 100.48 07/05/21 15:15 100.47 10000 Price 03/05/21 07/05/21 10/05/21
6.96% TSSDL 2051 30 Y 1500 6.86% - 6.92% 04/05/21 16:27 6.96% 1500 Yield 30/04/21 04/05/21 05/05/21
APSDL 2037 16 Y 1000 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
5.63% GS 2026 5 Y 11000 100.38 - 100.42 07/05/21 15:15 100.36 11000 Price 03/05/21 07/05/21 10/05/21
6.53% TNSDL 2031 10 Y 1500 98.20-98.25 04/05/21 16:28 98.17 1500 Price 30/04/21 04/05/21 05/05/21
MHSDL 2033 12 Y 1500 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
364 DTB 04/05/2022 364 D 6000 3.69% - 3.72% 05/05/21 16:09 3.7199% 6000 Yield 30/04/21 05/05/21 06/05/21
6.91% APSDL 2040 19 Y 1000 6.86% - 6.92% 04/05/21 16:32 6.91% 1000 Yield 30/04/21 04/05/21 05/05/21
HRSDL 2031 10 Y 1000 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
MZSDL 2033 12 Y 150 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
WBSDL 2031 10 Y 2000 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
6.68% HRSDL 2039 18 Y 1500 6.86% - 6.92% 04/05/21 16:34 6.9495% 1500 Yield 30/04/21 04/05/21 05/05/21
6.82% MHSDL 2032 11 Y 20000 6.82% 04/05/21 16:26 6.82% 2500 Yield 30/04/21 04/05/21 05/05/21
6.49% TNSDL 2050 30 Y 1500 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
91 DTB 04/08/2021 91 D 15000 3.33% - 3.34% 05/05/21 16:07 3.3346% 15000 Yield 30/04/21 05/05/21 06/05/21
6.90% APSDL 2039 18 Y 1000 6.86% - 6.92% 04/05/21 16:37 6.90% 1000 Yield 30/04/21 04/05/21 05/05/21
6.67% GS 2050 30 Y 7000 6.82% - 6.84% 07/05/21 15:17 6.8203% 7000 Yield 03/05/21 07/05/21 10/05/21
6.63% TNSDL 2055 35 Y 1500 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
6.87% MHSDL 2033 12 Y 2000 6.84% 04/05/21 16:36 6.87% 2500 Yield 30/04/21 04/05/21 05/05/21
APSDL 2038 17 Y 0 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
MHSDL 2032 11 Y 1500 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
6.78% RJSDL 2031 10 Y 1500 6.75% - 6.78% 04/05/21 16:29 6.78% 1500 Yield 30/04/21 04/05/21 05/05/21
182 DTB 03/11/2021 182 D 15000 3.53% - 3.55% 05/05/21 16:11 3.5499% 15000 Yield 30/04/21 05/05/21 06/05/21
6.92% HRSDL 2036 15 Y 1000 6.86% - 6.92% 04/05/21 16:30 6.92% 1000 Yield 30/04/21 04/05/21 05/05/21
RJSDL 2031 10 Y 500 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
RJSDL 2026 5 Y 500 T.B.D T.B.D T.B.D T.B.D Yield 06/05/21 11/05/21 12/05/21
6.90% JKSDL 2033 12 Y 400 6.84% 04/05/21 16:35 6.90% 400 Yield 30/04/21 04/05/21 05/05/21

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