The Hindu Business Line : Nifty future premium widens

It was a strong show by Nifty future as it registered its new peak in its 7-year-old history. The Nifty September future reached a high of 4749 before settling for the day at 4742.70 against the previous day’s close of 4549.80, registering a gain of 4.24 per cent. The premium of Nifty Sept future, which was about 3.5 points on Tuesday, widened further to 10.5 points today, indicating the underlying bullish undertone.

Turnover jumped sharply to Rs 68,643 crore against the last five-day daily average figure of about Rs 41,000 crore. The top 10 contracts contributed to around 32% of the total traded volume in Futures on individual securities

Sugar contracts – Shree Renuka Sugars, Triveni Engg entered the most active contracts while Reliance Capital topped the list. Triveni Engg and Shree Renuka Sugars also saw surge in open interest positions. Apart from them, Cairn India and tech-related counters – Tech Mahindra, 3i Infotech, Educomp Solutions, CMC and NIIT Technologies also saw smart accumulation.

Most banks’ stock futures saw a fall in open interest, which saw rise in their price.

Securities under ban

The NSE has banned trading in contracts of Bongaigaon Refineries, GMR Infra, Arvind Mills, & Nagarjuna Fertlizers, as open interest positions crossed 95 per cent of the market-wide position limit. However, ban was lifted on contracts such as Rajesh Exports, Bindal Agro, Tata Tele (Maharashtra), Escorts and IDBI as the positions dipped.

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