• Investment World
• eWorld
• Brand Line
• Mentor
• Life
• Brand Quest
• The New Manager

Stocks

• Quotes
• SE Diary
• Scoreboard
• Open-End Mutual Fund

Cross Currency

• Rates
  
  

Shipping

• Ports
  
  

Archives

• Yesterday
• Datewise
• Resources
• In Focus
• In Depth
• Events 2007

Group Sites

• The Hindu
• The Hindu ePaper
• Business Line
• Business Line ePaper
• Sportstar
• Frontline
• The Hindu eBooks
• The Hindu Images

Chennai, Feb. 14 Smiles were back on the Dalal Street as the Indian equities moved in tandem with the rest of the global markets to register hefty gains.

The Nifty closed with a 5.5 per cent gain for the day while the Nifty near month future gained 278 points or 5.7 per cent.

Despite the hefty increase in stock prices, the activity in the derivative segment continued to be subdued.

The turnover in the derivative segment was Rs 38,000 crore; which is also the average daily turnover in the month of February thus far. The low cost of carry in the futures too signals the lack of interest among the trading fraternity.

Scepticism and caution continues to rule high. Nifty futures closed at a discount of 29 points to their underlying value indicating the creation of fresh short positions at higher levels. The open interest in the near month future of Nifty edged higher by 5 per cent. Most stocks were trading close to their spot prices or at a discount. Among stocks futures that closed at a premium to their spot prices were Reliance Industries, Nucleus Software, InfoEdge and Puravankara Projects.

Stocks trading at a discount to their spot were Rajesh Exports, Jammu and Kashmir Bank, Mahindra Lifespaces and Unitech.

Few stocks in infrastructure sector such as Jaiprakash Associates and Unitech witnessed accumulation in open interest. Fertiliser stocks were back in vogue on Thursday.

United Phosphorus, Gujarat Narmada Fertilizers and Nagarjuna Fertlizers were among the top open interest gainers. The addition in open interest was accompanied by an increase in the price of these stocks too.

Mid cap banks too witnessed resurgence in trading interest.

No clear trends were discernable in stocks that witnessed unwinding of open interest. The list included stocks from a cross-section of sectors such as commodities, power and capital goods.

More Stories on : Derivatives Markets | On the hedge

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Corporate developments

Copyright © 2008, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line