The Hindu Business Line : Cairn, HDIL see jump in open interests

The discount of Nifty May future widened further as it closed at 5099.55 against the spot close 5104.95. It shed about 2 per cent in open interest positions; however, the rollover of open positions to June contracts stood at 17 per cent.

Among the options, 5100-strikes of calls and puts remained active. While the call option added open interest marginally, the put shed about 7 per cent in open interest positions. This suggests the emergence of put buyers, indicating resistance for the market at 5100.

India VIX

The NSE volatility index or VIX increased to 24.99 from Friday’s index of 23.25, indicating the cautious mood of the market participants. VIX is a good indicator of the investors’ perception on how volatile markets are expected to be in the near term. The rise in index is generally considered to be as negative as more players are willing to buy put option.

Stock futures

Momentum counters Cairn India and HDIL were the most actively-traded counters. The other active counters include Reliance Industries, Suzlon, SAIL, Reliance Communications, Tata Steel, Reliance Petroleum, Bharti Airtel and Reliance Power.

Futures of Cairn Indian and HDIL witnessed sharp jump in open interest positions of 16.2 per cent and 20 per cent respectively. While Cairn India future ended in discount at 322.70 against the spot close of Rs 327.55, HDIL future closed with a premium at Rs 846.35 (Rs 842.25).

However, for both these counters, the cost-of-carry is negative. This suggests they could face some pressure in maintaining the current gains.

While contracts on Bharti Airtel, Reliance Industries, SAIL, Reliance Petroleum and RNRL shed open interest positions, Suzlon and Reliance Power saw some accumulation.

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