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Traders Hold Bets Awaiting Cues From Third Quarter Earnings Season

FIIs remained subdued with low gross buying and selling quantities.

A Stock Broker Talks on a Telephone While Working on his Computer. (Photographer: Chris Ratcliffe/Bloomberg)
A Stock Broker Talks on a Telephone While Working on his Computer. (Photographer: Chris Ratcliffe/Bloomberg)

Indian shares declined marginally on Monday, as traders digested the latest gross domestic product estimates and anxiety ahead of earning season. The Nifty 50 index moved within a 35-point range to close with a marginal lower while there was little change in its futures open interest.

The Nifty Bank Index similarly reflected lack of any significant changes on a day which saw low turnovers.

Foreign institutional investors (FIIs) remained subdued with low gross buying and selling quantities. They sold index futures worth Rs 173 crores on a net basis.

The India Volatility Index (VIX) gained 3.8 percent to close at 15.48, despite a quiet day in trade. This indicates an expansion in option premiums implying expectations of some volatility ahead.

Most amount of options writing and maximum open interest was seen in the 8,000 put and the 8,400 call. FIIs bought 3,743 index call contracts and 8,872 index put contracts on a net basis.

Most activity in stock futures was witnessed in BEML where the underlying security gained over 15 percent and its January futures open interest surging by nearly 57 percent reflecting fresh buying. This was followed by Granules India, which dipped by over 9.6 percent, but its futures open interest gained 27 percent indicating fresh short positions.

Traders Hold Bets Awaiting Cues From Third Quarter Earnings Season