Employees stand at in front of an electronic board that indicates the latest stock figures at the the National Stock Exchange (NSE) in Mumbai, India (Photographer: Dhiraj Singh/Bloomberg)

Nifty Holds Ground Despite Weakness In IT Heavyweights, Yes Bank

Indian equity markets remained buoyant on Thursday, despite the selloff in index heavyweights like TCS, HCL Tech and other information technology stocks. The Nifty 50 index gained 0.4 percent with an addition of 1 percent in its September futures open interest towards fresh longs.

The Nifty Bank index, however, remained flat with marginal decline in open interest. Foreign institutional investors (FIIs) sold index futures worth Rs 56 crore on net basis. The India Volatility (VIX) index fell 0.2 percent to close at 13.1.

Maximum open interest remained with the Nifty 9,000 call and 8,600 put. However, a substantial amount of writing was witnessed in 8,900 put and 8,700 put as well. They added 6.4 lakh shares and 5.5 lakh shares in open interest respectively.

Yes Bank was the biggest loser on the Nifty yesterday, after investors dumped shares following uncertainty surrounding its $1 billion qualified institutional placement issue. Shares of Yes Bank fell 5.7 percent with an open interest increase of 9.8 percent thereby indicating fresh short positions in its futures.

Tata Consultancy Services too showed weakness, down 4.6 percent while its open interest increased by 4.6 percent indicating fresh selling.