Ground Report

MUMBAI: The Indian stock market saw huge selling pressure across various sectors on Monday. Nifty March futures settled at provisional 4882, a discount of 71 points to the spot index. The Nifty closed at 4953, down 5.18 per cent from previous close due to weak global markets. Most Asian markets closed in negative territory today. In Europe, UK’s FTSE was down 1.22 per cent, Germany’s DAX shed 1.38 per cent and France CAC was trading lower by 1.42 per cent. Intraday, Nifty March futures touched a high of 5054.80 and low of 4880, a band of 174 points. Open interest in Nifty March was up 13.02 per cent with turnover at provisional Rs 15,502.64 crore. Nifty April settled at 4883, down 5.77 per cent from previous close. Index call of strike 5000 saw turnover of Rs 459 crore with open interest up 128 per cent. Call of strike 5100 saw turnover at Rs 423 crore with open interest up 113 per cent. Call of strike price 5200 saw open interest up 42.15 per cent with turnover at Rs 731 crore. Index put of strike 5000 settled at a premium of Rs 278, up Rs 124 and with open interest up 9.08 per cent. Open interest in put of strike 4600 was up 80.78 per cent with turnover at Rs 442 crore. Put of strike 4900 saw turnover at Rs 479 crore with open interest up 52 per cent. Investors squared off long positions in Essar Oil March as evident from the decrease in open interest by 5.79 per cent. The contract price was down 8.23 per cent. More short positions were taken in Reliance Industries March futures. Open interest in RIL March contract was up 2.75 per cent with contract price down 6.69 per cent. Reliance Petro March contract saw long positions being squared off with open interest down 0.40 per cent and contract price falling 8.94 per cent. Near month contract of State Bank of India saw build up of short positions with open interest up 11.87 per cent. Price was down 9.92 per cent. SBI was at a discount of Rs 3 to the spot. "Investors squared off long positions to reduce risk. Short positions were built in heavyweights Reliance Industries, Reliance Capital, ICICI Bank, ONGC and Infosys. Volume is still a major concern. If the global clues remain weak, Indian market may lose further ground," said an analyst with a large brokerage. Option figures point at Nifty levels of 4600-5000. If the Nifty breaks the support of 4900, it may touch the 4600 level.