dkishore
30-05-2008, 06:53 AM
The sharp fall in indices in the last 30 minutes of trade on Thursday caught many people by surprise. Some analysts attribute this fall to some smart work by traders at a time when market was nervous ahead of the expiry of the May series on Thursday. These deep-pocketed traders are believed to have made a killing in the late fall on Thursday.
A derivatives analyst from a leading brokerage said there was a sharp rise in the premium of Nifty 4,900 puts just ahead of the late fall, indicating some traders would have had prior knowledge of a sell-off.
According to provisional data on the BSE, foreign institutional investors net sold Rs 1,277 crore worth of shares. Indices traded choppy for most of Thursday’s session. The Nifty closed at 4,835.30, down 83 points or 1.7% from Wednesday’s close.
A derivatives analyst from a leading brokerage said there was a sharp rise in the premium of Nifty 4,900 puts just ahead of the late fall, indicating some traders would have had prior knowledge of a sell-off.
According to provisional data on the BSE, foreign institutional investors net sold Rs 1,277 crore worth of shares. Indices traded choppy for most of Thursday’s session. The Nifty closed at 4,835.30, down 83 points or 1.7% from Wednesday’s close.