Hdfc Slides As Nse Alters Price Band Base

The National Stock Exchange re-aligned the equity-traded price of HDFC shares for calculation of price band at 12.30 pm yesterday. HDFC prices, which opened at Rs 4,464.30 and came under circuit breaker at Rs 4,241.10, were re-aligned with a new base rate of Rs 4,018 for price band calculation at 12.30 pm.

The move helped the NSE provide a level playing field for its members on Monday -- the penultimate day for trading in the current settlement cycle.

NSE players were unable to square-off their positions as the bourse was closed on Friday on account of Idd. Meanwhile, brokers on the BSE went on a rampage and hammered the scrip as they had the advantage of the news of FII reaching the ceiling of investments at 30 per cent. HDFC prices crashed to a low of Rs 3,801 from the opening levels of Rs 4,100 on the BSE yesterday.

However, with Thursday's closing price at Rs 4,464.30 on the NSE, circuit breakers froze the scrip at Rs 4,241.10 immediately with the market opening for trading yesterday.

"Certainly, the brokers and investors panicked as Monday, being the penultimate day of trading, the settlement left little scope for squaring off outstandings. More so, the prices on the BSE were tumbling," a NSE broker told Business Standard.

NSE brokers were badly hit by the crash in HDFC scrip on the foreign institutional investor reaching the 30 per cent investment slab. Timely action by the NSE authorites brought the players on the national bourse on a level playing field those at BSE.