Street signs: DIIs cash in on HDFC Bank rally

According to data from BSE, FIIs bought shares of Rs 8,000 cr and DIIs sold shares worth Rs 5,200 cr

DIIs cash in on HDFC Bank rally 

On Friday, when HDFC Bank shares shot up 9.5 per cent as foreign institutional investors (FIIs) scrambled to increase their stake in the bank, domestic institutional investors (DIIs) were

quick to profit from the trade. According to the provisional data from the Bombay Stock Exchange, FIIs bought shares of Rs 8,000 crore while DIIs sold shares worth Rs 5,200 crore. Market players said, most of these deals took place in the HDFC Bank counter. “FIIs bought HDFC Bank shares in the spot market and sold them in futures whereas DIIs followed the reverse strategy —selling in spot and buying in futures because there were arbitrage opportunities,” said a fund manager.  

  Joydeep Ghosh                                                                                                                                                      

No relief for NSE on co-location revenues 

The Securities and Exchange Board of India (Sebi) is not keen on giving any immediate relief to the National Stock Exchange of India (NSE) on its plea seeking release of funds set aside in an escrow account, said a regulatory source. The market regulator had directed NSE to deposit all revenues generated from its co-location business in a separate account amid allegations of unfair access to certain brokers. Sources said the exchange had requested Sebi to freeze only the money coming from leasing out of its co-location servers, while the profits generated from trades should be exempted. Sebi is of the view that exchange money may have to remain in the escrow account till the investigation reaches its conclusion.                         

                                                                                                                                                                           Shrimi Choudhary 

Short-sellers caught on the wrong foot
 

Short-sellers have been caught on the wrong foot with the resilience shown by the market. Many traders had built short positions in the market in anticipation of a correction following a sharp 10 per cent rally in the BSE Sensex from its December 2016 lows. Though the market was seen losing steam, a surprise 425-point up move in the benchmark on the back of gains in index heavyweight HDFC Bank on Friday created panic among traders, forcing some of them to cut their losses.

                                                                                                                                                                                Samie Modak