Nifty future may prove gloomy for May
Though the market-wide rollover to May was higher compared to the previous expiry, analysts said the extent of positions carried forward, in absolute terms, shrank because of declining open interest (OI) or outstanding positions. The market-wide futures OI at the start of the May series is Rs 37,100 crore against Rs 37,600 crore at the start of the April expiry, according to Edelweiss Securities.
The rollover of index and single stock futures stood at 79% against the three-month average of 77%. Nifty futures has seen a rollover of 72% against the three-month average of 66%. “The conventional expiry day action was clearly missing on Thursday. A low open interest base at the start of the series coupled with consistent unwinding during the month served as an ideal recipe to make this series a muted one,” according to an Edelweiss note to clients.