The Nifty June futures & options series ended with a notional loss of 0.2 per cent at 23,865, marking the second consecutive series where the index closed in negative territory. According to reports from Business Standard, the Nifty struggled to reclaim the 24,000-mark throughout the series, ending on a rather tepid note despite repeated attempts. However, Wednesday July 1 saw Nifty futures start trading on a positive note, gaining 0.4 per cent at 24,100 levels, indicating a potential shift in market sentiment for the new series. The latest market data shows GIFT Nifty trading lower by 17.5 points at 23,987, signaling a muted start for Wednesday's session.
The current month futures command a 90-point premium to the spot Nifty value, reflecting the market's forward-looking optimism. As reported by Business Standard, this premium structure suggests traders are positioning for potential upside movement in the July series. The robust 80.3 per cent June rollover eclipsed the previous 70 per cent and both three- and six-month averages, signalling strong long formations and bullish conviction entering July. Market activity remains active with India VIX, the market's volatility gauge, edging lower to 13.48, indicating reduced uncertainty among investors.
Analysts at Axis Securities believe Nifty's strong June rollovers suggest a likely bullish conviction for the July series. According to the brokerage firm's monthly rollover report cited by Business Standard, the high rollover percentage indicates strong long positioning by traders. The 80.3 per cent rollover rate significantly exceeded the previous 70 per cent and both three- and six-month averages, suggesting institutional and retail confidence in the market's direction for the upcoming series. Current market sentiment shows sectoral strength led by Media, FMCG and Auto stocks, with buying interest in consumption and cyclical sectors, while weakness in Metal, Chemicals, IT services and Midcap Healthcare capped broader gains.
The Indian stock market ended lower for the second straight session on Tuesday, with Sensex declining nearly 250 points to settle at 76,479 and Nifty 50 losing more than 80 points to close at 23,866. However, Wednesday's trading session showed improvement with Sensex rising over 450 points and Nifty trading above 24,000 levels. Market breadth remains selective with realty, construction and cement sectors advancing while metal, chemicals, IT services and midcap healthcare stocks traded weak. The positive momentum reflects underlying optimism despite underlying concerns around further escalation of the US-Iran conflict and weaker-than-expected monsoons.
