GAIL March futures ends at discount

DERIVATIVES REPORT

Most individual stock futures traded at small to modest premium to their underlying shares. GAIL, however, was an exception.

The March futures of the stock traded at a huge discount and ended at Rs 224 while the underlying share closed at Rs 235.45 on the Bombay Stock Exchange yesterday.

Open interest in GAIL March futures declined to 1.27 crore shares from Monday's 1.34 crore shares. In the spot market, the GAIL share has surged during the past three days on heavy volumes amid strong response to its public issue as well as that of ONGC.

Tata Motors, Tata Steel, State Bank of India (SBI) and Maruti Udyog were the active stock futures. Bank stocks, too, exhibited some strength.

Open interest in Punjab National Bank declined by 1.3 lakh shares and that in Oriental Bank of India fell by 55,000 shares.

Open interest in SBI rose by three lakh shares and that in Bank of India grew by six lakh shares.