The market pulled up largely due to fresh buying activity from brokers at the Calcutta Stock Exchange (CSE) yesterday. This reaction was triggered off largely on account of an ongoing investigation by a Sebi team into instances of short sales at the CSE. The team is currently visiting the CSE to probe into the issue, sources said.
The rally is also expected to have come about through certain arbitrage opportunity at the markets. During the opening session, certain amount of buying took place at the BSE against lower stocks levels prevailing at the NSE.
Hectic activity was witnessed in the SBI stock at the NSE of Rs 575.36 crore, while at the BSE the stock witnessed trading of Rs 148.76 crore. SBI closed at Rs 273.25 at the BSE while at NSE it closed at Rs 270.50.
The rise in the SBI stock price was largely on account of fresh buying support from key FIIs, following reports of government clearance to $400-SBI GDR issue.
Certain amount of short covering was witnessed in select stocks at the BSE. The rally is, however, not likely to sustain, and a slide could come about in the coming days, brokers said.
At the NSE, the first day of trading of the current settlement witnessed brisk activity with pivotals being traded at higher levels compared to their previous close. The NSE-50 opened at 973, touched a low of 970 but closed higher at 994, gaining 23 points over the previous close of 971.
Trading activity at major bourses was brisk, with a net traded value of Rs 1076.88 crore at the NSE and Rs 340.71 crore at the BSE.
The net quantity of shares traded at the NSE was 504.90 lakh while at the BSE, the traded quantity was 252 lakh.