Investors are hedging portfolios at a record pace amid the rising market volatility, with benchmark indices just 3% away from peaks. This is reflected in a record high open interest of the index put option contracts. The total open interest of the put options on the index reached 58.2 lakh on a twenty-day rolling basis while the total open interest on the index call options dropped by 20% from the peak of 66.2 lakh contracts according to the data from Bloomberg.
Largecaps showing no fundamental change despite market bounce: Nischal Maheshwari
Investors are closely watching sectors like banking, manufacturing, auto distribution, and aviation after a recent rate cut. Analysts see temporary margin pressure for banks and