Surge in Open Interest for Federal Bank Signals Increased Trading Activity Amid Stock Decline
Federal Bank Ltd has seen a notable rise in open interest, reaching 42,237 contracts, alongside a trading volume of 43,286 contracts, indicating active participation in the derivatives market. However, the stock has underperformed, declining over the past two days and hitting an intraday low of Rs 188.28.
Federal Bank Ltd, a prominent player in the private banking sector, has experienced a significant increase in open interest today. The latest open interest stands at 42,237 contracts, reflecting a rise of 7,412 contracts or 21.28% from the previous open interest of 34,825. The trading volume for the day reached 43,286 contracts, indicating robust activity in the derivatives market.Despite this surge in open interest, Federal Bank's stock has underperformed relative to its sector, declining by 4.35% today. The stock has faced consecutive losses over the past two days, with a total drop of 7.26%. During today's trading session, the stock hit an intraday low of Rs 188.28, down 4.27% from the previous close.
In terms of liquidity, the stock remains accessible for trading, with a delivery volume of 50.92 lakh shares, although this figure has decreased by 1.42% compared to the five-day average. The market capitalization of Federal Bank is approximately Rs 46,267.99 crore, positioning it firmly within the large-cap category.
In summary, while the increase in open interest signals heightened trading activity, the stock's recent performance reflects ongoing challenges in the market.
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