Federal Bank Sees Significant Surge in Open Interest Amid Increased Derivatives Activity

Federal Bank Ltd, a prominent player in the private sector banking industry, has experienced a notable increase in open interest today. The latest open interest stands at 25,438 contracts, reflecting a rise of 2,623 contracts or 11.5% from the previous open interest of 22,815. This uptick in open interest comes alongside a trading volume of 13,469 contracts, indicating heightened activity in the derivatives market.
In terms of price performance, Federal Bank is currently trading at a value of Rs 208, which is just 4.26% away from its 52-week high of Rs 217. However, the stock has underperformed its sector, showing a decline of 1.06% today, and has recorded a consecutive fall over the last two days, resulting in a total return of -1.07% during this period. Despite this recent downturn, Federal Bank remains above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, suggesting a longer-term positive trend.

The liquidity of the stock appears robust, with a delivery volume of 69.17 lakh shares on June 26, which is 67.07% higher than the 5-day average delivery volume. Overall, the increase in open interest alongside these performance metrics highlights a significant moment for Federal Bank in the current market landscape.