Shriram Finance Sees 10.58% Surge in Open Interest to 90,644 Contracts

Shriram Finance Ltd, a prominent player in the Non-Banking Financial Company (NBFC) sector, has experienced a significant increase in open interest today. The latest open interest stands at 90,644 contracts, reflecting a rise of 8,672 contracts or 10.58% from the previous open interest of 81,972. This uptick in open interest coincides with a trading volume of 58,942 contracts, indicating heightened activity in the derivatives market.
In terms of price performance, Shriram Finance has outperformed its sector by 2.55%, with the stock gaining 6.32% over the past four days. Today, it reached an intraday high of Rs 715.95, marking a 2.98% increase. The stock is currently trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, suggesting a strong upward trend.

However, it is noteworthy that the delivery volume has seen a significant decline, with a reported 3.48 lakh shares delivered on October 21, down 87.11% compared to the 5-day average. Despite this drop in investor participation, the liquidity remains adequate for trades sized at Rs 5.71 crore, based on 2% of the 5-day average traded value.

In summary, Shriram Finance Ltd is witnessing notable activity in open interest alongside a solid performance in the market, although a decline in delivery volume raises questions about investor engagement.