Mumbai, July 3: Badla rates crashed towards the close of the trading session on the Bombay Stock Exchange (BSE) on Saturday as demand slackened. The rates had opened firm in the morning and moved in the band of 15-16 per cent but fell to a band of 8-9 per cent towards the end. Brokers pointed out that supply of money in the market was abundant, while most of the players had squared off their positions on Friday itself. The weighted average of badla rates was in the range of 15 per cent against 16 per cent last week."Though there is no fear on the Kargil issue like the one witnessed in the last few weeks, players still do not want to take risk. Hence, not may were interested to carry forward his positions," said a BSE broker. The Tisco counter attracted a undha badla of Rs 3-6, which points towards the short position on the counter. The weighted average on the counter was Rs 1.93.
Hindustan Lever attracted a undha badla of Rs 12 after it had touched a high of Rs 18. The weighted average at the counterwas Rs 11.36. However, some brokers said the undha badla reversed on the HLL counter later, which shows that short positions were not very high on the counter.
The net long postions on the BSE on Friday were worth Rs 1,084 crore, which translates into a decline of Rs 413 crore in long positions when compared with the previous week. The net long positions last week had seen a sharp spurt to Rs 1,497 crore.
Scrips which attracted undha badla on account of book closure included SBI, Tata Chemical, Gujarat Gas, Hindalco, and Gesco. Hindalco attracted an undha badla of Rs 1-1.5. In the case of Tata Chem, undha badla was to the tune of Rs 7, against a dividend of Rs 5 declared by the company. The SBI counter attracted backwardisation charges of Rs 2.5 during the trading session. The Arvind Mills counter saw a book closure undha badla of Rs 22.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.
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