Benchmark index futures discount widens, low rollovers

MUMBAI, Feb 22 (Reuters) - The discount on the benchmark index futures widened for a first day in three as traders booked fresh short positions with a view on weak global markets, analysts said on Friday.

They said the rollover of the derivatives contracts was also low due to the federal budget for 2008/09 to be announced a day after the expiry of the current month series.

At the end of the day the broad market rollover of derivatives contracts was 23.12 percent.

"Market is moving in line with the global cues. People have lost interest as there are no positives that will push for further rise," said Sailav Kaji, head derivatives at PINC Research.

The discount on the benchmark index futures NIFc1 widened to 17.15 points to the 50-share NSE index .NSEI compared to 9.7 points on Thursday.

The current month Nifty futures fell 1.7 percent to 5,093.60 points while the spot index fell 1.56 percent to 5,110.75 points.

Kaji said even short positions are also not happening as the market may not fall sharply as there is no pressure of margin calls.

"Until there is global fall, there is no reason for market to fall sharply, he added.

Traders said huge volatility in the Reliance Power (RPOL.NS: Quote, Profile, Research) ahead of its board meeting on Sunday to consider issue of bonus shares.