Where’s my liquidity?
FII net sales Rs 1030 crore. DII net purchases Rs 670 crore. That’s not too helpful for bulls.
But, total CM turnover at NSE was very low at Rs 9748 crore. WTF? A drop of more than 5% in most indices, and we get the lowest volumes since August 27th! F&O turnover wasn’t high either - almost 44000 crore.
Where is everybody? Selling exhaustion? Buying exhaustion? Buy FDs & gold - let the stock market go to hell?
To get an idea of how illiquid our markets really are, look at the table below - it lists the stocks that constitute the Junior Nifty 50 index, in increasing order of turnover:
The least liquid stock today (Nirma) saw round-trip turnover of only Rs 6.64 lakhs! That’s a grand total of 6,485 shares traded. The 10th stock in this sorted list (Asian Paint) saw turnover of Rs 1.07 crore. This is horrible for everybody but the smallest retail trader.
And what about the Nifty-50 stocks?
The least liquid one (Ambuja Cements) saw turnover of Rs 6.9 crore. Makes me weep. 
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