Bankex put sees a dramatic surge of 14,700% on expiry day
Most notably, the Bankex 65,000 Put expiring on Thursday surged from ₹6.65 to ₹987, a jump of nearly 14,700% within minutes. The move came as indicative closing levels during the auction briefly pointed to a near 3% decline in the Sensex, sharply steeper than its fall before the session began. The index was down roughly 0.3-0.4% just before the closing auction session began.
ET BureauBankex slides 1.67%, Sensex slips 0.70%; Bank Nifty falls 0.47%, Nifty loses 0.48%
Traders said the sharp drop in indicative closing levels sparked panic among derivatives traders, triggering stop-losses and adding to the volatility.
Several other Bankex put options around the 65,000 strike also witnessed sharp spikes, with premiums jumping between 500% and 4,500%. Social media was abuzz with chatter that several options sellers suffered heavy losses because of the unexpected expiry-day volatility.
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At the close, the Sensex ended at 76,933.59, down 539.35 points, or 0.70%, while the Bankex settled at 64,313.15, down 1,094.16 points, or 1.67%. The declines in NSE‘s comparable indices were much smaller, with the Nifty closing at 24,090.85, down 116.90 points, or 0.48%, and the Bank Nifty ending at 57,509.95, down 273.80 points, or 0.47%.
