
Nifty futures rollover falls below 3-month average on Trump tariff uncertainty
Subscribe to enjoy similar stories. Market sentiment seems to have turned bearish, as the rollover for Nifty futures in March has fallen below its three-month average. The rollover for the Nifty 50 in March fell to 76.09%, a drop from last month's 83.57% and below the three-month average of 80.14%.
The number of shares rolled over declined to 14 million, compared to 17.6 million last month. Market experts attribute this lower rollover percentage to traders turning cautious at a time of US tariff uncertainty. Also Read | Chasing Nifty newbies like Zomato and Jio for quick gains? A risky bet indeed “Ahead of the tariff announcement by US President Donald Trump on 2 April, Nifty rollovers are lower, as traders wait for clarity, especially with the long weekend and market holiday," said Rajesh Palviya, SVP-Technical and Derivatives Research, at Axis Securities.
He added that long positions are likely to build up after the announcement of the tariffs. The rollover percentage is the proportion of traders who choose to move their positions from a contract that is about to expire to a contract with a later expiration date. A higher rollover percentage suggests strong market confidence, while a lower percentage might signal caution or uncertainty.
Also Read | Sensex, Nifty 50 rise defying weak global cues Bank Nifty futures in March, however, saw a decline, with the rollover rate at 76.98%, lower than last month’s 81.64% but slightly above the three-month average of 76.69%. Palviya added that Bank Nifty rollovers remain strong due to its outperformance over the Nifty 50 index. He also said that traders are holding onto positions as tariff concerns won’t significantly impact the banking sector or non-banking financial companies
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