General Trading Chat

US CPI inflation has come hotter than expected.
Its crazy how many rate cuts were priced in Dec vs what it is now. 8 to 4 as per CME
Let's see the effect of the farmer protests on inflation.
 
@Raj232

Here is an example of the premium / discount

1707885316584.png


Banknifty spot @45160, the fair value of 45200 pe should be 40 Rs.

But it is trading at Rs. 150, so it has a premium of 110 Rs.

If it was trading at Rs. 10, we would say a DISCOUNT of Rs. 30.

I am not sure how to interpret it, Sometimes it shows the trend, sometimes antitrend. So at present it is just an observation.
 

Nish

Well-Known Member
@Raj232

Here is an example of the premium / discount

View attachment 50393

Banknifty spot @45160, the fair value of 45200 pe should be 40 Rs.

But it is trading at Rs. 150, so it has a premium of 110 Rs.

If it was trading at Rs. 10, we would say a DISCOUNT of Rs. 30.

I am not sure how to interpret it, Sometimes it shows the trend, sometimes antitrend. So at present it is just an observation.
Sometimes Comparison with the BNF may be better - instead spot price ??? :)
 

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