Nifty still below 8100, Sensex firm; Axis Bank, Coal India up 2%

Moneycontrol Bureau12:45 pm Interview: With an aim to ease trading requirements, markets regulator Sebi yesterday relaxed the combined futures and options position limit of stock brokers, FPIs and mutual funds in equity derivatives to 20 percent of the applicable Market Wide Position Limit.

Speaking to CNBC-TV18 Mrugank Paranjpe, MD, MCX said that he believes the final contours for options trading from SEBI might come in 2 weeks.

“It is just the question of getting a broad consensus and everybody wants to make sure the product is correct in terms of design. Weighing these two is what is taking time,” he said.

12:30 pm Breaking: Sources tell CNBC-TV18 the Cabinet today approved the ordinance related to the withdrawal of old Rs 500 and Rs 1000 notes.

People involved in transacting old Rs 500 and Rs 1000 will face a penalty of Rs 5000 after the December 31 of this year and those found possessing old banknotes after March 31, 2017 will face a jail term of four years.

Don't miss: Banks likely to cut savings deposit ratesThe Sensex is up 137.50 points or 0.5 percent at 26350.94, and the Nifty up 48.75 points or 0.6 percent at 8081.60. About 1633 shares have advanced, 595 shares declined, and 138 shares are unchanged.

Axis Bank, Wipro, Coal India, Dr Reddy's Labs and Asian Paints are top gainers while Tata Steel, Reliance, Tata Motors and Bharti are losers in the Sensex.

Raamdeo Agrawal, Joint MD at Motilal Oswal Financial Services, said the new year will be starting slow for earnings in the wake of the demonetisation.

He believes that there will be about 200-300 companies which will be showing growth. It is not looking to be a buffet dinner, he warned.

Although the pain still exists from government’s move to ban popular currency notes, a lot of recovery has taken place, he said, adding that recovery is more visible than what media reports lead you to believe. “Mumbai is normal,” he said.