Shares of Central Depository Services India Ltd (CDSL) soared nearly 9% on June 2, driven by a sharp increase in trading volumes and a broader rally across capital market-related stocks. This spike came despite a generally subdued market sentiment marked by rising geopolitical tensions and increased volatility indicators.
CDSL Leads Capital Market Rally with Twofold Volume Spike
CDSL shares surged to Rs 1,667 apiece during the afternoon session, marking their highest level in nearly five months. By 1 PM, over 1.2 crore shares had changed hands—more than double the 57.1 lakh shares traded in the previous session. This significant increase in daily volumes triggered renewed bullish sentiment among investors. The stock has now risen nearly 60% from its March 2025 low of Rs 1,047, underlining strong institutional and retail buying interest.
The surge in CDSL’s stock price also had a rub-off effect on other companies in the capital market segment, pushing the Nifty Capital Markets index over 2% higher during the day.
Broader Rally Among Capital Market Stocks
KFin Technologies recorded a gain of over 6%, with shares trading at Rs 1,148 apiece. Similarly, shares of Computer Age Management Services (CAMS), Anand Rathi Wealth, and Angel One jumped around 4% each, signaling sector-wide bullishness.
Other players also joined the rally:
360 One WAM and Nuvama Wealth rose over 2% each.
Motilal Oswal Financial Services, Multi Commodity Exchange of India (MCX), and Bombay Stock Exchange (BSE) shares gained more than 1%.
Despite increasing global uncertainties, investor confidence remained strong within the capital markets space, a trend divergent from usual behavior during periods of heightened volatility.
Rising Market Volatility Amid Global Tensions
Interestingly, the capital market stocks’ rally came against a backdrop of rising volatility in broader indices. The India VIX, which measures expected short-term market volatility, jumped nearly 6% to around 17.12. This spike was attributed to escalating geopolitical tensions between Russia and Ukraine, as well as renewed trade frictions between the United States and China.
Major benchmark indices underperformed during the session:
The Sensex fell over 188 points to 81,257.
The Nifty 50 dropped 0.21% to 24,699.
While broader markets struggled, capital market-linked stocks outperformed significantly, defying historical trends where geopolitical concerns often lead to risk-off sentiments in such sectors.
Highlights:
CDSL surged 9% to Rs 1,667 on June 2, its highest in nearly five months, driven by over 2x spike in trading volumes.
Over 1.2 crore shares of CDSL were traded by 1 PM versus 57.1 lakh in the previous session.
Stock is up nearly 60% from March lows, signaling strong recovery momentum.
Capital market index rose 2%, with stocks like KFin Tech (+6%), CAMS, Anand Rathi, and Angel One (+4%) rallying.
Despite global tensions, India VIX spiked 6% to 17.12, indicating heightened volatility.
Broader indices traded lower—Sensex fell 188 points, Nifty slipped 0.21%.
Capital market stocks defied usual trend of underperformance during geopolitical stress.
