The rise in the badla rates from its previous week's average of 8.6 per cent was attributed to the rise in the long positions at the exchange. According to brokers, the fear of a war had seen several badla financiers move out of the market resulting in a sudden drop in the supply of funds in the system.

The volume of top 50 scrips offered for the carry forward session on Saturday was valued at Rs 1,043 crore. The week ended May 29 saw fund requirements only for a position of Rs 695 crore.

According to brokers, stocks like ABB, Bhel, Finolex Cables, ITC and Reliance attracted higher carry forward charges during the initial phase of the session, on account of the rise in the long positions at these counters. Stray deals registered at these counters at an average badla rate of over 20 percent saw the badla rates witness a sharp surge of over 10 per cent during the initial stages, explained brokers.

Power stocks like Andhra Valley and Tata Hydro attracted backwardation charges reflecting the rise in the short positions at these counters. It may be recalled that both the stocks rose by over 16 per cent during the week ended June 4, and the volumes at these counters also increased by over 25 per cent on account of the huge transactions reported at the negotiated segment of the BSE.

Similarly, stocks like ICI, Exide Industries and Kirloskar Cummins attracted book-closure badla charges. These stocks will be traded in the no-delivery category of the BSE from June 7.

``Although the surge in the badla rates is a cause of worry, market should see a sharp jump in the next few trading sessions. The Sensex will face the next resistance in the band of 4,175-4,200 points,'' said BSE broker, Neel Dalal.

Among the index heavy weights, Hindustan Lever attracted backwardation of Rs 3 during the initialphase of the session, however in the final countdown the stock attracted a carry forward of Rs 4.20 (weighted average). The carry forward volumes at the counter also fell from 54,000 shares to 52,000 shares during the week ended June 5.