There’s something about Wednesdays for IDBI Bank investors. Over the past year, the lender’s shares have delivered their strongest average returns midweek, only to lose ground the following day.
A Mint analysis of market data reveals a curious pattern, seemingly driven by investors betting on a breakthrough in the bank’s long-awaited privatization at the Union cabinet’s meetings that are typically held on Wednesdays.
The stock generated an average return of 1.08% on Wednesdays over the last one year, shows the analysis. And Thursdays saw an average return of negative 0.8%, implying traders booked profits in the very next session.
After Wednesday, Fridays brought the highest average return of 0.7%; followed by Tuesdays, where the average return was 0.14%. The lowest average was at negative 0.9% recorded on Mondays.
The Wednesday cheer anomaly becomes even more evident seeing the stock’s biggest single-day gains. Of IDBI Bank's ten largest single-day price spikes over the past year, half or five of them happened on a Wednesday.