Amid concerns over the divergence in stock prices on Sensex and Nifty due to the implementation of the new Closing Auction Session (CAS) system, the Securities and Exchange Board of India (SEBI) has said that the strategic transition marks a significant step in achieving cross-market consistency and enhancing the robustness of India’s price discovery mechanism, according to news agency IANS. 

"In order to align the determination of closing prices of stocks in equity cash segment with that in other major jurisdictions globally and to provide fair, equal and transparent access to all categories of investors, a framework for CAS has been introduced," said market regulator SEBI in its report.