MUMBAI: BSE on Monday launched commodities derivatives with gold and silver futures, quickly getting onto the segment the day markets regulator Securities and Exchange Board of India (SEBI) set for the start of universal exchanges.
Inaugurating the bullion derivatives trade as part of the launch of commodities segment, SK Mohanty, whole-time director, SEBI, said, “We have put in all rules and regulations. Every exchange is equal to us and no exchange will have any distinctive or differential treatment from the regulator”. From Monday, he said, all exchanges will be known as stock exchanges.
BSE, with over 1,400 members, is looking to take on board more of its existing members to trade on commodities as well. “We already have 450 members who have signed up to trade in commodities, and we already see 150 of them trading this morning,” said Ashishkumar Chauhan, MD & CEO, BSE.
“Many of the bullion traders are also our members,” he said.
BSE would follow the trading cycle and delivery schedules akin to MCX — contracts would start on the sixth day of the contract launch month and the last day would be fifth day of the contract expiry month. Bullion deliveries would also be based out of Ahmedabad. Trading time would be from 10 am to 11.30/11.55 pm based on the US daylight saving time period.
BSE is next planning to bring in crude oil and copper derivatives on the commodities segment. Its rival NSE is set to launch commodities derivatives on October 12.