MCX Shares Surge as SEBI Approves Commodity Derivative Platform Launch

MCX Shares Surge as SEBI Approves Commodity Derivative Platform Launch

VoM News Desk | October 9, 2023 | 12:17 PM IST | Breaking News | Follow on Google News

MCX Shares Surge as SEBI Approves Commodity Derivative Platform Launch

MCX Shares Surge as SEBI Approves Commodity Derivative Platform Launch

In a promising development, the shares of Multi Commodity Exchange of India (MCX) surged nearly 5% during early Monday trading as the company received approval from the capital markets regulator, the Securities and Exchange Board of India (SEBI), to launch its commodity derivative platform (CDP). MCX shares witnessed a significant increase, rising by as much as 4.90% to reach a high of ₹2,139.00 apiece on the BSE.

MCX’s stock price is currently hovering just below its 52-week high of ₹2,139.95, which was achieved on September 29, 2023.

After facing several delays, MCX, the largest commodity exchange in India, received approval from SEBI’s Technical Advisory Committee on Sunday to proceed with the launch of its commodity derivative platform (CDP). Previously, SEBI had advised MCX to postpone the planned CDP launch due to technical concerns and had referred the matter to the SEBI Technical Advisory Committee for discussion.

However, the decision took a positive turn as SEBI’s technical panel greenlit the launch of CDP. In its press release, MCX stated, “SEBI Technical Advisory Committee has recommended that MCX and MCXCCL may Go-Live with the CDP and to intimate SEBI regarding the proposed date for Go Live. Accordingly, SEBI has withdrawn its directions to MCX and MCXCCL to keep the proposed Go-Live of CDP in abeyance.”

This decision followed MCX and MCXCCL’s responses to the concerns raised by Chennai Financial Markets and Accountability regarding the CDP.

MCX’s share price has demonstrated impressive growth, gaining 16% in just one month and over 35% year-to-date. As of 9:40 am, MCX shares were trading 2.13% higher at ₹2,082.50 apiece on the BSE.

The approval for MCX’s commodity derivative platform launch signifies a significant milestone for the exchange, potentially opening up new opportunities in the commodities market and contributing to its growth in the coming months.

VoM News Desk

VoM News is an online web portal in jammu Kashmir offers regional, National & global news.