NSE options trading hits lowest since December at ₹67,000 cr
NSE's options trading just hit its lowest point since December, dropping to ₹670 billion ($7 billion) on Tuesday.
Cash equities trading also dipped to levels not seen since last November.
The main reason? New regulations are making it tougher to trade derivatives, so fewer people are jumping in.
Regulatory changes could complicate NSE IPO
Regulators have cut back on weekly expirations, bumped up contract sizes, and limited bank funding for some traders. Plus, a new closing auction system has changed how expiration-day trading works, and traders are still figuring it out.
This slowdown comes right as NSE is preparing for its big IPO, kind of awkward timing since options trading brings in 60% of revenue from operations and about ₹100 billion in transaction charges for the year ended March.
If these trends continue, NSE's IPO plans could get a bit complicated.