MCX Trading Disruption: SEBI Asks for Details
Why in the news
A long outage at the country’s biggest commodity exchange drew a regulatory query from SEBI, the second such opening problem within four months.
About MCX
- Role: India’s largest commodity derivatives exchange, offering hedging, price discovery and risk management.
- Established: 2003; headquarters: Mumbai; regulator: SEBI.
- Demutualised: ownership and management are separate from trading membership.
- Products: metals (gold, silver, copper, aluminium, lead, zinc), energy (crude oil, natural gas), farm goods (cotton, cardamom, mentha oil).
Functions
- Price discovery, hedging, investment access for retail and institutions, and electronic trading, clearing and settlement.
Exam angle
- Regulator of commodity exchanges: SEBI.
- Term: demutualised exchange.