BSE stock jumps 7.9% post SEBI Futures and Options curb

31 Jul 2024 , 01:07 PM

BSE Limited shares rose by up to 7.9% in trade on July 31, a day after the Securities and Exchanges Board of India (SEBI) suggested reforms to Futures and Options (F&O) trading.

At 1:04 p.m., BSE shares were trading at ₹2,599.75 on the NSE. Volumes in the counter were also high, with 12 lakh shares changing hands on the exchanges so far, exceeding the one-month daily traded average of 10 lakh.

The market regulator’s proposed measures include rationalising options strikes, collecting option premiums upfront from buyers, removing the calendar spreads benefit on expiry, monitoring position limits intraday, increasing contract size by nearly 4x, rationalising weekly index products, and increasing margin for near contract expiration.

The market regulator noted that these steps were intended to tighten the index derivatives framework in order to improve investor protection and market stability.

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