Business

SEBI bans futures trading of 7 commodities including wheat, know what will be the effect on you | SEBI bans futures trading of 7 commodities including wheat, know what will be the effect on you

Photo: PTI

SEBI bans futures trading of 7 commodities including wheat, know what will be the effect on you

Highlights

  • Instructions not to start new derivative contracts in wheat, crude palm oil, moong
  • Trading in futures contract of agri commodity suspended for one year
  • The government wants the prices of pulses and oilseeds to remain under control.

New Delhi, Markets regulator Sebi on Monday directed stock exchanges not to initiate fresh derivative contracts in wheat, crude palm oil, moong and some other commodities till further orders. With this, the government’s effort is to control inflation. The Finance Ministry has suspended trading in certain agri commodity futures contracts for a year.

According to a release, these instructions will come into force with immediate effect. The regulator has put on hold till further orders the introduction of new contracts for paddy (non-basmati), wheat, soybean, crude palm oil and moong. The list also includes gram, and mustard seeds and its derivatives. Derivatives contracts in these commodities were suspended earlier this year. Under the SEBI order, no fresh deals will be allowed in respect of the already in progress contracts and only the completion of the transaction will be allowed. According to the statement, these instructions will be applicable for one year.

Which commodity futures are banned

The government has banned the futures of 7 agri commodities. Under this, a ban on soybean and its derivative products, moong, gram, crude palm oil, mustard, paddy (non-basmati), wheat for one year, ban on taking new positions from December 20. Investors are only allowed to close the existing deal. New futures-options contacts will not be launched until further orders.

Why was the ban imposed?

Inflation figures are troubling to the government. The government wants the prices of pulses and oilseeds to remain under control. Due to this the government has taken this step. In order to control their prices, the government has banned the futures trading of these commodities. This decision of the government will weaken the balance of the futures market.

!function (f, b, e, v, n, t, s) {
if (f.fbq)
return;
n = f.fbq = function () {
n.callMethod ? n.callMethod.apply(n, arguments) : n.queue.push(arguments);
};
if (!f._fbq)
f._fbq = n;
n.push = n;
n.loaded = !0;
n.version = ‘2.0’;
n.queue = [];
t = b.createElement(e);
t.async = !0;
t.src = v;
s = b.getElementsByTagName(e)[0];
s.parentNode.insertBefore(t, s);
}(window, document, ‘script’, ‘//connect.facebook.net/en_US/fbevents.js’);
fbq(‘init’, ‘1684841475119151’);
fbq(‘track’, “PageView”); .

Leave a Reply

Your email address will not be published.

Related Posts

Budget से पहले और बजट के दिन कैसी रहेगी बाजार की चाल, पिछले 10 साल के ट्रेंड से समझें How will the market move before the budget and on the day of the budget, understand from the trends of the last 10

Photo:INDIA TV Budget, Share market, bull beear बजट के दिन कैसी […]

Tork Motors launches EV motorbikes KRATOS and KRATOS-R Price Specifications | TORK मोटर्स ने लॉन्च की पावरफुल इलेक्ट्रिक बाइक KRATOS और KRATOS-R, कीमत Ola स्कूटर से भी कम

Photo:@MRAHMEDSAYS Tork Highlights टॉर्क मोटर्स ने अपनी दो दमदार बाइक्स […]