You can soon spend more time on D-street June 29, 2009
Posted by dhirendra1972 in Increase Participation, Longer Trading Hours, Phase Manner.Tags: American Markets, Capital market Regulator, Cash, Currency Derivatives Market, D-street, Derivatives Segments, Equity, Equity Market, European Markets, Future Market, Global Market, Indian Markets, International Market, Investor Groups, Market Hours, Market Participants, Secondary Market Advisory Committee (SMAC), Stock Exchange Trading Hours, Stock Exchanges, Stock Market Intermediaries, Time Constraints, Time Infrastructure, Trading Interest, Trading Plands
add a comment
Good morning friends. For those people who enjoyed staying on the street a lot will take more pleasure, as they can soon spend more time on D-Street. Lengthen of market hours would allow many market participants to carry out trading plans in Indian markets.
Longer trading hours may become the norm for stock market intermediaries sooner than later. The capital markets regulator, Sebi, is learnt to be thinking of increasing stock exchange trading hours so that market participants in India are better placed to react to developments in global markets. If the proposal is approved, the equity market will be open for trading from 9:00 am to 5:00 pm.
At present, the cash & derivatives segments are open from 9:55 am to 3:30 pm, currency derivatives market operates from 9:00 am to 5:00 pm, while the commodity futures market operates from 10:00 am till 11:30 pm. The proposal, based on the feedback received on a discussion paper floated by Sebi for longer trading hours in equity, is likely to be taken up with the Secondary Market Advisory Committee (SMAC), according to a person close to the development who requested anonymity.
The SMAC, which consists of representatives from Sebi, investor groups, stock exchanges and other market participants, will debate the proposal, and send it to the Sebi board, which will take the final decision. “The SMAC will take into account the views of all categories of market participants. The regulator is keen not to penalise anybody in terms of time or infrastructure constraints. As such, the extension of trading hours will be done in a phased manner. A final decision could be taken reasonably soon, possibly in a month,” said a person familiar with the issue.
Trading on major Asia Pacific bourses — Japan, Hong Kong and Shanghai — commences a little ahead of the Indian markets, while the European and American markets open much later. Sebi had, in March this year, proposed an extension of trading hours of stock exchanges to align the domestic bourses with international markets. “In a world where different exchanges are competing with each other to increase participation, it is imperative that the Indian markets align themselves to global markets to attract such trading interest.
Extension of market hours would enable market participants to execute trading strategies in Indian markets based on information flowing in, which otherwise would have been executed outside India,” Sebi had said in its discussion paper floated for public comments. -The Economic Times
