10:15
Average daily turnover (ADTV) in the equity derivatives segment fell to a 14-month low of Rs 346.9 trillion in August, according to data compiled from exchanges. The turnover has declined by 22 per cent from July -- the sharpest month-on-month decline since December 2024.
The declines, analysts noted, are on account of the changes implemented through the closing auction session (CAS), which came into effect from August 3.
The last time the market saw a monthly fall of this magnitude was following the December 2024 series, as exchanges continued to grapple with tighter derivatives trading norms rolled out to curb speculation and frenzy in the segment.
Exchange-wise, NSE's futures and options (F&O) ADTV fell to Rs 193.3 trillion in August from Rs 214.3 trillion in July while BSE's F&O ADTV declined more sharply to Rs 153.6 trillion from Rs 232.2 trillion over the same period.
The derivatives slowdown contrasts with the cash market, where activity held broadly steady.
Average daily cash turnover on the NSE was Rs 1.19 trillion in August against Rs 1.20 trillion in July while BSE's cash ADTV rose marginally to Rs 10,591 crore from Rs 9,870 crore. However, analysts are now seeing a revival in volumes as the impact of CAS stabilises.
"BSE volume is seeing recovery after the impact of CAS. The (turnover) on the first two days of September is 13-15 per cent higher versus the first two days of July and August 2026," noted an analyst.
"In fact, the Tuesday premium (September 1) volume of BSE at Rs 117.5 billion is the best Tuesday over the last 13 weeks on Tuesdays, the expiry days."
-- Khushboo Tiwari, Business Standard
