India's NSE gets nod to launch WTI crude oil, natural gas futures contracts
India's National Stock Exchange (NSE) has received approval from the country’s market regulator to launch the rupee-denominated NYMEX WTI crude oil and natural gas futures contracts in its commodity derivatives segment, it said on March 1.
NSE recently signed a data licensing agreement with CPE Group allowing it to list, trade and settle rupee-denominated NYMEX WTI crude oil and natural gas (Henry Hub) derivatives contracts on its platform.
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NSE said that the addition of these contracts will expand its product offering in the energy basket as well as its overall commodity segment. These contracts are designed to provide the market participants with a more efficient way to manage their price risk, it added.
"It has always been our objective to provide the market participants with a suite of dynamic and robust financial products. We hope that it provides the market participants with an efficient avenue to hedge their price risk and meet their trading objectives. We will announce the launch date of these contracts soon,” Sriram Krishnan, chief business development officer, NSE said.
NSE was the first exchange in India to implement electronic or screen-based trading. It began operations in 1994 and is ranked as the largest stock exchange in India in terms of total and average daily turnover for equity shares every year since 1995, based on market regulator data.
In India, Multi Commodity Exchange already trades crude oil and natural gas futures.