Overview of NSE Commodity Segment

 


The NSE Commodity Segment, also known as NSE Commodity Derivatives, allows trading in various commodities such as bullion, energy, metals, and agricultural products. Here are the key details:


1. Overview of NSE Commodity Segment

  • Launched by: National Stock Exchange (NSE)
  • Regulated by: Securities and Exchange Board of India (SEBI)
  • Products Traded: Bullion, Base Metals, Energy, and Agricultural Commodities
  • Trading Hours:
    • Monday to Friday
    • Normal Session: 9:00 AM – 11:30 PM (up to 11:55 PM during daylight saving in the US)
    • Agri Commodities: 9:00 AM – 5:00 PM

2. Commodities Available for Trading

Bullion: Gold, Silver
Metals: Aluminium, Copper, Lead, Nickel, Zinc
Energy: Crude Oil, Natural Gas
Agricultural Products: Cotton, RBD Palmolein


3. Contracts & Margin Requirements

  • Contracts are available in different lot sizes, such as Gold (1kg), Gold Mini (100g), Silver (30kg), and Crude Oil (100 barrels).
  • Margins vary based on market volatility and SEBI guidelines.

4. How to Trade in NSE Commodity Segment

๐Ÿ”น Step 1: Open a Commodity Trading Account with an NSE member broker.
๐Ÿ”น Step 2: Complete KYC (PAN, Aadhaar, Bank Details, Income Proof, etc.)
๐Ÿ”น Step 3: Fund your trading account.
๐Ÿ”น Step 4: Place orders via the broker’s trading platform.
๐Ÿ”น Step 5: Settle contracts as per expiry or square off as needed.


5. Clearing & Settlement

  • The NSE Clearing Corporation (NCL) handles the settlement.
  • Most contracts are cash-settled, while some may require physical delivery.

6. Advantages of NSE Commodity Trading

✅ Hedging against price fluctuations
✅ Diversification in investment portfolio
✅ High liquidity due to market participation
✅ Transparent and regulated environment


7. NSE Commodity Indices

  • Nifty Commodities Index
  • Nifty Metal Index
  • These indices track the performance of major commodities.

8. Where to Check Live Prices & Updates? ๐Ÿ˜Š

๐Ÿ“Œ Visit: https://www.nseindia.com/market-data/commodity-futures

 

Comments

Post a Comment