MCX gets extention in currency futures from SEBI

The Securities and Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term Board of India (Sebi) late on Wednesday approved the application for renewal of registration for currency futures trading of MCX Stock Exchange Stock Exchange A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin A stock exchange, also known as a securities exchange or bourse represents is a facility where stockbrokers and traders can buy and sell securities.This includes shares of stock, bonds, exchange-traded funds (ETFs), or other financial instruments. By extension, stock exchanges can also provide facilities for the issue and redemption of such securities and instruments and capital events including the payment of income and dividendsStock exchanges have developed into a permanent fixture in the fin Read this Term (MCX-SX). The approval comes a day after Sebi issued a showcause notice to the exchange asking the bourse to explain why its application for renewal of registration for currency futures trading should not be rejected.

The regulator said that the renewal was subject to the outcome of litigation in the Bombay High Court between Sebi and MCX-SX relating to compliance with share holding norms of a stock exchange and a decision to be taken on the show cause notice issued on Tuesday.

The exchange cannot launch new products till the issue is settled. Sebi's conditional approval for the currency segment is valid till Sept 15, 2012. A Sebi notification issued late on Wednesday said that the extension was "in the interest of trade."

MCX exchange has come under much scrutiny, SEBI had rejected its offering to become an approved stock exchange in 2010 offering equities and debt instruments. SEBI had rejected the license as MCX is privately owned by Indian billionaire Jignesh Shah and does not comply with the MIMPS whee key stake holder cannot hold more then 5%.

MCX is renowned for tis massive growth in commdities triadng and INR currency futures. MCX is the sixth largest commodity exchange in the world with No 1 in silver and No 2 ranking in gold.

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