SEBI mentioned that the directions are applicable for a period of one year.New Delhi: Markets regulator Securities and Exchange Board of India (SEBI) on Monday barred futures trading in five more commodities.
The derivative contracts in paddy (non-basmati), wheat, soya bean and its derivatives (complex), crude palm oil and moong have been suspended with immediate effect, SEBI stated in a notification.It also mentioned that futures trading "chana and mustard seeds, its derivatives (complex) have already been suspended, vide SEBI press release dated August 16, 2021 and October 08, 2021, respectively."The markets watchdog added that "no new contract shall be launched till further orders."SEBI also stated, "In respect of running contracts, no new position will be allowed to be taken.
Only squaring up of position will be allowed."It further mentioned that the directions are applicable for a period of one year.This comes amid the backdrop of retail or consumer price-based inflation surging to a three-month high of 4.91 per cent in November.Another set of government data showed that the wholesale inflation jumped to 14.23 per cent in November as against 12.54 per cent in October.
WPI inflation has remained in double digits for eight consecutive months starting April this year.