- SEBI is the market regulator in India.
- SEBI introduced a new CAS framework regulating the Indian stock market.
- The implementation of the new Closing Auction System (CAS) is currently affecting stock price discovery for companies including Trent, Bajaj Finance, and Mahindra & Mahindra.
The implementation of the Closing Auction System (CAS) in India is affecting index-options activity and improving closing price discovery.
1 report, 1 independent
Updated Aug 17
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What happened
The implementation of the Closing Auction System (CAS) in India is affecting index-options activity and improving closing price discovery.
Who's involved
What this event is mainly aboutHow it developed
Newest first. Tap a step to see who reported it.- CAS reviews hyperactivity in expiring index options and proposes blended VWAP using both CTS and CAS.Sub-event
- Castrol India and Mahanagar Gas are listed in the oil and gas index, and the CAS mechanism affects derivative contract settlement.Sub-event
- India changed its closing price determination method, involving the Closing Auction System (CAS).Sub-event
- The implementation of the CAS mechanism in India led to sharp swings in Nifty 50 and BSE Sensex, coupled with liquidity issues in the SLB system.Sub-event
- HDFC Securities noted market changes post-CAS, confirming the successful settlement of the CAS mechanism and its impact on derivatives turnover.Sub-event
CAS implementation is causing drag on index-options activity while improving closing price discovery.1 source
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Part of
The implementation of the new Closing Auction System (CAS) is currently affecting stock price discovery for companies including Trent, Bajaj Finance, and Mahindra & Mahindra.Also in this story
- CAS implementation has been found to affect brokerages rather than commodities exchanges, boosting Motilal Fin performance.
- SEBI is reviewing the methodology of the Closing Auction System (CAS) based on feedback received from the market.