In an important development for traders in commodity markets, the timings of trading activities on the Multi Commodity Exchange (MCX) are going to be changed from March 9. The move will allow people to trade for longer on the platform.
The decision has been taken by India’s commodity trading platform after adjustments made in the US Daylight Saving Time (DST). According to an MCX circular dated February 9, trading in non-agri commodities will start from 9 AM and end at 11:30 PM. Client code modification (CCM) for these contracts will be allowed from 9 AM to 11:45 PM.
For select agri commodities like cotton, cotton oil and kapas, trading will take place between 9 AM and 9 PM. The circular states that for all other agri commodities, trading hours will be from 9 AM to 5 PM.
Any change in US timings impacts trading hours elsewhere since commodity markets are linked to US timings. The US clock moves one hour forward after daylight saving time is implemented. This generally prompts the domestic commodity trading platform to adjust its trading hours to align with global trade timings.
The change in trading hours is important for people tracking international markets. Investors, particularly those engaged in trading gold, silver and crude oil, will be directly impacted.
Commodity markets in the US and Europe operate during late Indian hours. After the extended trading hours, it is expected that Indian investors will find it easier to align their positions more closely with global price movements. They will be better able to react to macroeconomic data releases and geopolitical developments.
The revised schedule allows traders to balance liquidity and operational efficiency across commodity segments.
