Day Trading Stocks & Futures
- Thread starter TraderRavi
- Start date
- Tags banknifty bnf daytrading nifty future
Bad news for Gujjus
Confirmed cases in Gujarat are doubling every six days
Gujarat becomes second most affected state with 2,178 Covid-19 cases
https://www.business-standard.com/a...e-doubling-every-six-days-120042101903_1.html
Confirmed cases in Gujarat are doubling every six days
Gujarat becomes second most affected state with 2,178 Covid-19 cases
https://www.business-standard.com/a...e-doubling-every-six-days-120042101903_1.html
This was the news
With the MCX announcing a price of –Rs 2,884 (minus) as settlement of the April crude oil contract which expired yesterday, more than 100 brokers are estimated to have lost over Rs 450 crore. Hardly 12-15 brokers, most of whom are algo players, have got credit, according to reliable information.
In view of these developments, some brokers are considering to challenge the MCX settlement price decision in a court of law. Meanwhile, since these brokers have to pay the difference as the per final settlement price to the clearing corporation of the exchange, their margins lying as credit with the clearing corp were blocked today afternoon. As a result, they were not able to trade but were only allowed to square off positions to garner extra credit for paying the shortfall in margin requirements.
Sources explained that some major brokers, who also have retail client business, are among those considering moving court. MCX has said that it settled the contract as per a formula followed for the past 15 years.
However, brokers contend that such contract were allowed to be traded till at 11:30pm, which was the official closing of trade for the day. But that deadline has now been curtailed due to lockdown. Secondly, the MCX system is not capable of handling negative prices even if the day were to have ended at 11:30pm.
https://www.business-standard.com/a...rude-oil-settlement-issue-120042101760_1.html
With the MCX announcing a price of –Rs 2,884 (minus) as settlement of the April crude oil contract which expired yesterday, more than 100 brokers are estimated to have lost over Rs 450 crore. Hardly 12-15 brokers, most of whom are algo players, have got credit, according to reliable information.
In view of these developments, some brokers are considering to challenge the MCX settlement price decision in a court of law. Meanwhile, since these brokers have to pay the difference as the per final settlement price to the clearing corporation of the exchange, their margins lying as credit with the clearing corp were blocked today afternoon. As a result, they were not able to trade but were only allowed to square off positions to garner extra credit for paying the shortfall in margin requirements.
Sources explained that some major brokers, who also have retail client business, are among those considering moving court. MCX has said that it settled the contract as per a formula followed for the past 15 years.
However, brokers contend that such contract were allowed to be traded till at 11:30pm, which was the official closing of trade for the day. But that deadline has now been curtailed due to lockdown. Secondly, the MCX system is not capable of handling negative prices even if the day were to have ended at 11:30pm.
https://www.business-standard.com/a...rude-oil-settlement-issue-120042101760_1.html
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