The National Stock Exchange of India has made another move to expand the exchange and commodity services it provides. The NSE has been growing at a very high CAGR over the years, owing to the widening interest of retail investors in India. Moreover, the stock exchanges like NSE and BSE are leading in their field and generate astounding profits; therefore, it isn’t surprising that they continue to flourish. Investors’ sentiment has reflected the positive performance as the NSE share price stays strong in the grey market.
NSE has significantly expanded its trading services to Nymex WTI crude oil and natural gas. What does this mean for the investors and NSE shareholders? In this blog, we find the answer to this question.
NSE Signs The Data License Agreement With CME Group
To facilitate the exchange of Nymex WTI crude oil and natural gas, NSE signed a data license deal with CME Group, a leading company in the derivative marketplace. In a statement, the NSE said it is now able to list, trade, and settle Nymex WTI crude oil and natural gas derivatives contracts in rupees for Indian market participants.
“The Nymex WTI Crude Oil and Natural Gas (Henry Hub) contracts are amongst the world’s most traded commodity derivatives contracts generating interest from across the globe,” Chief Business Development Officer of NSE, Sriram Krishnan, stated. It’s clear that the move will allow NSE to venture into new domains of commodity trading and bring further success.
What’s more, is that the NSE will be expanding its product offering and overall commodity segment.
“On receiving approval from Sebi, NSE would make available trading in futures of these two global benchmarks, which will be settled in INR, on the NSE platform.”, Sriram Krishnan added. The NSE has filed a request for approval with the Securities and Exchange Board of India (SEBI) for beginning additional future contracts.
What Does The Deal Entail For NSE & Traders
The data license agreement has great importance for the NSE stockholders, the traders, and everyone associated with NSE. These contracts are expected to benefit Indian market participants in terms of managing price risk. As a result, they will also be able to achieve their trading goals.
For NSE, the agreement means that it can widen the scope of its energy commodities. Moreover, given the leading reputation of the most coveted contracts, such as Nymex WTI and Natural Gas, NSE has yet again been established as a leading stock exchange in the world. The agreement is bound to add to the performance and revenue of NSE and increase traders’ interest in NSE. Moreover, NSE stocks would be more in demand among investors, strengthening the NSE unlisted share price.
The Expanding Indian Stock Market & NSE
The Indian stock market has been a story in itself, with the pulse of the Indian stock market, Sensex, reflecting the same. The Sensex values record a turbulent graph over the years, giving an insight into the ride it has been on. However, one thing has never been changing: the Indian stock market continues to grow.
Government policies and economic trends shape the trading sentiments in a country. Moreover, technological advancements and urbanisation add to stock and commodities trading growth. Demographic segmentation and population growth also play a role. The developing nation of India scores a green tick in all the boxes. The country has been developing quite fast, backed by technological advancement at a similar rate. Moreover, the growing population has 67.49% in the working age group, and this age group is most active in trading and stock exchange.
Stock Exchanges Take The Profit
Unsurprisingly, stock and commodity trading continues to grow at a high CAGR in India. That favours the prominent stock exchanges in India, namely NSE and BSE. Consequently, these stock exchanges have been growing as trading and derivative platforms.
Should You Invest In NSE Unlisted Share?
Investors share NSE’s increasing profits by buying NSE stocks in the grey market. NSE is a private limited company by the nature of its shares; therefore, its shares aren’t available on the stock exchanges. However, NSE shares are actively traded in the unlisted market, which means you can buy NSE shares on stock trading platforms like Stockify. Stockify is India’s trusted trading platform for pre-IPO unlisted shares. Here you can also check the live NSE grey market price, EBITDA growth, and other market indicators.
On Stockify, you can buy shares of NSE and more top-performing companies to make multi-bagger returns in future. One of the main reasons to invest in pre-IPO companies is their price climb when they launch Initial Public Offering. Therefore, invest now in the unlisted shares, and make more significant returns on your investments. You can connect with the expert team on Stockify and enjoy easy stock trading right away.