Neutral impactOrders & Deals
F&O de-addiction? Options volumes crash over 50% in FY26 after Sebi's strict rules
Economic Times 3 hrs ago·6 Aug 2026, 2:16 pm
Sebi's new rules for derivatives have led to a sharp drop in options trading volumes across the market. The regulator increased contract sizes and transaction taxes, which has made trading more expensive and less attractive for retail investors. This shift has significantly reduced the number of contracts traded, particularly on expiry days.
This move is intended to curb excessive speculation and promote a more stable market environment. For investors, the impact is a potential reduction in liquidity and volatility. While this may lead to calmer price swings, it could also make it harder to enter or exit positions quickly at desired prices.
Investors should monitor how trading patterns evolve. If volume remains suppressed, it could signal a structural change in market behavior. Watch for any adjustments in trading strategies by market makers and the long-term impact on market depth and liquidity.
Key takeaways
- Category: Orders & Deals.
- Assessed as a significant, market-relevant update.
Why it matters
A meaningful update worth tracking. Use the price and stock snapshot to gauge how the market is responding.
