Positive impactEconomy

SEBI’s new F&O rules give it time to strengthen the closing auction session: MCQube’s Shunmugam

CNBC-TV18 57 min ago·16 Oct 2026, 4:58 am

SEBI has introduced a revised framework for Futures and Options (F&O) expiries, specifically targeting the closing auction session. This new rule gives market regulators more time to review and strengthen the mechanism that determines the final settlement price of contracts. The primary goal is to improve price discovery and ensure a fairer trading environment for all participants.

For investors, this change is significant as it aims to reduce volatility and potential manipulation during the crucial closing hours of trading. By refining the closing auction process, the move seeks to enhance market integrity and build greater trust in derivative pricing. This could lead to more stable price movements for index and stock futures.

Going forward, market participants should monitor how exchanges implement these new guidelines. It will be important to observe the impact on price discovery and trading volumes during the closing auction. Investors should also stay updated on any further clarifications from SEBI regarding the implementation timeline and specific operational changes.

Excerpt from CNBC-TV18

Published On Oct 16, 2026 | 10:28 IST Last Updated On Oct 16, 2026 | 10:28 IST SEBI's revised F&O expiry settlement framework improves price discovery and benefits derivative traders while allowing time to strengthen the Closing Auction Session, according to MCQube's Venkatachalam Shunmugam. The Securities and…
Read the original at CNBC-TV18

Key takeaways

  • Category: Economy.
  • AI reads the tone as positive (potentially bullish) for the stock.
  • Assessed as a significant, market-relevant update.

Why it matters

A meaningful update worth tracking. The tone is positive — historically associated with upward pressure, though not predictive. Use the price and stock snapshot to gauge how the market is responding.

Summary & analysis by DocStoX. Full story at CNBC-TV18.

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SEBI’s new F&O rules give it time to strengthen the closing auction session: MCQube’s Shunmugam