Dubai Gold and Commodities Exchange’s (DGCX) announced the trading on its newly launched Indian Rupee Options Contract to start from tomorrow (September 26).
The contract will be available for trading on DGCX from beginning of the trading hours, thus offering Exchange members added flexibility to hedge and manage Rupee currency risks in a transparent and regulated trading environment.
The launch of the Options contract will build on the success of the DGCX Indian Rupee Futures contract, which has experienced significant growth in demand over the past year. On September 22, 2011, the contract recorded its highest ever daily volume of 34,046 contracts, valued at US $ 1.37 billion, a huge jump from the previous daily high of 27,406 contracts achieved on August 19, 2011.
DGCX is the only exchange outside India to offer trading in both futures and options in the Indian Rupee. The Exchange recently conducted a seminar to educate investors on the modalities of trading in the Indian Rupee Options contract.
Each DGCX Indian Rupee Options contract represents one Indian Rupee Futures contract of 2 million Rupees. Prices are quoted in US Cents per 100 Indian Rupees, with a minimum premium fluctuation of 0.000001 US Dollars per Rupee ($2 per contract). At launch, the October 2011 expiry month will be available to trade.