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MCX witnesses highest delivery in Gold over the last one year

14 Aug 2014 Evaluate

Multi Commodity Exchange of India (MCX), the leading commodity bourse, has witnessed highest delivery of 1100 kg in MCX Gold August 2014 contract, over the last one year. Gold delivery volumes have significantly picked up on the MCX platform, a clear indication of reinstatement of faith in MCX, an established benchmark of Gold prices and quality.

The last time delivery in MCX crossed 1000 kg-mark was in April 2013, much prior to the imposition of Commodity Transaction Tax (CTT) and other events that led to turmoil in the commodity markets. Deliveries dipped to 4 kg in February 2014, but started reviving from June 2014 onwards. The transparency of pricing, liquidity, international quality standards and ease of delivery mechanism of MCX are well recognized by physical market participants across the spectrum.

MCX gold contract has always proved to be hedgers’ paradise, and one of the best instruments available for risk management. Studies have revealed that MCX has the best hedging efficiency across Indian exchanges.

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