Multi Commodity Exchange of India (MCX) has decided to extend the negative pricing mechanism to all commodities futures contract by giving an exit option to traders if the prices enter negative zones, after the controversial settlement of the May crude contracts in negative territory on April 21. This means that the exchange is offering an alternative mechanism of an exit opportunity to traders in all commodities if the prices fall into the minus zone.
MCX, the leading commodity bourse, largely offers futures trading in non-agricultural commodities. The exchange contributes maximum business to the total turnover of the commodity futures market.
