MCX finally launches future contract in Gold Coins
Premier commodity exchange, Multi Commodity Exchange of India (MCX) has informed that it has launched futures contracts in gold, effective from 8 May 2008.
The 'Gold Guinea' would have two contracts, July and August 2008. The trading unit of the contract would be eight grams and maximum order size would be 10 kg with tick size (minimum price movement) of Re 1 per eight grams. MCX has made delivery under these contracts compulsory.
As per the direction of the Forward Markets Commission (FMC), whenever the daily price limit is hit, the limit shall be relaxed up to 6 per cent. Whenever such relaxation from the present daily price limit is done, margin of equivalent percentage shall be levied by the Exchange, the circular said.
MCX has notified the delivery centres at Ahmedabad, while the additional centres would be at New Delhi, Mumbai, Hyderabad, Bangalore, Chennai and Kolkata.