The derivative contracts expiry cycle for BSE has been changed by the exchange. Starting from January 1, weekly contracts for Sensex will now expire on Tuesdays instead of Fridays.
Monthly contracts for Sensex, Bankex, and Sensex 50 will now expire on the last Tuesday of each month, replacing their previous expiry days of the last Friday, Monday, and Thursday respectively. This change is expected to reduce market volatility and improve capital efficiency for traders.
Previously, traders had their capital tied up for extended periods due to consecutive expiry days. The shift to a Tuesday expiry will allow for earlier capital release, enabling increased trading opportunities and more flexible capital deployment throughout the trading week. Priti Chabra from Trade Delta emphasized that this change will offer traders greater flexibility for reinvestment and additional trading activities.