Dow plans commex, fixed income product indices in India

Mumbai: The Dow Jones Industrial Average (DJIA), the world’s most widely tracked and traded NYSE index, today said it is keen on launching more indices, preferably in the commodities and fixed income product categories, in India, after assessing the growth of the Dow Jones and S&P 500 futures which were formally launched on the NSE today.

“We are keen on introducing more of our indices to the Indian market as we go forward. However, our immediate priority is to ensure that our alliance with the NSE grows as a commercially profitable one,” CME (Chicago Mercantile Exchange) Group’s Equity Index Products & Services Head Scot Warren said here today.

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The CME Group and S&P 500 Indexes representatives were here today to formally announce their tie-up with India’s largest stock exchange by volume, the NSE, here. These indices were being traded on the NSE from August 29.

They also announced a nationwide campaign to promote the Dow Jones and S&P 500 indices futures, and the options linked to the S&P 500 on the NSE as Global Indices. The nationwide campaign being launched by NSE in association with the CME, S&P and Dow Jones Indexes, will cover Ahmedabad, Delhi, Kolkata and Chennai over the week.

This is the first time in the world that futures contracts on the S&P 500 index have been introduced and listed on an exchange outside of the US, S&P Regional head for South Asia abd MD and CEO of Crisil Roopa Kudva said. Crisil is a subsidiary of S&P.

Since the time of the launch the derivatives on August 29 on the two indices, they have been clocking in a daily average of around 4,000 contracts, with wide participation across the country, Kudva said.