Sebi restores 30-minute VWAP for expiry settlements
In short
Sebi changed the rules for closing auction sessions and derivatives settlement. Publisher summaries say VWAP will be used in the last 30 minutes of normal trading, stocks will trade until 3:30 pm, and closing auctions will run until 3:40 pm.
The change matters for traders and settlement pricing, but the reporting does not say why Sebi made it or how markets will react.
What the reporting says
Sebi implemented an updated framework for closing auction sessions and derivatives settlement, according to publisher summaries. The new guidelines use volume-weighted average prices during the last half-hour of normal trading, with stock trading until 3:30 pm and closing auction sessions until 3:40 pm. The source does not state the reason for the change or any market impact.
Why it matters
Sebi implemented an updated framework for closing auction sessions and derivatives settlement, based on publisher-supplied summaries. The change affects stock trading until 3:30 pm and closing auction sessions until 3:40 pm, while using VWAP in the last half-hour of normal trading. The reporting does not explain the policy reason or identify any immediate winners or losers.