NSE signs data licensing pact with CME Group for WTI crude oil, natural gas derivatives contracts

Leading stock exchange NSE on Wednesday said it had entered into a data licensing agreement with derivatives marketplace CME Group for WTI crude oil and natural gas contracts.

The pact will allow the National Stock Exchange (NSE) to list, trade and settle rupee denominated Nymex WTI crude oil and natural gas derivatives contracts for Indian market participants, the bourse said in a statement.

The addition of the contracts will expand the NSE product offering and its overall commodity segment.

NSE has applied to the Securities and Exchange Board of India (SEBI) seeking approval to unveil the additional futures contracts.

“On receiving approval from SEBI, NSE would make available trading in futures of these two global benchmarks, which will be settled in INR, on the NSE platform.”

“The Nymex WTI Crude Oil and Natural Gas (Henry Hub) contracts are among the world’s most traded commodity derivatives contracts generating interest from across the globe,” Sriram Krishnan, Chief Business Development Officer, NSE said.

This would help the exchange broaden its energy basket and these contracts would be beneficial for the Indian market participants to meet their price risk management activities as well as trading objectives, he added.