Indian Commodity Exchange Ltd completes first settlement cycle of gold

The Indian Commodity Exchange Ltd (ICEX), which went live on 27th November 2009, has achieved completing the settlement cycle of Gold 1 KG February and Gold 100 Gms February contracts, on 29th January, 2010.

There was a physical delivery of the metal (it being a deliverable contract); as 168 lots of Gold 1 KG and 170 lots of Gold 100 Gms, on all the vaults accredited by ICEX on the first day of the tender. The delivery period and the Pay-in and Pay-Out was successfully completed. The settlement cycle is commendable on grounds of its being the maiden settlement cycle for the gold contract. The settlement also signifies trust and confidence that bullion participants from the physical market across India have reposed in the new commodities exchange.

The ICEX has roped in a number of traders and participants from the physical market within the first two months of its operations. Apart from Gold and silver, the exchange has also launched contracts in base metals and energy like copper, lead, crude and natural gas. Contracts for the agri basket, contracts in guar seed and refined Soya oil (RSO) have been introduced in the first phase.