GIFT Nifty Records All-Time High Monthly Turnover of $103.45 Billion in October

The GIFT Nifty, a benchmark index for the Indian stock market that was formerly traded as SGX Nifty on the Singapore Exchange, has reported an all-time high monthly turnover of $103.45 billion for October. This figure is higher than the previous record of $102.35 billion achieved in May of this year. Since its rebranding and migration to the NSE International Exchange (NSEIX) in 2023, GIFT Nifty has seen significant activity, recording a total cumulative volume of over 52.71 million contracts with a cumulative turnover exceeding $2.39 trillion as of October 30.

Exchange officials stated that this achievement reflects increasing global confidence in GIFT Nifty as a representation of India's economic trajectory and thanked participants for their support.

In terms of broader market performance, the GIFT Nifty futures index was trading at a premium of 51 points. The Indian stock markets, including Nifty50 and Sensex, opened lower but reversed to trade in positive territory, with Nifty50 reclaiming the 25,900 mark and Sensex advancing. Leading gainers included Eicher Motors, Bajaj Finance, and Maruti Suzuki, while Cipla, Max Healthcare Institute, and NTPC were among the laggards.

Impact This record turnover signifies robust international investor participation and confidence in Indian financial markets. It suggests increased liquidity and potential for greater market stability, positively influencing investor sentiment. Rating: 8/10

Difficult Terms Explained:

GIFT Nifty: An index futures contract that tracks the National Stock Exchange of India's Nifty 50 index, traded on the NSE International Exchange located in GIFT City, India.

SGX Nifty: The previous name for the Nifty 50 index futures contract traded on the Singapore Exchange before its migration to India.

NSE International Exchange (NSEIX): An international multi-asset exchange in GIFT City, India, offering various financial products like derivatives and stocks.

IFSCA: International Financial Services Centre Authority, the unified regulatory body for the International Financial Services Centre (IFSC) in India.

Cumulative Volume: The total number of contracts traded over a specific period.

Turnover: The total value of all contracts traded over a specific period.

Derivatives: Financial contracts whose value is derived from an underlying asset such as stocks, bonds, or indices.

REITs: Real Estate Investment Trusts, companies that own, operate, or finance income-generating real estate.

InvITs: Infrastructure Investment Trusts, similar to REITs but for infrastructure assets.

ESG debt securities: Bonds issued to fund projects with environmental, social, and governance benefits.

Bourses: A term for stock exchanges or financial markets.