Bank Nifty expiry shift to Friday will increase volumes and bring down the volatility in Nifty on Thursday’s, analysts

The National Stock Exchange (NSE) in India has moved its weekly futures and options (F&O) expiry of Nifty Bank contracts to Friday from Thursday starting July 14. Analysts predict that increasing the volumes in the index will help traders allocate margins effectively and reduce volatility in Nifty on Thursdays. This change will bring about additional participation, as traders can use the same margin money on Friday in Bank Nifty that they use for Nifty and Bank Nifty on Thursdays. NSE’s decision is also expected to boost turnover in the derivative segment.