MCX — the Multi Commodity Exchange of India — is the country's largest commodity derivatives exchange. It is where futures and options on gold, silver, crude oil, natural gas, base metals and select agricultural commodities are traded, under the oversight of the market regulator, the Securities and Exchange Board of India (SEBI).
How is MCX different from NSE and BSE?
Think of it as a specialist. The NSE and BSE are best known as the exchanges where company shares and equity derivatives trade — if that world is new to you, see what is a stock exchange (NSE and BSE). MCX is dedicated to commodities: it runs the trading platform, lists the contracts, publishes prices, and — through its clearing corporation — guarantees that every trade is honoured even if the party on the other side defaults.
You never buy "gold from MCX" the way you buy a coin from a shop. What you trade on MCX are derivative contracts — mainly futures, and options on those futures — whose value moves with the underlying commodity's price. What is commodity trading explains how a physical good becomes a standardised contract like this.
What can I trade on MCX?
MCX contracts cover four broad families:
| Family | Examples |
|---|---|
| Bullion | Gold, silver |
| Energy | Crude oil, natural gas |
| Base metals | Copper, zinc, aluminium, lead |
| Agri commodities | Select items such as cotton and mentha oil |
Each commodity typically has contracts in more than one size, so smaller traders are not forced into very large positions. MCX also lists two commodity index futures — one on a bullion index, one on a base metals index — which track a basket of its own near-month contracts and settle in cash. For the full picture of what is available and what drives each family, see which commodities can I trade in India.
Is MCX the only commodity exchange in India?
No. NSE's commodity derivatives segment (NSE Commodities) also lists commodity derivative contracts, and NCDEX — a separate exchange — focuses on agricultural commodities. MCX remains India's largest commodity derivatives exchange, but it is one venue among several, not the whole market.
On Rupeezy, the commodity segment gives you access to commodity derivatives on both MCX and NSE Commodities. Each exchange publishes its own contract specifications and calendar, so always check the specification sheet of the exact contract you trade.
Who regulates MCX, and is my trade safe?
SEBI regulates MCX the same way it regulates the equity exchanges — the separate commodity regulator that once existed (the FMC) was merged into SEBI years ago. Contracts are standardised, prices are transparent, and settlement is guaranteed by the clearing corporation, which collects margins from both sides of every trade.
Regulation makes the market trustworthy; it does not make trading safe in the sense of risk-free. Commodity prices can move sharply, and leveraged contracts magnify those moves.
When does MCX trade?
MCX runs much longer hours than the equity market — from the morning until late evening — because Indian commodity prices track global markets that are active when Europe and the US trade. Evening sessions are often the most active part of the day. The details are in what are the commodity market trading hours.
Things to keep in mind
- MCX is a marketplace, not a product. What you actually trade there are leveraged derivative contracts with expiry dates — understand the contract before the exchange.
- To trade on MCX you need the commodity segment activated on your trading account; equity-segment activation alone is not enough.
- The long trading hours cut both ways: you can react to global news in the evening, but a position you ignore after dinner can also move against you overnight.
- Prices on MCX are influenced heavily by international benchmarks and the USD-INR rate, not just Indian demand and supply.
Read next
What is NSE Commodities? — The other exchange your commodity segment reaches, and how the two compare.