Indian Gold Derivatives Market Hits Record Daily Turnover

The gold derivatives market in India has reached a significant milestone, with daily turnover crossing ₹2.2 lakh crore. This growth is attributed to the increasing participation of investors in gold futures and options. The average daily open interest in gold derivatives stands at 43 tonnes, indicating sustained participation and longer-term interest in the market.

The physical deliveries through exchange mechanisms have also seen a significant increase, with around 175 tonnes delivered since 2003. This demonstrates the link between the financial market and the underlying physical gold ecosystem. The development of India's gold market has been driven by the growth of futures trading on exchanges like MCX.

Gold options have become increasingly important in the market, with average daily notional turnover reaching ₹1.94 lakh crore in FY2025-26. This is a significant expansion from previous years, with options volume reaching 156 tonnes compared to 23 tonnes for futures.