## Sunday, August 30, 2009

### Interest rate futures launch

On 31st (Monday) morning, interest rate futures trading will start at NSE for the second time. Watch me on the CNBC TV18 website on interest rate futures. I had a blog post on this recently; Mobis Philipose has an article in Mint; Financial Express has an editorial. In Economic Times today, Mayur Shetty interviews B. Prasanna of ICICI Securities PD, and Gaurav Pai has some worrisome reportage about possible regulatory problems that might come in the way.

NSE has setup a nice web page on interest rate futures which is the same as what they have for currency futures.

1. Will we see Long Term Interest Rate Options, if a common citizen needs to hedge himself against interest rate risk?

P.S: Can anybody point me to a resource, where I can find the SPAN Margin for Interest Rate Futures?

2. Ajay,
Given your strong views on the subject, I'm surprised by your use of the adjective "nice" in describing this webpage. I feel the NSE website has taken a huge step backwards on both of the new segments compared to the great work they had done on the EQ side. The annoyance starts right from the newly popped up window sans address bar. There is simply no way to see the market depth or deep link. Besides the whole layout is counter intuitive. If you clicked one of the big buttons on the bottom-middle of the screen, say, "Trading History," the top-left panel changes and it isn't easy to figure out how to get back to displaying the quotes. (You have locate and click on the little "Home" icon unhelpfully coloured bright orange-on-orange.) It's as if someone brought up on a staple of HTML and CSS learnt AJAX one day and got totally carried away.

3. Soham:

Q: In which part of the world do "common citizens" hedge their interest rate risk with options?

Please note: LaTeX mathematics works. This means that if you want to say $10 you have to say \$10.