NSE F\&O Expiry Shifted to Tuesday Under New SEBI Norms

Starting July 2025, the National Stock Exchange (NSE) will change the expiry day for Futures and Options (F\&O) contracts from **Thursday to Tuesday**. This shift comes after SEBI’s May 2025 circular mandating that all equity derivative contracts must now expire **only on Tuesdays or Thursdays**, aiming to bring uniformity across exchanges and improve market efficiency. The NSE has decided to move its expiry to **Tuesday** to avoid overlapping with the **BSE**, which recently chose **Thursday** as its weekly expiry day for derivatives. This strategic move helps reduce volatility and prevents liquidity fragmentation across exchanges. The change will affect **index derivatives (like Nifty and Bank Nifty)** and **stock-specific weekly and monthly contracts**. Market participants—including traders, brokers, and algo firms—will need to realign their strategies, positions, and hedging mechanisms to match the new cycle. While the move may cause short-term adjustment for traders accustomed to Thursday expiries, experts believe it could **improve trading volumes** and **reduce speculative clashes** across multiple exchanges. Overall, this regulatory move is part of SEBI’s broader effort to bring **standardization and systemic risk reduction** in India’s fast-growing derivatives market.