India's securities regulator, SEBI, is not expected to conduct an immediate review of the new stock closing auction mechanism, according to a source familiar with the matter.
The regulator has identified no flaws in the structure or design of the system, which launched on August 3 as part of a broader overhaul of end-of-day trading dynamics.
The source noted that engagement rose on Tuesday and that SEBI anticipates further growth in participation over time.
The decision to hold off on a review comes as participation in the auction mechanism has increased.
The source noted that engagement rose on Tuesday and that SEBI anticipates further growth in participation over time.
This trajectory suggests the market is adapting to the new rules faster than some observers initially feared.
The new auction mechanism was introduced to reshape end-of-day trading and has been a subject of intense scrutiny.