Many foreign brokers, like IG Japan, have terminated India 50 Index trading, including CFDs and binary options since early April.
IG Securities, a Japanese subsidiary of the IG Group, made changes to its range of trading instruments by terminating trading in derivatives related to the India 50 index, such as CFDs, binary options, and others.
A stock index is a top group of shares from a particular exchange that is used to give an indication of a sector, market, or economy. As a tracker, the stock index has no built-in value but will move in points to reflect the stock prices of all its underlying assets. Some stock indexes will give equal weight to all the stocks they contain. To trade stock indices, clients must use tracking funds or derivatives such as CFDs, futures, or ETFs. All of these products offer different trading methods according to stock index price movements.
Brokers Have Stopped Offering India 50 Index
Starting April 1, 2022, IG Japan clients will not be able to open new positions on this instrument. Clients who still have open positions are required to close them before 1 July 2022. Actually, the closing of India 50 Index by a broker is not the first time this has happened. Last month, Admirals did the same with switching to close only trading mode on its MT5 platform. On the other hand, Indian shares appear to be extending losses amid concerns over soaring domestic inflation and prospects for monetary tightening by the US Federal Reserve.