India's BSE will retain weekly derivative contracts linked to the Sensex after the country's markets regulator announced tighter rules for equity derivatives, two sources with direct knowledge of the matter said.

SEBI on Tuesday asked exchanges to cut down the number of weekly options contracts available to investors to only one from November 20

The BSE will discontinue weekly index derivatives contracts on Sensex 50 and Bankex starting mid-November, following SEBI's directive to curb speculative trading. SEBI's new framework limits weekly ex

November, BSE will no longer offer weekly index derivatives on Sensex 50 and Bankex, following SEBI’s new framework designed to reduce risk and improve market stability. Key changes include stricter monitoring and higher contract values.

On Tuesday, Sebi introduced a stricter framework for equity index derivatives, including an increase in the minimum contract size, upfront collection of option premiums, and intra-day monitoring of position limits.

This comes following SEBI’s recent guidelines on strengthening equity index derivatives framework for increased investor protection and market stability

India's BSE said it will discontinue weekly derivative contracts linked to Bankex and Sensex 50, indicating the stock exchange operator will retain only contracts linked with its benchmark BSE Sensex,