The weekend was very important for the Europe mainly for the france as the Presidential Election is underway and Francois Hollande: 28.4% – with victory virtually assured in the runoff round on May 6, it is now Hollande’s election to lose, and Nicholas Sarkozy: 25.5% – make the runoff round.

It’s a big day tomorrow for the Indian markets as it’s the day of Akshaya Tritiya in India has been traditionally considered very auspicious for purchasing gold, silver, ornaments, precious stones, real estate and other long-term assets. It’s the occasion for traders,Broking houses,Banks and exchanges too who have increased their working hours for the day.

Looking back to some of the agro commodities which are under review under FMC, ( Forward Markets Commission) regulator for the Indian commodities Markets. The commodities that are under review are chana, potato, soybean, mentha oil, soya oil, mustard, pepper and cardamom.

I hope FMC & the ministry of consumer affairs may adopt the idea a combination of more margins and reduction in open position limits to curb volatility, rather than putting ban on the Futures.Banning futures trade “off and on” sends a wrong signal to genuine market makers and traders who opt for trading in the market with a long-term perspective and for price discovery ( unfortunately that’s a big word but price discovery should happen in the market).

Here Margins refer to the amount of deposit, which a trader or a broker has to maintain with a commodity exchange before trading and open interest in a commodity refers to the total of futures or options contracts yet to be settled (meaning, not closed or delivered) for a specific underlying security.

I will try to put on some views how Indians are slowly loosing our natural monopoly on the commodities and Vietnam is all set to beat India to emerge as the commodity trading hub of South-East Asia.