Mumbai: Multi Commodity Exchange of India, the country leading commodity bourse, has launched futures contracts in gold, with a minimum size of eight grams, effective from Thursday. The Gold Guinea would have two contracts, July and August 2008.

Trading unit of the contract would be eight grams and maximum order size would be 10 kg with tick size (minimum price movement) of Re 1 per eight grams. MCX has made delivery under these contracts compulsory.

The quality specifications would be 995 purity and it should be serially-numbered gold guinea supplied by LBMA-approved suppliers or other suppliers as may be approved by MCX, to be submitted along with supplier's quality certificate.

MCX has notified the delivery centres at Ahmedabad, while the additional centres would be at New Delhi, Mumbai, Hyderabad, Bangalore, Chennai and Kolkata.

Whenever the daily price limit is hit, it shall be relaxed up to six per cent. Whenever such relaxation from the present daily price limit is made, margin of equivalent percentage shall be levied by the exchange.
Source : PTI