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Shares of Multi Commodity Exchange (MCX) rose more than 2% on Wednesday as international brokerages issued bullish calls on the stock after market regulator Sebi proposed to allow foreign portfolio investors (FPIs) to participate in non-agricultural commodity derivative contracts, which are physically settled on domestic exchanges.

In a consultation paper issued on Tuesday, the Securities and Exchange Board of India (Sebi) listed proposals aimed at widening the scope of FPI participation in commodity derivatives. At present, overseas investors can trade in non-agricultural commodity derivative contracts that are only cash-settled. For commodity index derivatives, FPIs currently can participate only where the index and its underlying contracts are cash-settled.

The market regulator has now proposed removing this restriction as index derivatives are always cash-settled irrespective of whether their underlying contracts are cash-settled. “It would also facilitate greater integration of India’s commodity derivatives market with international commodity markets and support the development of Indian commodity contracts as credible price discovery venues,” said Sebi, which has invited comments on the proposals.

Also read | Sebi proposes to allow FPIs to participate in physically settled commodity derivatives

JPMorgan on MCX share price

JPMorgan upgraded its rating on the shares of MCX to ‘Overweight’ from ‘Neutral’, and hiked its target price to Rs 3,500 apiece from Rs 2,560 apiece. The latest target price implies 21% upside potential from the stock’s previous closing price of Rs 2,895 apiece on NSE.

It noted that Sebi’s new consultation paper proposes to admit FPIs into non-agri commodity index derivatives, and more materially into physically-settled non-agri contracts, marking the deepest structural widening of the foreign investor base in Indian exchange-traded commodity derivatives (ETCDs) since FPIs were first onboarded in 2022.
JPMorgan reads this as a structural volume catalyst for MCX, with bullion as the primary beneficiary.

Jefferies on MCX share price

Jefferies has a ‘Buy’ call on the shares of MCX, with a target price of Rs 3,600 apiece. This implies more than 24% upside potential.

The international brokerage noted that the FPI participation in cash-settled commodity F&O is 5-6% currently. Similar participation in physically settled non-agricultural contracts could add 3% to MCX’s profit, it added.

A deepening of commodity index options, which currently have no volumes, could add 10% to MCX’s profits, should they become 10% of monthly equity ADTO in three years, Jefferies further said.

Morgan Stanley on Sebi proposal

Morgan Stanley noted that FPIs contributed to approximately 4% of total notional turnover in FY26 and around 2% in Q1 FY27, as per Sebi data. The share from FPIs is likely to be higher when based on cash-settled contracts notional turnover, where FPIs are currently allowed to participate, it added.

MCX share price

MCX shares have gained around 13% in a week and 6% in a month, with the stock overall being up more than 33% in 2026 so far. It has overall gained more than 79% in one year.

In the longer term, MCX shares have delivered stellar returns of more than 828% in three years and 868% in five years. The company currently has a market capitalisation of over Rs 73,968 crore.

Also read | Sebi proposes to expand FPI play in commodities

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

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Prime Minister Andy Burnham has said he accepts his announcements aimed at tackling the cost of living are not enough on their own and hinted at further support.

Burnham told BBC’s Wake up to Money he will deliver an “accumulation of smaller things” that “combine to take the pressure down” on household budgets.

He spoke of an overhaul of train fares and “more public control” of energy, water and housing but did not give details on how he would bring this about.

Burnham has made a number of announcements to help people with the cost of living since taking office, including the removal of VAT from domestic energy bills and bringing forward an already planned end to ‘subscription traps’.

Asked whether the changes he had announced were not significant to people struggling, he said: “I can accept criticism that this isn’t enough, because I wouldn’t say it’s enough.

“But I take an approach to politics where I do what I can, when I can. Just take that little bit of pressure off and address an issue that you know needs addressing.

“It’s not the end of the story,” he added.

The prime minister, who is embarking on a tour of the UK while Parliament is in recess, said he believed “more public control of essential services” such as water, energy and housing, “would mean we could get to a more substantial answer to the cost of living crisis”.

On water, he said it would not be easy to reverse the privatisation of water companies in England and Wales that took place in the 1980s.

“But very much, I’m looking at what can be done. Same with energy.”

He also said that, following the return of rail operators to public ownership, he wanted to “remodel the rail fares so that we can get more public benefit for people”.

Burnham said he has asked Chancellor John Healey to look at what the government can do further on the cost of living in the upcoming Budget, on 28 October, and that Healey has said it will be his “main focus”.

Healey has made it clear he will oversee “strong fiscal discipline” – which will limit how much the government has to spend.

One major think tank recently warned that he will have to raise taxes or cut spending to meet Burnham’s pledges on defence and the cost of living.

Labour’s manifesto pledge was to not increase taxes for working people — including income tax, VAT and National Insurance Contributions (NICs) – which Burnham has said he will uphold.

He will likely face pressure to address rising costs for businesses, after previous budgets under Rachel Reeves saw employer’s national insurance and minimum wages go up.

Last month Burnham said pubs, social clubs and live music venues in England would be given a 20% cut to business rates from April, calling it a “first step” to help the industry.

He told the BBC he accepted the national insurance hike had added pressure on businesses, and that the government would look at business rates “more broadly”.

Burnham said: “I would like to bring down the cost of doing businesses. I want to make high streets more vibrant across the country. I know that cannot be done by simply wishing it.”

But he said he did not want to “at this point, start making commitments”.

“Those are for the Budget.”

In the report some young people raised their concerns about education and said they were unhappy about a lack of teachers for specific subjects, a high turnover of teachers and the poor state of some of the school buildings.

Some of the students also said they did not feel that the government listened to their concerns and they felt they had a lack of influence over decision-making.

Brink said: “They have also told us that they do not always feel heard.

“Listening is important, but listening alone is not enough, we must also act on what they are telling us.”

She said they were the “next generation of our workforce and community leaders” and their voices should be central to decisions about the island’s future.

The Medical Officer Health Report said: “This sense of limited agency may contribute to disengagement and reduced well-being, while also shaping expectations about the future.”

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