India’s stock market has become one of the calmest in the world — so calm that it’s prompting a rethink of strategies among players in the country’s vast derivatives space.
Despite geopolitical flare ups and a recent global selloff in risk assets, the NSE Nifty 50 Index has barely budged for months as domestic money overwhelms foreign flows and derivatives trading curbs choke off volatility. The India NSE Volatility Index, a gauge tracking expectations for future swings, ended Friday at an all-time low.