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Jane Street crackdown by SEBI impacts India's options market volumesMarket participants believe that the SEBI action against Jane Street has spooked large institutional players and high-frequency traders who are key contributors to weekly options liquidity.By Ruchit Purohit   July 11, 2025, 9:55:54 AM IST (Published)3 Min ReadTrading activity in India's options market has slowed down considerably, more so during the weekly options expiry sessions, after market regulator Securities and Exchange Board of India (SEBI) took action against US-based proprietary trading firm, Jane Street, last week.

The order, published on the SEBI website last week, has had an impact on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE), both of whom has seen a decline in the options premium turnover since then.

On the NSE, the index options premium turnover on the weekly expiry day of Thursday, has dropped sharply over the last three weeks. What stood at ₹80,731 crore on June 26, the options premium turnover on the NSE fell to ₹61,511 crore on July 3, which happens to be the same evening that SEBI issued the Jane Street order.

On the most recent expiry, which happened on July 10, the turnover fell further to ₹45,884 crore, which is a 25% drop from last week, according to NSE data.

Weekly ExpiryOptions Turnover (₹ Cr)June 2680,731July 0361,511July 1045,884

Not just options, the overall derivatives premium turnover on the NSE also declined from ₹4.13 lakh crore on June 26, to ₹1.61 lakh crore on July 3, and fell further to ₹1.38 lakh crore last quarter, NSE data showed.

Weekly ExpiryDerivatives Premium Turnover (₹ Lakh Crore)June 264.13July 031.61July 101.38

NSE data indicates that the total options turnover during the first eight trading sessions of July, has stood at ₹10.4 lakh crore.

That is continued drop for at least four straight months, and a drop of over 30% from the ₹15.22 lakh crore turnover that was seen in the first eight days of April this year.

MonthFirst Eight Days Options Turnover (₹ Lakh Crore)April15.22May15.14June12.38July10.4

Things are no different at NSE's peer, the Bombay Stock Exchange as well. Index options premium turnover on the exchange fell from ₹44,010 crore on June 24, which happens to be a Tuesday weekly expiry, to well below ₹20,000 crore on July 8, the immediate expiry after the Jane Street action.

BSE Expiry DateOptions Premium Turnover (₹ Crore)June 2444,010July 0819,683

Market participants believe that the SEBI action against Jane Street has spooked large institutional players and high-frequency traders who are key contributors to weekly options liquidity.

The order, which involved allegations of unfair trade practices, appears to have triggered a broad pullback in risk-taking and liquidity provisioning over the past 4 to 5 trading sessions, the participants added further.

This decline in options turnover and volumes comes on the heels of the previously announced expiry day switch between NSE and BSE from September.

Shares of the Bombay Stock Exchange have declined 15% in the last one month.Continue ReadingCheck out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!TagsFutures and OptionsNSESEBI