ndian Stock Market’s New Closing Rule – Protection or More Confusion?
Earlier, the market traded normally till 3:30 PM.
Now, under the new closing system, normal trading effectively stops at 3:15 PM, and a separate auction process decides the final closing price.
SEBI says this system is meant to bring better price discovery and reduce closing-price manipulation.
But look at today’s chart 👆
Market was around 24,570, while the final displayed closing price jumped near 24,774 — almost 200 points higher!
So the simple question from retail investors is:
If the new rule is supposed to make closing prices fairer, why did we see such a massive difference on Day 1?
New rules should reduce confusion, not create more confusion.
SEBI must explain this clearly to retail investors.