Mumbai, Oct. 9 -- Retail traders are opting for commodity options over equity index options, drawn by sharper swings in energy and bullion prices and lower tax incidence.

Average daily premium turnover (ADPT) of metals and energy options on the Multi Commodity Exchange of India (MCX) rose 15% in the September quarter from the June quarter. Over the same period, ADPT in index options on the NSE and BSE fell 27% , according to exchange data.

MCX's options ADPT climbed to Rs.10,450 crore, lifted by sharp moves in crude oil and natural gas prices. Tax is also tilting the field: the securities transaction tax (STT) on equity options was raised 50% to 0.15% this fiscal year, while commodity transactions are still taxed at 0.05%. Monthly optio...