Stocks under F&O ban on August 28, 2024

28 Aug 2024 , 10:43 AM

The National Stock Exchange (NSE) imposed a trading ban on four stocks in the futures and options (F&O) segment on Wednesday, August 28, after they surpassed 95% of the market-wide position limit (MWPL).

The affected stocks are Balrampur Chini, Birlasoft, Hindustan Copper, and India Cements.

Hindustan Copper is the most recent addition to the ban list, while stocks like Aarti Industries, Aditya Birla Fashion & Retail (ABFRL), Indian Energy Exchange (IEX), Chambal Fertilizers & Chemicals, India Cements, and RBL Bank have been removed from the ban.

Despite the F&O ban, these stocks can still be traded in the cash market. NSE regularly updates the list of stocks under the F&O ban based on their MWPL status.

The ban was triggered when derivative contracts for these stocks exceeded 95% of market-wide position limit (MWPL). During the ban period, traders are permitted to reduce their positions in the affected stocks but cannot open new positions.

NSE cautions that any attempt to increase open positions in these stocks during the ban period will result in penal and disciplinary action. The F&O ban remains in place until the open interest in these stocks falls below the required threshold.