Stocks under F&O ban on July 23, 2024

23 Jul 2024 , 09:33 AM

The National Stock Exchange (NSE) banned trading in seven stocks on Tuesday, July 23, 2024, in the futures and options (F&O) segment due to exceeding 95% of the market-wide position limit (MWPL).

These stocks will remain available for trading in the cash market despite the ban in the F&O segment. The NSE updates the list of securities in the F&O ban for trade daily to ensure market compliance.

The seven stocks on the NSE’s F&O ban list for July 23 include Bandhan Bank, Chambal Fertilisers and Chemicals, GNFC, Hindustan Aeronautics, India Cements, Piramal Enterprises, and SAIL.

According to the NSE, the derivative contracts in these securities crossed 95% of the market-wide position limit, leading to their placement in the stock exchange’s ban period.

During the ban period, all clients and members are allowed to trade in the derivative contracts of the said securities only to decrease their positions through offsetting positions.

Any increase in open positions during the ban period will attract appropriate penal and disciplinary action as per NSE regulations.

No new positions are permitted when stock exchanges place F&O contracts in a particular stock under the ban period. The ban ensures market stability and prevents excessive speculation in the derivative contracts of these securities.

Investors and traders are advised to monitor the NSE updates regularly to stay informed about the latest F&O ban list and adhere to trading regulations.