Stocks Under F&O Ban on September 10, 2024

10 Sep 2024 , 09:59 AM

The National Stock Exchange (NSE) placed a trading ban on seven stocks in the futures and options (F&O) segment on Tuesday, September 10, as these stocks exceeded 95% of the market-wide position limit (MWPL). Despite this, the stocks will still be available for trading in the cash market. The NSE updates its list of securities under the F&O ban daily.

The seven stocks affected by the ban include Aditya Birla Fashion & Retail, Balrampur Chini Mills, Bandhan Bank, Biocon, Chambal Fertilisers and Chemicals, Hindustan Copper, and RBL Bank. According to the NSE, derivative contracts for these stocks have crossed the 95% MWPL threshold, leading to their placement in the exchange’s ban period.

The NSE has instructed that clients and members must reduce their positions in the derivative contracts of these securities by taking offsetting trades. Any attempts to increase open positions will trigger penalties and disciplinary action from the stock exchange.

It’s important to note that during the ban period, no new positions in F&O contracts are permitted for the affected stocks. This measure is intended to maintain market stability and ensure adherence to position limits set by the exchange.