March 22: Seven Stocks Banned in F&O Trading as NSE Imposes Restrictions

22 Mar 2024 , 10:06 AM

Seven stocks have been banned for trade on March 22, 2024, under the futures and options (F&O) segment by the National Stock Exchange (NSE) due to crossing 95% of the market-wide position limit (MWPL).

These securities include Balrampur Chini Mills, Biocon, Indus Towers, Piramal Enterprises, SAIL, Tata Chemicals, and ZEEL.

While these stocks are banned in the F&O segment, they remain available for trading in the cash market. The NSE updates the list of banned securities in the F&O segment daily. Derivative contracts in these securities have surpassed 95% of the MWPL, leading to the ban by the stock exchange.

The NSE has issued guidelines stating that clients/members can only trade in derivative contracts of these securities to reduce their positions. Any increase in open positions will face penal and disciplinary action.

During the same period, the Indian stock market witnessed a significant increase, driven by buying in metal, power, and energy shares, following a global market rally post the US Federal Reserve’s projection of three rate cuts in the year.

The BSE Sensex rose by 539.50 points or 0.75%, closing at 72,641.19, with an intraday high of 72,882.46. The NSE Nifty surged by 172.85 points or 0.79%, settling at 22,011.95. In the broader market, the BSE midcap index surged by 2.36%, and the smallcap index rose by 2.01%.

All major indices recorded gains, with notable increases in power (3.06%), realty (2.96%), industrials (2.81%), capital goods (2.77%), metal (2.73%), services (1.99%), commodities (1.98%), and consumer discretionary (1.67%).

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