Stocks under F&O ban on July 9, 2024

9 Jul 2024 , 09:44 AM

On Tuesday, July 9, 2024, the National Stock Exchange (NSE) imposed a trading ban on six stocks in the futures and options (F&O) segment for exceeding 95% of the market-wide position limit (MWPL). Despite this ban, these stocks will still be available for trading in the cash market. The NSE regularly updates the list of securities under the F&O ban.

Currently, eight stocks are under the F&O trade ban: Aditya Birla Fashion & Retail (ABFRL), Bandhan Bank, Chambal Fertilizers & Chemicals, Gujarat Narmada Valley Fertilizers and Chemicals (GNFC), Hindustan Copper, India Cements, Indus Towers, and Piramal Enterprises (PEL).

Potential entrants for the NSE F&O ban, based on their market-wide position limits, include IEX, Balramchin, GMRInfra, TataChem, SAIL, IDFCFirst Bank, Idea, NMDC, and RBLBank.

The NSE stated that the derivative contracts in these securities surpassed 95% of the MWPL, placing them in the ban period. During the F&O ban period, clients/members can only trade in the derivative contracts of these securities to reduce their positions through offsetting.

Any increase in open positions will result in appropriate penal and disciplinary action. No new positions are allowed in the F&O contracts of stocks under the ban.