Stocks under F&O Ban on October 9, 2024

9 Oct 2024 , 10:10 AM

On Wednesday, October 9, the National Stock Exchange (NSE) banned futures and options (F&O) trading in ten stocks after they exceeded 95% of their market-wide position limit (MWPL).

Despite the F&O ban, these stocks will still be tradable in the cash market. The NSE updates the F&O ban list daily, reflecting changes in stocks that exceed the MWPL threshold.

The ten stocks under the F&O ban on October 9 are Bandhan Bank, Birlasoft, GNFC, Granules India, Hindustan Copper, IDFC FIRST Bank, Manappuram Finance, PNB, RBL Bank, and SAIL.

The NSE clarified that derivative contracts for these securities crossed 95% of the MWPL, triggering the ban. During the ban, traders can only reduce their positions by offsetting existing contracts, and no new positions can be created.

The NSE also warned that any increase in open positions during the ban could lead to penal and disciplinary actions.

The F&O ban is a regulatory measure aimed at maintaining market stability and preventing excessive speculation in these stocks. The ban is lifted when the market-wide position limit in these stocks falls below the required threshold.