Three Stocks Put on F&O Ban by NSE on March 07

7 Mar 2024 , 09:41 AM

On Thursday, March 7, 2024, three stocks have been restricted from trading in the futures and options (F&O) segment by the National Stock Exchange (NSE) due to exceeding 95% of the market-wide position limit (MWPL). These securities, namely Manappuram Finance, Mahanagar Gas, and ZEEL have been placed on the ban list under the F&O segment, as confirmed by the NSE. However, they remain available for trading in the cash market.

The NSE regularly updates the list of securities subject to the F&O trading ban. According to the exchange, the derivative contracts of the mentioned stocks have surpassed 95% of the MWPL, leading to their inclusion in the ban period.

“All clients/members are advised to trade in the derivative contracts of these securities solely to reduce their positions through offsetting positions,” stated the NSE. It further warned that any increase in open positions during this period would result in appropriate penal and disciplinary actions.

During this ban period, no new positions are permitted for any F&O contracts related to the affected stocks, as mandated by the stock exchanges.

Meanwhile, despite an initial decline, the benchmark Sensex and Nifty experienced a rebound in a volatile trading session on Wednesday. Both indices settled at fresh record high levels, driven by buying interest in private banks and select IT shares.