BHEL, India Cements, 2 others placed under F&O ban on NSE for July 10
A total of four stocks have been put under the ban for trade on Monday, July 10, 2023 under the futures and options (F&O) segment by the National Stock Exchange (NSE). The securities have been put on ban under the F&O segment as it crossed 95 per cent of the market-wide position limit (MWPL), according to the NSE. However, the stock will be available for trading in the cash market.
Bharat Heavy Electricals Ltd (BHEL), Delta Corp, Granuls India, and India Cements are the four stocks that are a part of the F&O ban list by the stock exchange for Monday. The NSE updates the list of securities in F&O ban for trade everyday. The derivative contracts in the mentioned securities have crossed 95 per cent of the market-wide position limit and have been currently put in the ban period by the stock exchange, said NSE.
‘’It is hereby informed that all clients/members shall trade in the derivative contracts of said security only to decrease their positions through offsetting positions. Any increase in open positions shall attract appropriate penal and disciplinary action,” said NSE.
No fresh positions are allowed for any of the F&O contracts in the particular stock when placed under the F&O ban period by the stock exchanges.
The domestic equity market snapped its winning streak and suffered strong losses on Friday, July 7, as investors jumped to take some money off the table amid weak global cues. Concerns over rate hikes grew stronger amid strong US macro data.
US economic data showed that the world’s largest economy remains strong despite a series of rate hikes by the US Fed. Investors now fear that the Fed will raise rates later this month and keep them at elevated levels for a longer-than-expected period to bring inflation sustainably down.
Sensex opened at 65,559.41 against the previous close of 65,785.64 and hit its fresh record high of 65,898.98 but it slipped into the red soon, plunging 610 points to hit the intraday low of 65,175.74.
The 30-share index closed with a loss of 505 points, or 0.77 per cent, at 65,280.45 while the Nifty fell 166 points, or 0.85 per cent, to close at 19,331.80. Nifty also hit its fresh all-time high of 19,523.60 in intraday trade today.
The domestic market started off the week on a positive note, while negative global cues disturb the mood by the end of this week, according to analysts.
‘’Provisional business numbers from banks, automakers, and real estate companies bolstered investor confidence, while FIIs provided additional support to the domestic market. Heightened trade tensions between the US and China, along with uncertainties stemming from the hawkish FOMC minutes, tested the risk appetite of global investors,” said Vinod Nair, Head of Research at Geojit Financial Services.
‘’Market participants are eagerly awaiting key data points such as domestic and US inflation numbers for further insights into the sustainability of the market trend. Given the elevated market valuation, the profit booking is visible at the upper band of the rally,” added Nair.
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Updated: 09 Jul 2023, 09:38 AM IST
