Punjab National Bank (PNB) is the only Stock/Securities restricted for trading under the Futures and Options (F&O) segment as on Monday, November 1, 2021. National Stock Exchange (NSE). According to NSE, these securities have been banned under the F&O segment as they have crossed 95% of the market-wide position limit (MWPL).
NSE said the derivative contracts in the mentioned securities have crossed 95% of the market-wide position limits and are therefore currently placed in the ban period by the stock exchange.
“It is hereby informed that all the clients/members shall trade in the derivative contracts of the said securities by way of offsetting positions only to reduce their position,” the stock exchange said. “Any increase in open positions will attract appropriate penalty and disciplinary action,” the NSE added.
No fresh positions are allowed for any F&O contract in that particular stock under the F&O restriction period. The MWPL (market-wide position limit) is set by the stock exchanges, which is the maximum number of contracts that can open at any given time (open interest), therefore, F&O contracts for that stock enter a restriction period if the open interest MWPL exceeded 95%.
There was no stock under F&O restriction by the stock exchange in the previous session i.e. Friday, October 29, 2021. Meanwhile, with effect from October 29, eight new stocks including Atul Ltd., Birlasoft Ltd. were made available for trading in the F&O segment. , Chambal Fertilizers & Chemicals Limited, Firstsource Solutions Limited, Gujarat State Petronet Limited (GSPL), Laurus Labs Limited, SBI Cards & Payment Services Limited, Whirlpool of India Limited.
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