Tuesday Market Mayhem: 7 Stocks Slapped with F&O Ban - Is Your Portfolio at Risk?

September 10, 2024

Stock market today: Hindustan Copper, Bandhan Bank among seven stocks in F&O ban list on Tuesday — Sept 10 | Stock Market News - In a major development that is set to shake up the market on Tuesday, the National Stock Exchange (NSE) has announced the futures and options (F&O) ban list for September 10. The list, which includes seven high-profile stocks, has left investors on edge as they scramble to adjust their portfolios and mitigate potential losses. The stocks in question - Biocon, Chambal Fertilizers, Aditya Birla Fashion, Balrampur Chini Mills, Bandhan Bank, Hindustan Copper, and RBL Bank - have been slapped with an F&O ban due to excessive speculative trading, which has caused a significant surge in their stock prices.

According to the F&O ban list, these seven stocks have exceeded the 95% mark of the Market-Wide Position Limit (MWPL), which triggers the ban. The MWPL is a regulatory mechanism that aims to curb excessive speculative trading in the market. When a stock exceeds the 95% mark, it is subject to an F&O ban until the positions are reduced to a level that is below the 80% mark.

The F&O ban is a move by the regulators to prevent a speculative bubble from forming in the market and to maintain market stability. While the ban is intended to curb excessive speculation, it also has the potential to have a ripple effect on the market.

Market analysts and experts have advocated caution in the wake of the F&O ban, warning investors to be vigilant and adjust their portfolios accordingly. The F&O ban is seen as a warning signal, indicating that the market is becoming increasingly volatile.

Investors who have exposure to these stocks are advised to exercise caution and closely monitor the market. While the F&O ban is in place, it may not be possible to take new positions in these stocks. The ban is expected to be lifted once the positions are reduced to the 80% mark.

As the market continues to grapple with the F&O ban, investors are advised to keep a close eye on the developments and adjust their strategies accordingly. The F&O ban is a timely reminder of the importance of risk management and the need to be vigilant in these uncertain times.

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