The National Stock Exchange (NSE) has taken significant action by placing five stocks on its F&O ban list as of April 22. These stocks have surpassed the critical 95% market-wide position limit (MWPL) in the futures and options segment. While trading in these securities is restricted in the F&O segment, investors can still engage with them in the cash market. The NSE refreshes its ban list daily, ensuring traders are updated on the latest restrictions.
Stocks Affected by the F&O Ban
On April 22, the following five stocks were prohibited from trading in the F&O segment:
- Angel One Ltd
- Hindustan Copper Ltd
- IREDA
- Manappuram Finance Ltd
- Tata Elxsi Ltd
This decision was made after the derivative contracts for these securities exceeded the 95% MWPL threshold, prompting the NSE to enforce a ban. According to an official statement from the exchange, clients are permitted to reduce their positions in these stocks solely through offsetting transactions. Any attempt to increase open positions during this period may result in penalties.
Market Performance Overview
In a contrasting turn of events, the stock market saw substantial gains the previous day. On April 21, the BSE Sensex surged by 855 points, climbing above the 79,000 mark thanks to robust buying activity in the banking and IT sectors, spurred by promising quarterly results and an influx of foreign investment. The 30-share Sensex closed at 79,408.50, reflecting a 1.09% increase, with 23 of its components finishing in the green. At its peak during the day, the index rose by 1,081.85 points.
Similarly, the NSE Nifty index experienced a rise of 273.90 points, or 1.15%, closing at 24,125.55. This rally marks a significant recovery from losses incurred after the imposition of tariffs by former President Donald Trump on April 2. Over a five-day span, the Sensex has gained an impressive 5,561.35 points, reflecting a growth of over 7%.
Notable Gainers in the Market
Among the top performers in the Sensex during this rally were:
- Tech Mahindra
- IndusInd Bank
- Power Grid
- Bajaj Finserv
- Mahindra & Mahindra
- HCL Tech
- State Bank of India
- Kotak Mahindra Bank
- Infosys
- HDFC Bank
- Reliance Industries
This remarkable performance illustrates the resilience of the Indian stock market amid regulatory changes. Traders and investors alike should stay informed about the evolving landscape to seize opportunities while navigating the restrictions imposed on specific stocks.
