Under the futures and options (F&O) segment, eleven stocks were banned from trade on Thursday, August 24, by the National Stock Exchange (NSE). 

The securities banned for the F&O trade are BHEL, Delta Corp, Escorts Kubota, Gujarat Narmada Valley Fertilizers & Chemicals (GNFC), Hindustan Copper, India Cements, Indiabulls Housing Finance, Manappuram Finance, Metropolis Healthcare, Punjab National Bank (PNB), and Sun TV Network. 

Derivative contracts of these stocks were banned as the open market interest for these securities has crossed 95% of the market-wide position limit (MWPL) set by the exchanges. The MWPL is the maximum number of contracts that can be opened at any particular time. 

The open interest for the derivative contracts of BHEL stood at 103.7% at the closing time on Wednesday, while that of Delta Corp was 81.5%. PNB and Escorts saw the open interest for their F&O contracts touch 83.7% and 81.5%, respectively, on August 23. 

On Wednesday, GNFC and Metropolis F&O contracts saw their open interest reach 85.5% and 89.1%, respectively. Indiabulls and India Cements were retained on the list as the open interest of their F&O contracts stood at 81.1% and 94.5%, respectively, on August 23. The combined open interest for the derivatives contracts of Hindustan Copper and Manappuram stood at 94.2% and 98.7%, respectively, on Wednesday. 

All the above securities were retained on the list from Tuesday, August 22. Sun TV was added to the list on Thursday as the open interest of its F&O contracts touched 100.2%.

The ban will be lifted once the position falls below 80%. Traders will get penalised for buying or selling these securities. They will be available for trading in the cash market.

The open interest for Steel Authority of India (SAIL) and Zee Entertainment contracts declined below the 80% limit to 80% and 78.8%, respectively. They, hence, were exited from the list on Thursday. 

The National Stock Exchange updates the list of securities on the F&O ban list daily. This list serves as a guide for traders and investors in the market. Traders who trade in indices do not encounter a situation of security ban.