Bandhan Bank shares surged over 2% on Wednesday after the stock was removed from the futures and options (F&O) ban list, providing a positive boost to investor sentiment. The derivative contracts for Bandhan Bank were previously banned as the open market interest for the stock had exceeded 95% of the market-wide position limit (MWPL), which is the maximum number of contracts that can be opened for a particular stock at any given time.
The ban is lifted when the open interest falls below 80%. For Bandhan Bank, the open interest dropped to 78.9%, prompting its removal from the ban list. As a result, traders can now freely trade the stock in the cash market without facing penalties for buying or selling its F&O contracts.
Chambal Fertilizers Ltd was also removed from the F&O ban list after its open interest dropped to 78.6%. The National Stock Exchange updates the F&O ban list daily to guide traders and investors, ensuring they comply with the position limits set by the exchanges.
Bandhan Bank Share Price
As of 11:50 am, Bandhan Bank shares were trading 2.32% higher at ₹212.50 on the NSE, reflecting a positive reaction from the market following the lifting of the ban.
