Under the futures and options (F&O) segment, one stock was banned from trade on Friday, December 29, by the National Stock Exchange (NSE). The securities banned for the F&O trade are Hindustan Copper. 

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. 

Hindustan Copper was added to the list on December 29 as the open interest as a percentage of the MWPL of their F&O contracts stood at 82.1%. 

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 the F&O contracts of RBL Bank and National Aluminium declined below the 80% limit to 77.3% and 77.2%, respectively. Hence, they were exited from the list on Friday. 

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.