The Securities and Exchange Board of India (Sebi) on Thursday said measures aimed at containing the wild swings in share prices, introduced in March, shall remain in force till November 26.
On March 20, Sebi had imposed temporary restrictions on short-selling, increased margin requirements, and hiked penalties on violators. Initially, these were to be in force for a month, but the regulator has been extending the same every month since.
Some market players have approached Sebi to do away with the curbs. However, Sebi feels that in view of big events like the US elections, curbs need to continue.
“The surveillance measures were announced in March. We are still cautious. The India VIX is currently above 20, compared to 14-15 in December-January,” Ajay Tyagi, chairman of Sebi, had said on Wednesday at a CII event.
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