Shares of companies which are excluded from futures & options (F&O) segment are under pressure on the bourses with most of them trading lower by up to 5% on the National Stock Exchange (NSE).
The NSE has decided to remove 51 securities from F&O segment as the exchange revised eligibility criteria for stocks, after Securities and Exchange Board of India (Sebi) tightened the criteria for retaining and including stocks in the derivatives segment to ‘improve market integrity’.
Sterlite Technologies, Development Credit Bank, Lanco Infratech, Educomp Solutions, JSW Ispat Steel, Jet Airways (India), Balrampur Chini Mills, MTNL, TVS Motor Company and India Infoline are down 3-5% on the NSE.
BEML, Orchid Chemicals & Pharmaceuticals, Delta Corp, Aban Offshore, Escorts, Ruchi Soya Industries, Bajaj Hindusthan and Hindustan Oil Exploration Company are down more than 2% each.
Derivatives experts said the open interest and activity will come down substantially in the next series in these counters.
"The existing unexpired contracts in these securities for the month of July, August and September 2012 would continue to be available for trading till their respective expiry and new strikes would also be introduced in these existing contract months,” NSE said in a press release.
