![]() |
![]() |
|
![]() |
||
Channels: Astrology | Broadband | Contests | E-cards | Money | Movies | Romance | Search | Wedding | Women Partner Channels: Bill Pay | Health | IT Education | Jobs | Technology | Travel |
||
![]() |
||
Home >
Money > Business Headlines > Report July 6, 2001 |
Feedback
|
|
BSE imposes dummy circuit filters on 53 stocksBS Markets Bureau The Bombay Stock Exchange has imposed a dummy circuit filter of 25 per cent on 53 stocks to prevent entry of erroneous deals in the system. These stocks are constituents of the Sensex, the National Stock Exchange S&P CNX Nifty, or shares in which options trading has been permitted. According to the BSE, as and when the stock reaches either side of the circuit filter limit, the surveillance department will immediately relax the aforesaid dummy circuit filter limit, irrespective of whether a scrip has hit such dummy circuit filter limit or not. The dummy circuit filter is only to guard against errors/mischief by unscrupulous traders. The best 5 rates window of these 53 scrips may indicate upper and lower circuit filter limits, which the brokers can ignore, the BSE said in its circular to members. NSE has not yet announced any such measure, but issued stern warning to its members to refrain from making deals in these stocks, which would be not be realistic in nature. The BSE and the NSE measures are the direct fallout of the preposterous deals punched on Monday, Tuesday and Wednesday which culminated in the halt of trading on the NSE on Wednesday. On Monday and Tuesday, the deals of ACC at Re 1 against the market price of Rs 144 and of Zee Telefilms at 50 paise had created havoc in the market. The exchanges were instructed by the Securities and Exchange Board of India on Wednesday afternoon to take immediate steps to prevent recurrence of such incidents, and tighten surveillance and inspection. Sebi had advised the exchanges to implement a system of order validation by value, quantity and price to check such mischievous /erroneous orders. Pending the development of such a system, BSE decided to place dummy circuit filter limit of 25 per cent on all the 53 scrips which would only prevent orders being entered at faraway prices from the touch-line. This would also protect the members and their clients from incurring heavy losses if genuine errors are committed. YOU MAY ALSO WANT TO READ:
|