India's leading exchange BSE (Bombay Stock Exchange) has hereby informed its members that the price band has been changed from their existing levels in the eight scrips to curb excessive volatility in their prices, reported PTI.
the name of the firms are Orient Paper & Industries, Shah Foods, Aishwarya Telecom, Amba Enterprises, Lancer Container Lines, Meera Industries, Master Trust and Uniroyal Marine Exports.
The limit will be effective from today and will ensure that the stock prices do not fluctuate beyond a prescribed level during a session.
A circuit limit of 20% for Orient Paper & Industries and 10% for Shah Foods has been set. The limit is set at 5% for Aishwarya Telecom, Amba Enterprises, Lancer Container Lines and Meera Industries and 2% for Master Trust and Uniroyal Marine Exports.
Circuit filter mechanism is used by BSE to keep in check excessive volatility in a scrip. It is the maximum fluctuation that is allowed in a stock in a day.