City Index Places Trades in CFDs on Stocks targeted by US Restrictions on "Close Only"

City Index, a UK provider of financial Spread Betting, CFD and Forex Trading and the subsidiary of StoneX Group Inc, announced that it is placing a number of stocks on "close only" trading for clients because of the impact of the United States Executive Order 13959 trading restrictions.

The current list of restricted markets includes:

· China Telecom Corp (HKD) CFD

· China Communications Construct CFD

· China Railway Construction CFD

· China Mobile (HKD) CFD

· CRRC Corp Ltd CFD

· SMIC (Semiconductor Mfg Intl) CFD

· China Unicom (HKD) CFD

· China Mobile (USD) CFD

The Executive Order 13959 effective 9:30 a.m. eastern standard time on 11 January 2021 prohibits any transaction in publicly traded securities, or any securities that are derivative of, or are designated to provide investment exposure to, companies identified as a Communist Chinese Military Company (CCMC).

The UK broker said that the recent market volatility has caused a risk of gapping at market open and reminded its clients to ensure their account is adequately funded to maintain open positions. Additionally, the brokerage firm stated that some markets may become either 'limit down' or 'limit up', restricting clients' ability to trade them. 

City Index also declared that spreads and margin levels may be reviewed and adjusted in response to the high volatility.