Bourses to impose new circuit-breaker

Under the new emergency circuit breaker system, price of no securities will be allowed to hit below its last 5 days’ average

Regulatory instructions on determining a new circuit-breaker was given that will cause session delay until 1:00pm today but would allow stocks to maintain a safe trading ground.

Circuit-breaker points represent the thresholds at which trading is halted market-wide. These allowable regulatory measures help to ensure investors’ safety.

“To implement the technical change in both the exchanges are taking two-and-half hours off to begin trading today,” multiple sources of Dhaka Stock Exchange (DSE) confirmed the matter to The Business Standard.

They, however, hoped that the new circuit breaker system should work in the case of extreme fall.

Under the new emergency circuit breaker system, price of no securities will be allowed to hit below its last 5 days’ average.