US exchanges' circuit-breaker pilot made permanent by SEC

18 April 2019 6:49pm
The US Securities and Exchange Commission made permanent a five-year pilot program of circuit-breakers with tighter bands to pause trading on securities exchanges during unusual stock market swings.

The “limit-up limit-down” program, or LULD, is to be reviewed in quarterly and annual reports by the New York Stock Exchange, Nasdaq and other national securities exchanges that proposed the permanent plan, the SEC said.

“The Commission believes that the LULD mechanism effectively addresses extraordinary market volatility, and therefore is approving the plan on a permanent basis,” the order last week said.