NYSE Euronext has welcomed the Securities and Exchange Commission’s move to gain the agreement of exchanges and trading venues on the implementation of industry-wide single-stock circuit breakers.
The adoption of this market-wide mechanism will promote investor protection and is designed to help prevent the events of 6 May from taking place in the future.
“We remain committed to working collectively with regulators and all market participants to fully address the causes of the May 6 market plunge and strengthen the national market system going forward,” NYSE Euronext said in a statement.
In addition to adhering to the agreed-upon single-stock circuit breaker to create a consistent standard across the industry, the NYSE has independently elected to continue to operate liquidity replenishment points as a key component of its market structure and to continue to further minimise stock-by-stock volatility on the NYSE marketplace.
