The New York Stock Exchange will implement new circuit-breaker collar trigger levels for third quarter 2010 effective 1 July 2010.
Circuit-breaker points represent the thresholds at which trading is halted marketwide for single-day declines in the Dow Jones Industrial Average.
Circuit-breaker levels are set quarterly as ten, 20 and 30 per cent of the DJIA average closing values of the previous month, rounded to the nearest 50 points.
In third-quarter 2010, the ten, 20 and 30 per cent decline levels, respectively, in the DJIA will be as follows:
Level 1 Halt
A 1,000-point drop in the DJIA before 2 p.m. will halt trading for one hour; for 30 minutes if between 2 p.m. and 2:30 p.m.; and have no effect if at 2:30 p.m. or later unless there is a level 2 halt.
Level 2 Halt
A 2,050-point drop in the DJIA before 1:00 p.m. will halt trading for two hours; for one hour if between 1:00 p.m. and 2:00 p.m.; and for the remainder of the day if at 2:00 p.m. or later.
Level 3 Halt
A 3,050-point drop will halt trading for the remainder of the day regardless of when the decline occurs.
