There Aren't Enough Fingers to Stick in the Dam But the SEC Will Try Anyway
pic credit: mtts
Jumping on Germany's bandwagon and not wanting to get the crap scared out of them with a 1000 point plunge, the SEC is trying to install circuit breakers on the exchanges. Yes, auto off switches that will block trading a stock if it moves more than 10%. What do you think could possibly inspire them to make such a bold suggestion?
The Securities and Exchange Commission filed proposed rules under which exchanges would halt trading in individual stocks that swing more than 10 percent.
The circuit breakers, proposed jointly with the Financial Industry Regulatory Authority, would be triggered in all markets by gains or declines over 5 minutes in Standard & Poor’s 500 Index companies, according to an e-mailed statement yesterday. During the pilot program that lasts until Dec. 10, the agency will also examine risks to investors created by market orders, and consider steps to deter stub quotes.
When will the SEC and CFTC accept that the money just BAILED?