• Milk_Sheikh@lemm.ee
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    11 hours ago

    Wut?

    U.S. regulations have three levels of a circuit breaker, which are set to halt trading when the S&P 500 Index drops 7%, 13%, and 20%.

    Granted that’s the main market index not an individual security, but a 5-11% drop is significant. Iirc the last time it ended the day’s trading for the S&P was the start of COVID, when investors ran a fire sale liquidation because nobody knew if the whole world was going to die.

    A downswing is a hurdle to recover from in raw math terms, and represents a bigger blow to vibes based trading, especially given the legislative (virtue signaling so far) action on anti-trust, or the current popular sentiment against insurers.