The LULD mechanism is designed to mitigate extraordinary market volatility and extreme price movements in individual securities. It operates by preventing trading from occurring outside specific price bands, which are continuously updated throughout the trading day based on the average reference price of the security over the preceding five minutes.
The impacted stocks have since resumed trading, or are in the process of doing so.
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
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