China suspends circuit-breaker amid market madness

China suspends its newly minted circuit-breaker mechanism designed to help stabilise the equity market after it instead sparked stock sell-offs.

China suspends circuit-breaker amid market madness

China’s securities regulator has suspended its newly implemented circuit-breaker mechanism designed to tame market volatility after it exacerbated stock sell-offs and shut down equity trading early twice in one week.

The China Securities Regulatory Commission announced late on Thursday night that the circuit-breaker system would be halted from Friday, only four days after introduction, without saying how long the suspension will last.

“It didn’t work out as expected Currently the negative effect...

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