Notice on U.S. Election Market Impact and Circuit Breaker Mechanism

   

The ongoing U.S. election continues to impact global markets, and some may experience “limit-down” scenarios, resulting in temporary trading suspensions at specific times.

To help maintain market stability, exchanges may pause trading temporarily if prices decline significantly, aiming to prevent panic-driven sell-offs. Today, major U.S. indices (SP500, NAS100, DJ30) have reached limit-down levels, and as a result, Moneta Markets will intermittently pause and resume trading for these products throughout the session, based on market conditions. If you hold positions in these products, please review your holdings and exercise caution to mitigate potential trading risks.

Understanding the Circuit Breaker Mechanism

Originating in the United States, the Circuit Breaker is an automatic trading halt mechanism that aims to curb widespread sell-offs during sharp market declines. This mechanism temporarily pauses trading when prices reach certain thresholds, helping to reduce market risk and mitigate panic-driven volatility.

If you have any queries about how these changes might affect your account, please contact your Account Manager or our support team at [email protected].