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2.7%  Q1 GDP    4.57%  avg. 30-year mortgage     9.5%  Unemployment

How Far Down Until Trading Halts?

We're not there yet, but today's precipitous drop on the Dow Jones industrial average -- more than 700 points or 7 percent -- prompts an interesting question. Just how bad would it have to get for the New York Stock Exchange to halt trading?

Well, it depends. According to the New York Stock Exchange Web site, 10 percent decline in the Dow would prompt an hour-long halt in trading if it happened before 2 p.m. and a 30-minute stop if it happened between 2 p.m. and 2:30. Trading would not halt the 10 percent drop happened after 2:30 p.m.

A 20 percent decline-- or 2,200 point drop-- on the Dow would prompt a two-hour halt if it happened before 1 p.m. and an hour-long breather if it happened between 1 p.m. and 2 p.m. Such a drop after 2 p.m. would lead to the market closing for the day.

--Renae Merle

By Sara Goo  |  October 6, 2008; 3:16 PM ET
Categories:  The Ticker  
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Next: Records Drops Around the World

Comments

You might as well take the Post private as soon as possible, reorganize and forget about the market. The good things continue and it's looking like the old days again, the all or nothing day and all is better than riding the market down to the bottom. You do what you want to do though. They took everybody public and I guess that didn't work out. Something will work out. It always does because if it will it will and if it won't it won't. There's always a better way. Good luck Post!

Posted by: JD in PA | October 6, 1908 3:34 PM | Report abuse

One more note. I'd fire the editors first. Keep the writers, since they will be needed.

Posted by: JD in PA | October 6, 1908 3:37 PM | Report abuse

You climbed back up in the end, so all's well that ended the day well. It got tricky there for some of the day. You were down and came back fighting.

Posted by: JD in PA | October 6, 1908 4:31 PM | Report abuse

Over the next ten to fifteen tears, as the Post War Population Bulge passes through its end years, there will always be at least a bit more volume of sellers than buyers. Depending on how much of the defecit between money coming in and money going out foreign buyers make up, we are in for a long, strong, painful bear market. There are just too many of us Baby Boomers who will need the proceeds of their investments, cashing out in the grand scheme of things, for it to be any other way. There are only two basic unknowns in this equation; How deep will it go and how fast will it get there?

Those who realize this the fastest, and bail first, will drive the rest of the process.

Even with the current DOW "divisor", which, being less than 1, is really a multiplier, the DOW could hit just three digits before it is all over.

Social Security will look like deposits at Fort Knox in the near future for those of us who have it. Five years into this mess very few IRA's will look as good.

Posted by: ceflynline@msn.com | October 6, 1908 5:16 PM | Report abuse

JD in PA: Actually, I have a really neat business model for Newspapers that should bring a great revival of the form. I just can't find a Newspaper that is interested enough in staying in business to ask about it.

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Posted by: ceflynline@msn.com | October 6, 1908 5:20 PM | Report abuse

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