August 05, 2024 at 01:26AM
A stock index circuit breaker is a mechanism used in stock markets to temporarily halt trading when an index experiences a significant drop in value. The purpose of this system is to prevent panic selling and allow time for investors to process information and make rational decisions.
circuit breaker triggered for Topix
also for government bond futures
ps. spot FX don’t have no stinkin’ circuit breakers 😉
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TOPIX is the Tokyo Price Index
covers all domestic companies listed in the First Section of the Tokyo Stock Exchange (TSE)
designed to track the overall trend of the Japanese stock market
includes over 2,000 companies
a free-float adjusted market capitalization-weighted index (only shares available for trading are considered in its calculations)
Nikkei 225
a price-weighted index of the top 225 blue-chip companies (TOPIX provides a broader and more comprehensive measure of the market)
This article was written by Eamonn Sheridan at www.forexlive.com.