The Bangladesh Securities and Exchange Commission (BSEC) has increased the circuit breaker limit to 5 per cent from the existing 2 per cent with effect from tomorrow.
Earlier, last month the regulator lowered circuit breaker limit to 2 per cent from the 10 per cent. In order to stop the free fall of the stock market index amid the global chaos after the beginning of Ukraine-Russia war.
The BSEC issued an order today in this regard saying it is important to regulate the share price movement in trading of the stock exchanges for the sake of the investors and the development of the securities market.
The BSEC hereby directs on temporary basis the DSE and the CSE to impose standard downward price change limit (circuit breaker) of 5 per cent instead of 2 per cent based on the previous trading day’s closing price, it said.
Upper limit of the circuit breaker shall remain unchanged, it added.
