The primary purpose of the NYSE circuit breakers is to:
A)halt short selling.
B)encourage program trading.
C)limit trading by specialists.
D)minimize institutional trading.
E)slow a market decline.

Question

Quizplus · Accepted Answer

The primary purpose of NYSE circuit breakers is to slow a market decline. Circuit breakers are triggered by significant declines in the market to allow traders and investors to take a pause and assess the situation before continuing to trade. The purpose is to reduce panic selling and wild price swings that could destabilize the market.

The Primary Purpose of the NYSE Circuit Breakers Is To