elinaalonso4806 elinaalonso4806
  • 24-08-2020
  • Business
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A non-regulatory trading halt has been initiated on the NYSE due to an order imbalance. Which statement is TRUE

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Parrain
Parrain Parrain
  • 25-08-2020

Answer: B. Other markets in the U.S. may still trade XYZ stock

Explanation:

A Non-regulatory trading halt is one that occurs due to a 7% drop in the S&P 500 Index. When this happens, all stock markets in the US are to halt trade.

This is very theoretical however because in reality, when this happens, traders can simply trade on other markets in the US including regional exchanges, Third Market Makers and Electronic Communication Networks.

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