Circuit Breaker Used On Wall Street
On this day in 1997 the New York Stock Exchange put into effect for the first time the "circuit breaker" rule. This rule was used to halt trading when the market was loosing large percentages of its holdings. The market plunged 554.26 points before the circuit breaker was put into effect. The halt on trading received many grumbles from the traders and soon the rule was revamped to shut off trading when the market lost at least 10 to 20 percent of its value.