SC, Bursa to end temporary revision of market management, control mechanisms

SC, Bursa to end temporary revision of market management, control mechanisms
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KUALA LUMPUR (May 10): The Securities Commission Malaysia (SC) and Bursa Malaysia would reinstate market management and control mechanisms, namely the dynamic and static price limits for FBM KLCI component stocks and the Bursa Malaysia circuit breaker trigger levels to their original parameters on May 31, 2021.

In a joint statement, it said the decision to reinstate the original parameters takes into account the improving economic outlook with the roll-out of the Covid-19 vaccination programme and normalisation of global market conditions.

"The temporary revisions to the market management and control mechanisms which have been in place since July 20, 2020 are scheduled to expire on May 30, 2021.

"The SC and Bursa Malaysia will continue to closely monitor global developments and take a prudent approach in implementing necessary measures to support a fair and orderly market," it said. 

The temporary revision of the circuit breaker levels to two trigger levels (10% and 15% only) will revert to three trigger levels (10%, 15% and 20%).

For the static price limit, the lower limit price reverts back to -30% from -15%, and upper limit to +30% for securities prices equal or more than RM1, and the lower limit to -30 sen from -15 sen and upper limit to +30 sen for securities prices less than RM1.