HKEx chief floats anew need for circuit breakers
Charles Li points to evolving market conditions for relook
CAN Hong Kong continue to do without circuit breakers for stock trading just because the city's investors don't want it? Maybe not for long.
By devoting his latest blog specifically on the subject, Charles Li, chief executive of Hong Kong Clearings and Exchange, has put a spotlight on a controversial subject by revealing that "I think it is timely for a renewed debate on circuit breakers to determine if they are now needed in the Hong Kong market".
At least twice before, in early 1997 and 2004, HKEx dropped the idea after being met with lukewarm response from market participants. In his blog published on Thursday evening, Mr Li said this time, it's different. "Our market has discussed circuit breakers from time to time before, with the conclusion being that they weren't necessary. Some people say that circuit breakers are not suitable for our market and amount to market intervention, therefore, are a waste of time to consider. But I don't think that previous decisions necessarily apply to evolving market conditions today."
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
TikTok tells advertisers: ‘We are not backing down’
EV automakers get reprieve in US tax credit rules
Nomura, Mizuho face losses on All Blue fund’s failed trades
Stablecoin Tether steps up monitoring in bid to combat illicit finance
HSBC asked by US$890 billion investor group to set energy goal
BHP’s biggest rivals sit on the sidelines of Anglo M&A drama