After the domestic equity markets opened in circuit limits, markets have been halted for trade till 11:55 am, following the rule of circuit breakers of different variations as under:
The index-based market-wide circuit breaker system applies at three stages of the index movement, either way viz. at 10%, 15% and 20%. These circuit breakers when triggered bring about a coordinated trading halt in all equity and equity derivative markets nationwide. The market-wide circuit breakers are triggered by movement of either the BSE Sensex or the NSE S&P CNX Nifty, whichever is breached earlier.
In case of a 10% movement of either of these indices, there would be a one-hour market halt if the movement takes place before 1:00 p.m.
In case of a 15% movement of either index, there shall be a two-hour halt if the movement takes place before 1 p.m. If the 15% trigger is reached on or after 1:00 p.m., but before 2:00 p.m., there shall be a one-hour halt.
In case of a 20% movement of the index, trading shall be halted for the remainder of the day.
In the current case, the NSE Nifty surged 14.48%, which has led to a halt in trading for two hours.