Listen to a Business English Dialogue About Trading halt
Sophia: Hi Jacob, do you know what a “trading halt” means in the stock market?
Jacob: Hi Sophia, yes, a trading halt occurs when trading on a particular stock or the entire market is temporarily stopped by the exchange, usually due to significant news pending release or unusual market activity.
Sophia: Ah, I see. So, it’s like a pause button for trading to allow investors to digest important information or prevent excessive volatility?
Jacob: Exactly, Sophia. It’s a precautionary measure taken by the exchange to maintain fair and orderly markets during times of uncertainty or when there’s a need for important information to be disseminated.