S&P 500 Futures Were Again Halted This Morning. Here Are the Circuit-Breaker Levels for Thursday.

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Futures on the S&P 500 were halted for a second time this week after falling 5% in premarket trading Thursday. On Monday, steep selling triggered so-called circuit breakers during the regular trading session for the first time since 1997.

Circuit-breaker levels are the thresholds at which exchanges halt or close market-wide trading due to extreme declines. These levels are calculated daily, based on the previous day’s close in the S&P 500. As the volatility on Wall Street continues, here are the levels to watch for further trading curbs when U.S. markets open Thursday.

Level One Breach

A 7% decline in the S&P 500 from the prior day’s close would trigger a level one breach, where trading is halted for 15 minutes.

That level for regular trading on Thursday is 2549.48, a 192-point drop from Wednesday’s close of 2741.38.

If that level is reached at or after 3:25 p.m. ET, it would not halt market-wide trading.

Level Two

The next threshold is 13%. A decline in the S&P 500 by that much would similarly result in a 15-minute halt.

To trigger a level two circuit breaker Thursday, the index would have to drop 356 points to 2385.00. Trading wouldn’t be interrupted if the drop came at or after 3:25 p.m.

Level Three

It takes a 20% drop in the S&P 500 to trigger a level three circuit breaker. If this happens at any point in the trading day, marketwide trading is halted for the rest of the day.

To hit level three on Thursday, the S&P 500 would need to fall 548 points to 2193.10.

Single Stocks

A different rule covers single stocks, for which the Securities and Exchange Commission has price bands set by tier (Tier One covers members of the S&P 500, Russell 1000 and some exchange-traded products, while Tier Two covers other securities) and by price. Those levels can be found here.

Write to Lisa Beilfuss at lisa.beilfuss@barrons.com

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