September 2 (SeeNews) - The Bucharest Stock Exchange, BVB, on Wednesday named 16 stocks, for which a wider variation band of up to 40% on both sides of a reference price will apply in daily trading as of September 7, in an attempt to make trading more flexible.
The wider price variation band will apply for the 10 companies in the blue-chip BET index, the five regional investment funds in the BET-FI index, the SIFs, and for Erste Bank, the first foreign issuer listed on the BVB, the bourse said in a statement. The stocks were selected based on their liquidity.
If the prices of these shares rise or fall by more than 40% diring a trading session, they will be suspended from trading for a certain period of time.
BVB said in June it would expand the permissible daily price variation band for some stocks trading on its floor from the current 15% on both sides of a reference price, starting with the blue chips. BVB also said that the price variation band would be first expanded to plus/minus 25% of the reference price after monitoring the stock for 15 minutes, then to plus/minus 35%, and finally to plus/minus 40%.