Coronavirus: Dubai Financial Market implements 5 pct down limit on securities

An Emirati trader passes under the stocks display screen at the Dubai Financial Market in Dubai, United Arab Emirates, Sunday, March 8, 2020. (File photo: AP)

The Dubai Financial Market (DFM), the emirate’s stock exchange, announced that it would limit the down cap of listed securities to 5 percent from Wednesday until further notice, according to a statement from the exchange.

The announcement is a decrease from the pre-existing limit of 10 percent as the coronavirus, officially known as COVID-19, continues to cause markets to tumble. The limit cap on valuation increases remains at 15 percent.

“DFM always keeps a close eye on market developments and activity in order to take all the necessary actions to contain fluctuations, especially the recent fluctuations due to the coronavirus,” said Chairman of the DFM Essa Kazim.

On Sunday, the market announced it would temporarily be closing it trading floor and customer affairs counters in a bid to combat the spread of the coronavirus.

Markets in the Gulf and across the world have been hammered by the coronavirus. The US S&P 500 ended a historic 11-year bull run last week, entering a bear market.

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Last Update: 05:37 KSA 08:37 - GMT 05:37
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