A temporary suspension of trading on an exchange for a period of time in a bid to prevent substantial drops in the market value of the securities enlisted in that exchange. Trading curbs, in this sense, are typically applied to rein in market volatility and market-wide panic sell-offs. The pause of trading allows market makers to seek extra liquidity for the shares of specific companies and ensure that trading is orderly again.
Trading curb is also known as circuit breaker.
