Can the markets be tamed by rulles and regulations?

The SEC’s Office of Investor Education and Advocacy is issuing this Investor Bulletin to inform investors of recent safeguards approved by the SEC to address market volatility in U.S. equity markets.  The SEC approved a new “Limit Up-Limit Down” mechanism to address market volatility by preventing trades in listed equity securities when triggered by large, sudden price moves in an individual stock. Additionally, the SEC approved proposed rule changes that modify existing circuit breaker procedures related to market-wide trading halts.

The SEC is working to further refine upper and lower moments in the opening of the market.  Yum Brands, the owner of KFC and Pizza Hut, just experienced wild swings.