(Bloomberg) -- The National Stock Exchange of India Ltd. shut trading in its cash and derivative segments earlier Wednesday, citing “issues” with telecom links of its two service providers, which it said impacted the system and stopped prices from updating.
“We are working on restoring the systems as soon as possible,” a spokesperson for NSE, the world’s biggest derivatives exchange by number of contracts, said in a statement. Meanwhile, rival BSE Ltd. said in a statement that it continues to have normal trading in all segments.
“Major volume goes through the NSE, so it will have an impact,” said Anita Gandhi, director at Arihant Capital Markets. “Fortunately, traders have access to BSE also, some will be using that as backup.”
Technical glitches have disrupted trading at several stock exchanges in the Asia Pacific region in recent months. In October, a hardware issue forced an unprecedented all-day halt on the Tokyo Stock Exchange. Australia’s stock exchange opened for less than half an hour on Nov. 16 before a software issue forced it to close for the rest of the session.
About an hour into trading on Wednesday, traders in Mumbai flagged that levels for the cash segment on the NSE’s benchmark Nifty 50 Index as well as the Nifty Bank Index stopped updating. After nearly 90 minutes of that disruption, the exchange notified that it was shutting down all its market segments, including derivative trading.
Wednesday’s disruption at NSE revived memories of an episode in July 2017, when the NSE shut both the cash and derivatives segments due to technical issues, with traders unable to execute trades at its venue and prices not updating. Trading was later restarted after keeping traders on tenterhooks for about three hours with conflicting messages about what time operations would resume.
“The image of the exchange is also at stake,” said Gandhi.
The NSE Nifty 50 Index was last seen up 0.8% at 14,820.45. The trading halt comes ahead of Thursday’s expiry of monthly derivatives contracts, which typically leads to an increase in market volatility.
(Adds a picture, chart and mention of expiry in the last paragraph.)
For more articles like this, please visit us at bloomberg.com
Subscribe now to stay ahead with the most trusted business news source.
©2021 Bloomberg L.P.
"exchange" - Google News
February 24, 2021 at 02:44PM
https://ift.tt/3qLuNBQ
India’s Top Stock Exchange Halts Trading After Telecom Disruption - Yahoo Finance
"exchange" - Google News
https://ift.tt/3c55nbe
https://ift.tt/3b2gZKy
Exchange
Bagikan Berita Ini
0 Response to "India’s Top Stock Exchange Halts Trading After Telecom Disruption - Yahoo Finance"
Post a Comment