Last Thursday, another network problem affected the New York Stock Exchange (NYSE) just after it opened, Reuters reported. The problem lasted about twenty minutes, and less than 2000 securities were affected, NYSE told traders.
The NYSE told traders that "four matching engines" were affected and some customers did not receive acknowledgments for their orders. As a result, traders' orders that were pending were canceled.
An unknown problem caused the benchmark FTSE 100 index to remain unchanged for 28 minutes on last Friday afternoon. Trading on the London Stock Exchange, however, was unaffected.The FTSE Group, which compiles the index, isn't sure why the problem occurred, however.
The FTSE 100, the FTSE Group says, comprises the 100 most highly capitalized blue chip companies, representing approximately 81% of the UK market. It is used extensively as a basis for investment products, such as derivatives and exchange-traded funds.
Robert N. Charette is a Contributing Editor to IEEE Spectrum and an acknowledged international authority on information technology and systems risk management. A self-described “risk ecologist,” he is interested in the intersections of business, political, technological, and societal risks. Charette is an award-winning author of multiple books and numerous articles on the subjects of risk management, project and program management, innovation, and entrepreneurship. A Life Senior Member of the IEEE, Charette was a recipient of the IEEE Computer Society’s Golden Core Award in 2008.