Stock market glitches in India over the past few years
India’s stock market, like its peers across the world, is no stranger to sudden trading halts due to technical glitches. On Thursday, Indiaâ€™s second-biggest exchange operator BSE halted trading across all its segments due to a network outage. Trading on the NSE bourse was not affected.
The three-hour outage was the longest in recent memory and follows three earlier outages in a year that has seen stocks scale fresh peaks on expectations of economic revival from a new government.
The BSE, Asia’s oldest stock exchange, has more than 5,000 listed companies. Data from the World Federation of Exchanges shows shares worth $85 trillion were traded on the BSE last year, compared to $479 trillion for the NSE, Indiaâ€™s leading stock exchange.
Here’s a list of glitches faced by India’s stock market exchanges over the past few years:
*July 3, 2014: The BSE resumed trading after a three-hour network outage that is being investigated. Preliminary reports will be sent to stock market regulator SEBI and the finance ministry. The trading disruption was the longest suffered by the BSE since at least 2010, a spokesman said.
*July 11, 2014: A technical snag disrupted trading on the benchmark index. Due to a snag in the system in the first few minutes, index calculation did not take place, a BSE spokesman said.
*April 9, 2014: Share prices stopped updating for about 15-20 minutes in the morning session, marking the second consecutive session in which BSE trading was disrupted. Traders said the disruption occurred after the introduction of BOLT Plus, a new trading system for shares, which had been earlier successful in currency and debt trading. Shares had also stopped updating for a few minutes on April 7.
*October 5, 2012: A flurry of erroneous orders placed by Emkay Global Financial Services triggered a sudden drop of more than 900 points on the Nifty. The 59 trades were worth more than $125 million. The glitch wiped off nearly $60 billion off the Nifty, according to a report by the Guardian.