Friday 19 Apr 2024
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(Nov 5): Singapore Exchange Ltd. halted trading of securities and derivatives in Southeast Asia’s biggest stock market, citing connectivity problems.

The bourse operator stopped trading at 2:51 p.m. local time and is investigating the issue, according to a statement on its website. Calls and an email to Carolyn Lim, a spokeswoman for SGX, weren’t immediately returned. The last trades recorded for DBS Group Holdings Ltd., Oversea-Chinese Banking Corp. and United Overseas Bank Ltd. -- the biggest constituents of the Straits Times Index -- took place between 2:15 p.m. and 2:18 p.m., according to data compiled by Bloomberg.

“This outage will have a lot of spillover effect,” Ryan Huang, a strategist at IG Ltd. “We’ve been getting a lot of calls from clients wanting to execute their positions. The market is quite choppy so some people are getting nervous.”

SGX joins some of the world’s biggest exchanges in suffering malfunctions in the past week. On Oct. 31, a computer malfunction forced Deutsche Boerse AG to suspend trading on its Xetra equities platform for 72 minutes, temporarily stopping investors from taking part in a global rally prompted by new stimulus from Japan’s central bank. A day before that, the New York Stock Exchange was forced to switch to a backup system after a feed carrying price data for thousands of U.S.-listed equities malfunctioned.

Singapore’s equity market is worth about $581 billion, data compiled by Bloomberg show. SGX’s profit in the three months through Sept. 30 fell 16 percent from a year earlier, the exchange operator said Oct. 21. Stock trading on the Singapore bourse dropped 28 percent to a daily average of S$959.7 million in the quarter.

 

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