NYSE stock trading glitch was ‘manual’ error
NYSE controls the bulk of US market share of stock trading
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The New York Stock Exchange disclosed the cause of the glitch that wreaked havoc on Tuesday, halting scores of stocks around the opening bell, a human.
"The root cause was determined to be a manual error involving the Exchange’s Disaster Recovery configuration at system start of day. All exchange systems are operational, and a normal opening for January 25, 2023 is expected" the exchange noted.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| I:DJI | DOW JONES AVERAGES | 43958.19 | +47.21 | +0.11% |
| SP500 | S&P 500 | 5985.38 | +1.39 | +0.02% |
| I:COMP | NASDAQ COMPOSITE INDEX | 19230.725379 | -50.68 | -0.26% |
The issue, which was brief, involved dozens of stocks including 3M, Verizon and Wells Fargo, according to the NYSE’s regulatory updates Tuesday.
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| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| MMM | 3M CO. | 131.44 | +1.12 | +0.86% |
| VZ | VERIZON COMMUNICATIONS INC. | 41.14 | +0.75 | +1.86% |
| WFC | WELLS FARGO & CO. | 72.79 | +0.21 | +0.29% |
At the open, Nike shares tumbled 8% on no obvious news, but recovered. As of 9:50 a.m. ET, the exchange reported on its market status page, "All systems are currently operational."
Late afternoon, the NYSE, which is owned by Intercontinental Exchange, provided FOX Business with an update on the investigation of the situation.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| ICE | INTERCONTINENTAL EXCHANGE INC. | 155.85 | -0.23 | -0.14% |
"On January 24, 2023, due to a system issue, the NYSE did not conduct opening auctions in a subset of its listed securities. This system issue resulted in continuous trading of those securities commencing at 9:30am without an opening auction print. As a result, a number of Core Trading Session trades occurred prior to the receipt of Limit Up Limit Down bands. These trades are eligible under NYSE Rule 7.10(c)(1)(B) to be reviewed as Clearly Erroneous" a portion of the update explained.
"In addition, for those securities that did not conduct an opening auction and entered an LULD pause before 9:30:45, the Exchange is evaluating marking the trades as aberrant (i.e. Price Variation (Sale Condition H)) on the consolidated tape," NYSE said.
All systems remain and remained operational from 10:21 am ET.
Screenshot of the New York Stock Exchange's website on Jan. 24, 2023.