10 Trading Glitches That Stopped The Markets
6. Everbright Securities’ Flash SurgeTaking a moment to broaden our scope of trading glitches, we’ll quickly see these issues plague more than just U.S. exchanges. On August 15, 2013 China’s state controlled brokerage, Everbright Securities, saw a surge in trading volume on the Shanghai Stock Exchange. The index went up 53% and reached its highest levels since 2009.
Shares of Everbright were suspended from trading and the brokerage is now under investigation by China’s Securities Regulation Commission.
Everbright is a brokerage part of group made up of hotels and financial firms. The nature of the error is still unclear – was it human or technical? However, traders suspect this “flash surge” is related to Asia’s continued adoption of high-frequency trading.
[China’s Everbright Stops Trading After A Surprise Flash Surge ]