Executive Summary
This morning, Tuesday 21 June 2011, due to a technical issue, NYSE Euronext halted trading in the regulated markets on one trading unit hosting a number of trading groups including the AEX and BEL20 index stocks. This resulted in the inability to trade the specified securities between 09:03:36 CET and 11:00 CET.
This morning NYSE Euronext observed increasing latencies to the point of material degradation in service on certain trading groups, including AEX and BEL20 stocks, hosted by its trading unit number two. NYSE Euronext took the decision to halt trading for these trading groups at 09:03:36 CET. During the trading halt, members were not able to enter, amend or cancel their orders. See the appendix for the full list of trading groups impacted by this halt.
Evaluating the state of the trading unit and invoking recovery procedures, it was decided to bring the back-up trading unit into production. Upon successful connection of the back-up trading unit, all peripheral system applications and connections were verified. The market was notified and reinstated with a 30-minute preopening phase at 10:30 CET in order to allow members to change or cancel their orders. Continuous trading resumed at 11:00 CET for Equities and Bonds trading groups J0 / L9 / A0 / A4 / EI / C5 /E2 / P1 / 55 / 21 / J7 / K0 / P5 / L3, and at 11:05 CET for Exchange-Traded Products trading groups 53 / K3 / K2 / G2 / PA / K4 / K5.
All other regulated cash market trading groups and NYSE Arca Europe were unaffected by this issue. However, as a result of the incident several instruments traded on NYSE Liffe were impacted and therefore the relevant European continental derivatives markets were halted between 09:08 and 11:05 CET.
In addition, due to the trading halt of J0 and A0 trading groups, the AEX-index and BEL20 Index were declared indicative from 09:21:30 CET until 11:00:30, the time at which the market resumed in these groups.
We do believe today’s incident is related to the delayed opening in trading we experienced on Monday, 20 June 2011. Following the incident experienced on Monday, thorough diagnosis and investigations were put in place to indentify the root cause of the instabilities observed within the trading architecture. In addition, for today’s start of day, we enacted recovery measures specific to the symptoms we observed yesterday in order to quickly implement definitive corrective actions. This aided our ability to limit the outage and to manage recovery. NYSE Euronext is taking necessary measures to avoid a recurrence of this issue. Risk mitigation and architecture changes will be implemented tonight, inclusive of alternative path connection in the network architecture and hardware replacements where appropriate
We apologise for the inconvenience caused by this incident. We remain at your disposal should you have any further questions.
Details of today’s incident that were communicated to customers via the NYSE Euronext cash market status web page will remain available until tomorrow morning at the following address: http://marketstatus.euronext.com/cash.htm
APPENDIX: Trading groups halted on 21 June 2011
FRENCH MARKET
56(BONDS - FOREIGN CURRENCIES- F)
53(ETC - CERTIFICATES - CONTINUOU)
55(BONDS -FOREIGN CURRENCIES - C)
98(SHIVA COMPTANT)
21(VAL ETR CONT SRD)
43(TIT.CREANCE - DBFIX)
EI(ALTERNEXT PLCT PRIV - CONT)
E2(ALTERNEXT - CONTINU)
G2(ETFS - CONTINU)
BELGIAN MARKET
A0(VAL BEL20 - CONT)
A4(TRADING FACILITIES CONT)
C2(CONVERTIBLE BONDS- DBFIX)
C5(BONDS - FOREIGN CURRENCIES- C)
DUCTH MARKET
J0(VAL AEX - CONT)
K3(ETFS - FOREIGN CURRENCIES - CO)
J7(VAL ETR - CONT)
K0(ANCILLARY SHARES CONTINUOUS)
K2(ETFS CONTINUOUS)
K4(INVESTMENT FUNDS LOW VOLATILIT)
K5(INVESTMENT FUNDS HIGH VOLATILI).
L3(CONVERTIBLE BONDS - CONT)
L9(CONVERTIBLE BOND-FOR CCY-CONT)
PORTUGUESE MARKET
P1(CONT)
P5(VAL ETR - CONT)
PA(ETFS - CONTINUOUS)
