Tom Farley, NYSE Group President, spoke with Bloomberg Television’s Stephanie Ruhle about the glitches that brought the NYSE trading to a halt for three and half hours.
On what led to the shutdown, Farley said: “We were getting intermittent messages of customers not seeing the exact behavior that they would otherwise expect with respect to messages. I didn’t feel like we had the level of trust in our systems that is required andI made the decision, working with regulatory team and counsel’s office, let’s suspend trading.”
On what caused the problem, Farley said: “There was a configuration problem in our system. It likely had to do with an upgrade, but that is premature, and it’s something that will come about as part of a full analysis of the situation.”
It's no secret that this year has been a volatile one for the markets. The S&P 500 is down 18% year to date, while the Nasdaq Composite is off by 27% year to date. Meanwhile, the VIX, a key measure of volatility, is up 49% year to date at 24.72. However, it has spiked as Read More
On his decision-making process, Farley said: “My first concern was do no harm during the day. Those stocks continue to trade elsewhere. Get the problem fixed. And get it back up and running for the close. We chose the least disruptive option for customers.”
TEPHANIE RUHLE, BLOOMBERG ANCHOR: Tom, from first thing this morning there were problems with messaging, walk me through that and then the 11:32 shutdown.