A technical malfunction at the New York Stock Exchange (NYSE) caused certain stocks to display inaccurate prices on Monday. The glitch persisted for roughly two hours, resulting in trading pauses for 40 affected stocks. Originating from the Consolidated Tape Association’s real-time stock quotes, the error was rectified by approximately 11:45 am.
“After the market opened on the morning of June 3, 2024, a technical issue concerning industry-wide price bands released by the Consolidated Trade Association’s Securities Information Processor triggered ‘limit-up/limit down’ trading halts on up to 40 symbols listed on NYSE Group exchanges. Shortly before noon, the issue was resolved, and trading in the impacted stocks resumed. The NYSE is reviewing potentially affected trades,” stated a spokesperson from NYSE to Business Insider.
During the malfunction, Class A shares of Berkshire Hathaway plummeted 99.97% to just $185.10 per share. The erroneous share price data indicated the stock losing over $627,000 in value on a trading volume of slightly over 3,000 shares.
Class A shares of Berkshire Hathaway had closed at $627,400 on Friday. The stock reopened at $648,000 at 11:36 am.
Shares of Barrick Gold and NuScale Power Corporation also briefly declined by 99% due to the glitch, while shares of Grupo Aeroportuario Del Sureste saw a 66% decrease. Chipotle stock was also impacted, though it experienced only a 1.2% decline before trading was halted.
The NYSE attributed the issues to the price bands published by the Consolidated Tape Association, which is utilized by major exchanges to collectively offer real-time stock quotes. By approximately 11:45 a.m. ET, the NYSE confirmed that the problems had been resolved, and trading had returned to its usual state.
The CTA reported a problem with limit up and limit down price bands, a mechanism designed to address market volatility, between 9:30 a.m. and 10:27 a.m. ET. The issue may have arisen due to a new software release, prompting the organization to revert to the previous software program in its primary data center for Tuesday’s trading session.
According to the CTA, 40 stocks were impacted by the issue, including notable names like Chipotle Mexican Grill and Bank of Montreal.
After the market closed, the NYSE Group Equities Exchange announced the cancellation of erroneous trades in several securities, including Berkshire Hathaway’s A-shares.
When trading was halted, there were fewer than 4,000 recorded trades for Berkshire’s A-class shares on the day. Trading continued for the B-class shares.
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