Power-Supply Failure Shuts Singapore Exchange for 2 Hours

A power-supply failure forced Singapore Exchange Ltd. to halt trading on Southeast Asia’s biggest stock market for 144 minutes today. The equity venue only briefly reopened after its normal closing time.

“Securities and derivatives markets experienced an outage as a result of multiple power-supply issues,” Tim Utama, the company’s chief operations and technology officer, said in a statement. “The outage did not arise from a cyber-attack.”

Singapore Exchange stopped trading at 2:51 p.m. local time, only resuming activity on the equity market from 5:15 p.m. to 5:51 p.m. The city-state’s Straits Times Index didn’t update when trading in its constituent members restarted. The equity benchmark normally trades from 9 a.m. to 5 p.m. The exchange operator resumed derivatives transactions at 7 p.m.

“We are currently investigating the root cause of the disruption,” Utama added.

Some of the world’s biggest exchanges have suffered from outages in the past week. On Oct. 31, a computer malfunction forced Deutsche Boerse AG to suspend trading on its Xetra equities platform for 72 minutes. A day before that, the New York Stock Exchange had to switch to a backup system after a network hardware failure caused its price feed to malfunction.

Trading Disruptions

Today’s incident is one of the worst trading disruptions to hit the Singapore bourse, according to Jimmy Ho, president of the Society of Remisiers in Singapore. In April 2013, the opening of derivatives trading was delayed for three hours because of a computer breakdown, forcing investors to use a rival exchange operator in Osaka to buy and sell Japanese index contracts.

“This outage will have a lot of spillover effect,” Ryan Huang, a strategist at IG Ltd., said. “We’ve been getting a lot of calls from clients wanting to execute their positions. The market is quite choppy, so some people are getting nervous.”

Companies worth a combined $581 billion are listed in Singapore, data compiled by Bloomberg show. Singapore Exchange’s profit in the three months through Sept. 30 fell 16 percent from a year earlier, the exchange operator said on Oct. 21. Stock trading on the Singapore bourse dropped 28 percent to a daily average of S$959.7 million ($741 million) in the quarter.

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