Fat-Finger Error Prompts Philippine Exchange to Review System
- Several brokers offered to cancel Cebu Air orders hit by error
- Quality Investment says it is ready to meet clearing deadline
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The Philippine Stock Exchange will review its trading system and procedures after a local broker this week placed a wrong sell order that caused a 38% rout in the shares of Cebu Air Inc.
The mistake happened Tuesday during the market’s no-cancel period two minutes before the end of trading, when the closing price is settled. The exchange will discuss with brokers possible safeguards that can be added when they post orders, PSE Chief Operating Officer Roel Refran said in a phone interview on Thursday.