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India's largest bourse NSE on Thursday said the technical glitch affected the online risk management system leading to the shutdown of trading on the exchange.
NSE said the instability of all their links from both the telecom service providers did not impact their trading system. However, online risk management system was unavailable and hence market functioning could not continue normally, the bourse said in a series of tweets today.
NSE yesterday received communication of instability of all their links from both the telecom service providers. While there was no impact to the trading system, this instability had an impact to the online risk management system, also configured in a High Availability mode.
NSEIndia (@NSEIndia) February 25, 2021
Given that the online risk management system was unavailable, market functioning could not continue normally and hence had to be shut down. Once the issue was resolved, NSE made an announcement with respect to re-opening of the markets.
NSEIndia (@NSEIndia) February 25, 2021
NSE is awaiting detailed root cause analysis from telecom service providers and vendors regarding this incident. NSE is in close contact with SEBI and keeping them updated.
NSEIndia (@NSEIndia) February 25, 2021
Trading on NSE was halted from 11:40 am to 3:30 pm due to the technical glitch. Trading resumed at 3:45 pm till 5 pm on the bourse. BSE which had normal functioning yesterday also saw extension of trading hours till 5 pm.
Trading hours on NSE, BSE extended till 5 pm today
Meanwhile, capital market regulator Securities and Exchange Board of India (SEBI) has advised National Stock exchange (NSE) to carry out a "detailed root cause analysis of the trading halt" witnessed at the stock exchange on Wednesday. The regulator also sought an explanation from NSE as to why trading was not migrated to the disaster recovery site.
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